Posted On: November 11, 2008 by Steven J. Malman

Lawsuit Filed by Workers Who Were Denied Compensation Can Proceed Against Illinois Trucking Company and Insurer

The US 6th Circuit Court of Appeals has decided that the lawsuit filed by six workers who were denied compensation can proceed against Illinois-based trucking company Cassens Transport Co, Dr. Saul Margules, and insurance claims adjuster Crawford & Co. The suit accuses the defendants of wire fraud, mail fraud, and RICO (Racketeer Influenced and Corrupt Organizations Act) violations. Following the court’s ruling, the case can now proceed to district court.

According to the plaintiffs, the defendants engaged in a scheme to deny the employees their workers’ compensation benefits. The workers say that they were purposely sent to unqualified physicians, such as Margules, who issued bogus medical opinions and ignored relevant medical evidence so that they could deny injured workers their compensation benefits. The workers are also accusing Cassens Transport and claims adjuster Crawford of participating in fraudulent communications by mail and wire.

The case was initially dismissed in district court in 2005, with the 6th Circuit Court of appeals upholding US District Judge Borman’s decision. However, the US Supreme Court returned the case to the 6th circuit earlier in 2008 because of a ruling it made in a case involving similar issues related to alleged fraud.

Illinois Workers’ Compensation
Although workers are supposed to receive workers’ compensation benefits if they are injured on the job, there are situations when an employer or the insurance company might refuse to authorize payment or delay providing an injured worker compensation. In the event that a workers' compensation dispute arises, there are legal remedies available to injured workers, including arbitration before the Illinois Workers' Compensation Commission, as well as an appeals process that allows injured workers to take their claims to the Illinois Supreme Court.

Workers comp suit against trucking firm can proceed, Detnews.com, October 24, 2008

Appeals court reinstates workers lawsuit against trucking firm, DetNews.com, October 23, 2008


Related Web Resources:

Read the Circuit Court Ruling (PDF)

Cassens

Crawford and Company

Illinois Workers' Compensation Commission

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