Removes requirement for judicial inquiry into "costs" regarding settlements.

 

DEPARTMENT OF MANAGEMENT SERVICES

Division of Administrative Hearings

RULE NO.:RULE TITLE:

60Q-6.123Settlements Under Section 440.20(11), Florida Statutes

PURPOSE AND EFFECT: Removes requirement for judicial inquiry into "costs" regarding settlements.

SUMMARY: Paragraph (5) is stricken from the rule.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein:

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 440.45(1)(a), (4) FS.

LAW IMPLEMENTED: 440.192, 440.45(1)(a), (4) FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: David Langham

[e-mail], [phone].

 

THE FULL TEXT OF THE PROPOSED RULE IS:

60Q-6.123 SETTLEMENTS UNDER SECTION 440.20(11), FLORIDA STATUTES Settlements Under Section 440.20(11), Florida Statutes.

(1) Settlements under sSection 440.20(11)(a) or (b), F.S., involving unrepresented claimants.

(a) When a joint petition signed by the parties is filed pursuant to sSection 440.20(11)(a) or (b), F.S., it shall be accompanied by:

 

1. The settlement stipulation executed by any attorneys of record and the employee or claimant; 

2. A copy of any prior joint petition and order if indemnity benefits were previously settled, or, if unavailable, an affidavit from the claimant that indemnity was previously settled;

3. A summary or payout sheet indicating total indemnity and medical benefits previously paid, including impairment income benefits;

4. The employee’s current work status and other sources of income, if not addressed in the joint stipulation; 

5. A status statement from the OJCC or such other source as designated by the Deputy Chief Judge regarding any child support arrearage balance according to Department of Revenue records, and a status statement regarding any child support arrearage balance according to the Florida Clerks of the Circuit and County Courts, as to whether the claimant has or owes any child support arrearage and, if so, the amount thereof;

6. If the claimant is not a Florida resident, or was not a Florida resident on the date of accident, the judge may require the substantial equivalent of the status statements in subparagraph (1)(a)5. from the equivalent authorities in the state or county of residence at either the time of settlement or on the date of accident;

7. A sworn statement by the employee that all existing child support obligations have been disclosed in the joint petition; 

8. A letter or statement in the settlement stipulation from counsel stating that the carrier will issue a check in the amount of the arrearage or such other amount to be approved by the judge and that the check will be sent to the Department of Revenue or the Florida Clerks of the Circuit and County Courts, Central Depository; 

9. Any other documents in the possession of the parties or their attorneys, including any prior attorney’s fee lien, that is material to the disposition of the settlement;

10. For settlements under sSection 440.20(11)(a), F.S., the notice(s) of denial; and

11. For settlements under sSection 440.20(11)(b), F.S., the required notice to the employer, a maximum medical improvement report establishing the date of overall physical maximum medical improvement and psychiatric maximum medical improvement if the latter applies, permanent impairment rating, information concerning the need for future medical care and an estimate of the cost of future medical care, or an explanation as to why an estimate cannot be reasonably obtained, and other essential medical information.

(b) The date and description of all accidents/injuries included in the settlement must be specified.

(c) Language regarding a general release of all liability or claims shall not be included, and no such general release or separate releases shall be attached.

(d) For settlements under sSection 440.20(11)(a), F.S., and when a hearing is deemed necessary by the judge for settlements under sSection 440.20(11)(b), F.S., the attorney for the employer/carrier shall contact the judge to schedule a hearing date and shall promptly notify the claimant of the hearing date, time, and location.

(2) Settlements under sSection 440.20(11)(c), (d), and (e), F.S.

(a) When a motion for approval of attorney’s fees and child support allocation is filed pursuant to sSection 440.20(11)(c), (d), or (e), F.S., it shall be signed by the claimant and the claimant’s attorney, furnished to all other parties, and contain: 

1. A statement that the parties have reached a total settlement of the case;

2. The total monetary amount of the settlement payable by the employer/carrier;

3. The amount of attorney’s fees and costs agreed to and payable by the claimant pursuant to the contract of representation and the net settlement proceeds to be disbursed to the claimant;

4. The amount of child support arrearages, if any, owed by the claimant, together with the amount of child support allocation the claimant requests be deducted from the settlement proceeds, after fees and costs, and the attorney responsible to remit the same to the appropriate child support repository;

5. An attorney’s fee data sheet setting forth the benefits obtained by claimant’s counsel and the value of those benefits, and, depending upon the date of accident and the type of benefit involved, should the claimant’s attorney seek a fee in excess of the statutory percentage, an affidavit specifying the particular statutory criteria forming the basis for the variance;

6. A status statement from the OJCC or such other source as designated by the Deputy Chief Judge regarding any child support arrearage balance according to the Department of Revenue records, and a status statement regarding any child support arrearage balance according to the Florida Clerks of the Circuit and County Courts, as to whether the claimant has an arrearage or owes past due child support and, if so, the amount thereof; a sworn statement by the employee that all existing child support obligations have been disclosed in the joint petition; and a letter from counsel stating that the carrier will issue a check in the amount of the arrearage and/or past due child support or such other amount to be approved by the judge or that claimant’s counsel will deposit the settlement proceeds in a trust account and will issue a check in the amount of the arrearage and/or past due child support or such other amount to be approved by the judge and that the check will be sent to the Department of Revenue or the Clerk of the Circuit and County Courts, Central Depository;

7. If the claimant is not a Florida resident, or was not a Florida resident on the date of accident, the judge may require the substantial equivalent of the status statements in subparagraph (2)(a)6. from the equivalent authorities in the state or county of residence at either the time of settlement or on the date of accident; and 

8. The OJCC may obtain child support arrearage data from the Florida Department of Revenue and the Clerk of the various Circuit and County Courts. The OJCC shall list the counties for which such information is available to the OJCC on the internet. For those agencies/counties listed, parties may obtain child support arrearage information through written inquiry to the OJCC.

(3) No hearing shall be held except as deemed necessary by the judge.

(4) Settlement approval when more than one current support order exists. When more than one current support order exists, the judge may approve a proposed settlement only if:

(a) It provides for an equitable share of settlement proceeds; and

(b) The allocation shall be prorated in accord with sSection 61.1301(4)(c), F.S.

(5) The judge shall consider the disclosed costs to the extent necessary to determine they do not include the attorney’s overhead or other fees. A claim for cost reimbursement in the amount of $250 or less shall not be set forth with specificity or detail. Any order approving a joint petition or settlement agreement need not approve costs paid by the claimant.

Rulemaking Authority 61.14(8)(a), 440.45(1)(a), (4) FS. Law Implemented 61.14(8)(a), 440.105(3)(c), 440.20(11), 440.34, 440.345, 440.45(1)(a), (4), (5) FS. History–New 2-23-03, Amended 11-1-06, 10-31-10, 10-31-12, 2-28-13, 11-10-14. [Date].

 

NAME OF PERSON ORIGINATING PROPOSED RULE: David Langham, [e-mail], [phone].

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Peter Antonacci

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: November 01, 2021

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: 10/14/2021