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Earning Capacity

The extent to which an individual is "disabled" by workers' compensation standards requires an examination of the individual's earning capacity after the injury in relation to his earnings prior to being injured. Even if the individual realizes a reduction in his earnings after the injury, he must still prove a causal link between the earnings reduction and his injury. Failure to do so will result in a denial of benefits. If the individual achieves earnings after his injury is sustained, there is a presumption that he has an "earning capacity" in keeping with such earnings. However, the presumption can be rebutted by evidence that the individual, in fact, has no earning capacity or that the post-injury earnings he received are not an accurate, fair, or reasonable measure of the individual's earning capacity.

Injury From Usual Exertion or Exposure Concept

"Injury From Usual Exertion or Exposure" Concept)

Pre-Employment Injuries

Generally, compensation will be denied for injuries incurred prior to an employee being actually hired. However, courts have tended to reject form over substance and allowed compensation when the employee was hired though he had not finished the full hiring process such as completing the employer's business paperwork like payroll and tax forms. Compensation turns on whether a contract of hire has been entered into between the employer and potential employee -- an express or implied contract will suffice.

Overpayments of Social Security Disability Benefits

An overpayment of social security disability benefits arises when the Social Security Administration has paid the recipient in excess of the amount that was actually due. The Commissioner of Social Security is authorized to collect the overpayment either by reducing the recipient's future payments, requiring the recipient or his estate to repay the excess amount, or by reducing the recipient's tax refund by the excess amount.

Determining "Dependency" for Workers' Compensation Death Benefits

The issue of "dependency," with respect to the receipt of workers' compensation death benefits, is generally determined either as of the date of the worker's death or the date of the accident that caused his death. Those individuals who are, therefore, "dependents" on the requisite date will be eligible to receive death benefits in an amount commensurate with the measure of dependency on the worker, i.e. total or partial dependency.