Compromise settlements, how made
Workers and employers can agree to settle a workers' compensation claim without going to court, but a judge or the commission has to approve the deal first. The deal has to be fair, free from pressure or fraud, and the worker has to understand and freely agree to it. A worker without a lawyer gets to keep 100% of any written settlement offer, even if more legal steps happen later. After a worker's injuries have stopped improving, the worker has up to 12 months to get a second doctor's rating before a settlement is finalized.
287.390. s, how made — , effect, settlement with — employee entitled to one hundred percent of offer, when — , rating from second physician, when. — 1. Parties to hereunder may enter into voluntary agreements in settlement thereof, but no agreement by an employee or his or her dependents to his or her rights under this chapter shall be valid, nor shall any agreement of settlement or compromise of any dispute or for under this chapter be valid until approved by an or the , nor shall an administrative law judge or the commission approve any settlement which is not in accordance with the rights of the parties as given in this chapter. No such agreement shall be valid unless made after seven days from the date of the injury or death. An administrative law judge, or the commission, shall approve a as valid and as long as the settlement is not the result of or , the employee fully understands his or her rights and benefits, and voluntarily agrees to accept the terms of the agreement.
2. A compromise settlement approved by an administrative law judge or the commission during the employee's lifetime shall extinguish and bar all claims for compensation for the employee's death if the settlement compromises a dispute on any question or other than the extent of or the rate of compensation.
3. the of section 287.190, an employee shall be afforded the option of receiving a compromise settlement as a one-time . A compromise settlement approved by an administrative law judge or the commission shall indicate the manner of payment chosen by the employee.
4. A minor , by parent or , may compromise disputes and may enter into a compromise settlement agreement, and upon approval by an administrative law judge or the commission the settlement agreement shall have the same force and effect as though the minor had been an adult. The payment of compensation by the employer in accordance with the settlement agreement shall the employer from all further obligation.
5. In any claim under this chapter where an offer of settlement is made in writing and filed with the by the employer, an employee is entitled to one hundred percent of the amount offered, provided such employee is not represented by at the time the offer is . Where such offer of settlement is not accepted and where additional proceedings occur with regard to the employee's claim, the employee is entitled to one hundred percent of the amount initially offered. Legal counsel representing the employee shall receive reasonable fees for services rendered.
6. As used in this chapter, "" means the dollar amount in excess of the dollar amount offered or paid by the employer. An offer of settlement shall not be as an .
7. (1) In the case of compromise settlements offered after a has reached maximum medical improvement, upon receipt of a from the employer's physician, a claimant shall have a period of twelve months from such date to acquire a rating from a second physician of his or her own choosing.
(2) Absent a finding of by an administrative law judge or the commission, if after twelve months a claimant has not acquired a rating from a second physician, any compromise settlement entered into under this section shall be based upon the initial rating.
(3) A finding of extenuating circumstances by an administrative law judge or the commission shall require more than failure of the claimant to timely obtain a rating from a second physician.
(4) The provisions of this may be by the employer with or without stating a cause.
(RSMo 1939 § 3723, A.L. 1959 S.B. 167, A.L. 1965 p. 397, A.L. 1977 S.B. 400, A.L. 1983 S.B. 44 & 45, A.L. 1990 S.B. 751, A.L. 2005 S.B. 1 & 130, A.L. 2017 S.B. 66)
Prior revision: 1929 § 3333
(2011) Section requires to approve valid agreements, including a agreement on claim for death benefits for employee's widow and children. Roth v. J.J. Brouk & Co. Corp., 356 S.W.3d 786 (Mo.App.E.D.).
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