News Summary
The Rhode Island Workers’ Compensation Court’s Appellate Division has ruled it lacks jurisdiction to settle a fee dispute between two attorneys representing Edilma Cabrera Vasquez. The ruling clarifies the court’s authority concerning attorney fee apportionment in workers’ compensation cases, directing unresolved disputes towards mediation before escalating to higher courts.
Providence, Rhode Island – The Rhode Island Workers’ Compensation Court’s Appellate Division has ruled that it lacks jurisdiction to resolve a fee dispute between two attorneys representing the same client in a landmark case involving injured employee Edilma Cabrera Vasquez. This ruling clarifies the court’s authority regarding attorney fee apportionment in workers’ compensation cases.
The case centers around a legal dispute involving two attorneys: Warwick-based John M. Harnett and Providence-based Stephen J. Dennis, who represented Cabrera Vasquez sequentially in her workers’ compensation claim after she sustained a work-related injury while employed at B.J.’s Service Co. Harnett initially represented Cabrera Vasquez for three years, during which he negotiated a settlement offer of $30,000, which she ultimately rejected. Approximately one year later, Dennis secured a higher settlement offer of $40,000, which Cabrera Vasquez accepted.
Harnett subsequently claimed that he was entitled to a portion of Dennis’ fee, as he believed he had a right to $6,000 from the total $8,000 fee, arguing that this amount represented 20 percent of the earlier settlement offer he had negotiated. In response, Harnett filed a motion seeking fee apportionment, which was denied by the trial judge. The judge cited a lack of authority for the Workers’ Compensation Court to adjudicate such disputes.
Following the denial of his motion, Harnett appealed the decision, contending that the court should possess the jurisdiction to address fee disputes related to lump sum settlements, referencing General Laws §28-35-12(b)(3), which allows for mediation in such matters. However, the Appellate Division, presided over by Judge Debra L. Olsson, disagreed with Harnett’s assertions.
The Appellate Division determined that if two attorneys cannot reach an agreement on how to distribute fees, mediation should be pursued. It was noted by the panel that mediation had already occurred prior to the appeal but failed to yield a resolution, leading to the recommendation for referral of the matter to the Superior Court for further resolution.
The ruling was articulated in the case Cabrera Vasquez v. B.J.’s Service Company, Inc., which was designated as Lawyers Weekly No. 72-002-25. Coincidentally, on the same day, a similar judgment was issued in another matter involving attorneys Harnett and Dennis, titled Grassini v. Oakland Grove Associates, designated as Lawyers Weekly No. 72-003-25.
In this context, the opinion of attorney Matthew C. Reeber, representing Dennis, underscored the significance of conducting good-faith negotiations during mediation processes to resolve attorney fee issues amicably.
Harnett has expressed disappointment at the ruling, arguing that the Workers’ Compensation Court is best suited to handle such disputes due to its familiarity with the relevant legal nuances involved.
Cabrera Vasquez began receiving partial incapacity benefits in June 2017 following her injury. Harnett’s representation had entailed multiple petitions for additional benefits prior to her change of legal counsel. The complexity of the attorney fee apportionment within the workers’ compensation framework has now been brought to light, as the court’s jurisdictional limitations have become increasingly relevant.
The ruling sets a precedent regarding how disputes concerning attorney fees in workers’ compensation cases may be navigated, emphasizing the need for mediation before pursuing higher court intervention.
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Additional Resources
- Resmini Law Offices: Warwick Workers Compensation
- Wikipedia: Workers’ Compensation
- Resmini Law Offices: Newport Workers Compensation
- Encyclopedia Britannica: Compensation Law
- Rhode Island Lawyers Weekly: Best Family-Led Law Firms 2024
- Google Search: Workers Compensation Legal Disputes
- Resmini Law Offices: Newport Workplace Accidents
- Google News: Workers Compensation Court Decisions
