David Velasquez vs. Pacific Energy Construction Corp., American Commercial Claims Administrators

This case involves Pacific Energy Construction Corp. and American Commercial Claims Administrators David Velasquez. The Workers' Compensation Appeals Board granted reconsideration of the Findings and Award of May 31, 2011, and the Order Approving Compromise and Release of July 20, 2011, and removed the matter to themselves pursuant to Labor Code section 5310. The Board then rescinded the Findings and Award, the Order Approving Compromise and Release, and the Order Vacating Order Approving Compromise and Release, and returned the matter to the trial level for further proceedings and decision.

Pacific Energy Construction Corp., American Commercial Claims Administrators David Velasquez , after that period has expired, “a workers’ compensation judge shall not make any order in the case nor correct any error until the Appeals Board has denied or dismissed the petition for reconsideration or issued a decision after reconsideration.” On July 20, 2011, 26 days after the filing of defendant’s petition for reconsideration, the WCJ issued an order approving the C & R. Recognizing that her order approving the C & R ran afoul of Appeals Board Rule 10859, two days later, on July 22, 2011, the WCJ vacated her Order approving the C & R, stating “The order approving compromise and release issued on 7/20/11 is hereby vacated due to lack of jurisdiction. The order shall re-issue once jurisdiction is returned to the Marina del Rey District office.”            In light of the settlement, we will grant reconsideration, rescind the Findings and Award of May 31, 2011, and return this matter to the trial level for the WCJ to hold appropriate proceedings on approval of the parties’ C & R. To the extent that, for whatever reason, the C & R is not approved, the defendant may raise the issues in its petition for reconsideration in the further proceedings at the trial level. We will also rescind the WCJ’s Orders of July 20, 2011 and July 22, 2011 because the WCJ did not have jurisdiction to issue any orders in the case during that period. With regard to the July 20, 2011 Order Approving Compromise and Release, we will grant reconsideration on our own motion pursuant to Labor Code section 5900(b) and rescind the order. With regard to the July 22, 2011 Order Vacating Order Approving Compromise and Release, since the order is not a final order subject to reconsideration (Roberta Enterprises v. Workers’ Comp. Appeals Bd. (Willis) (1996) 61 Cal.Comp.Cases 1084, 186-1088 [writ denied]), we will remove this matter to ourselves pursuant to Labor Code section 5310, and rescind the order.  

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