Elizabeth Vargas vs. Armark: Ace American Insurance Claim Overview

In this case, Elizabeth Vargas, the applicant, was injured in 2003 and settled her claim in 2007. In 2012, lien claimant Rahil Khan, M.D. filed a lien and a Declaration of Readiness to Proceed for orthopedic treatment allegedly provided in 2008. A lien conference was set for October 25, 2012 which was attended by a representative for lien claimant, but no representative appeared on behalf of defendant, ACE American Insurance. A Notice of Intention to Issue Sanctions against Specialty Risk Services was issued for failure to appear at the lien conference, and the WCJ ordered that defendant's adjustment agency, Specialty Risk Services, pay $250.00 in sanctions. The defendant sought reconsideration of the

Armark/Arrowhead Pond; Ace American Insurance c/o Sedgwick Elizabeth Vargas WORKERS’ COMPENSATION APPEALS BOARDSTATE OF CALIFORNIAELIZABETH VARGAS, Applicant,vs.ARAMARK/ARROWHEAD POND; ACE AMERICAN INSURANCE c/o SEDGWICK, Defendants.Case No. ADJ1542579 (POM 0284812) OPINION AND ORDER DENYING PETITION FOR RECONSIDERATION            Defendant, ACE American Insurance, seeks reconsideration of the Order issued December 31, 2012, wherein the workers’ compensation administrative law judge (WCJ) ordered that defendant’s adjustment agency, Specialty Risk Services1, pay $250.00 in sanctions for failure to appear at a scheduled lien conference. The Order was preceded by a Notice of Intention to Issue Sanctions. Neither defendant nor Specialty Risk Services objected to the Notice of Intention to Issue Sanctions. In the Report and Recommendation on Petition for Reconsideration (Report), the presiding workers’ compensation administrative law judge (PWCJ) noted that applicant’s claim for industrial injury on February 21, 2003 had been settled by Compromise and Release on November 9, 2007. Lien claimant, Rahil Khan, M.D. filed a lien in 2012 and a Declaration of Readiness to Proceed for orthopedic treatment allegedly provided in 2008. A lien conference was set for October 25, 2012 which was attended by a representative for lien claimant. However, no representative appeared on behalf of defendant and a Notice of Intention to Issue Sanctions against Specialty Risk Services was issued for failure to appear at the lien conference. There was no objection to the Notice of Intention to Issue Sanctions./// 1 Defendant’s petition identifies the adjustment agency as “Specialty Risk Services (now Sedgwick)”. ,             Defendant contends that the WCJ erred by issuing sanctions arguing that lien claimant had no standing to file a lien or a Declaration of Readiness to Proceed in this case because alleged services were rendered to applicant after the issuance of the Order Approving Compromi

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