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ÔÔ€"ÔÑ  ÑÒ  ÒÒ H ÒÑ\R AØ'\ÑÑ#€Xd#ÑÑ#€Xd#ÑÝ  Ý›Ñ  ÑÞ ÞÌà@ àò òIN€THE€SUPREME€COURT€OF€TENNESSEEÌà@ àSPECIAL€WORKERS'€COMPENSATION€APPEALS€PANEL̜ـ ÙßR€&'$A1-j|` à. `€€@ÿRß›à@ àAT€KNOXVILLEó óÌÌÌÌÌÌÌÌBLAINE€BRACKINS,à àà àà à)Ìà àà àà àà àà àà à)à àSEVIER€CIRCUITÌà àPlaintiff/Appellantà àà àà à)Ìà àà àà àà àà àà à)à àNO.€03S01„9607„„CV„00083à àÌv.à àà àà àà àà àà à)Ìà àà àà àà àà àà à)à àHON.€BEN€HOOPER,€II,ÌSEVIER€COUNTY,€TENNESSEE,à à)à àJUDGEÌSEVIER€COUNTY€BOARD€OF€à àà à)ÌEDUCATION€and€LOCALà àà àà à)ÌGOVERNMENT€WORKERSððà àà à)ÌCOMPENSATION€FUND,à àà àà à)Ìà àà àà àà àà àà à)Ìà àDefendants/Appelleesà àà à)ÌÌà àà àà àà àà àÌÌÌÌò òòòFor€the€Appellant:à àà àà àà àà àFor€the€Appellees:ÌÌó óóóRichard€T.€Wallaceà àà àà àà àà àElizabeth€A.€TownsendÌOgle€&€Wallace,€P.C.à àà àà àà àGerald€L.€Gulley,€Jr.Ì121€Court€Ave.à àà àà àà àà àBaker,€McReynolds,€Byrne,€OððKane,ÌSevierville,€TN€€37862à àà àà àà àà àShea€&€TownsendÌà àà àà àà àà àà àà àP.O.€Box€1708Ìà àà àà àà àà àà àà àKnoxville,€TN€€37901„1708ÌÌÌÌÌÌÌÌò òòòÓ  ÓM€E€M€O€R€A€N€D€U€M€€€O€P€I€N€I€O€NÌóóó óÌò òòòÌÌMembers€of€Panel:Ìóóó óÌE.€Riley€Anderson,€JusticeÌJohn€K.€Byers,€Senior€JudgeÌRoger€E.€Thayer,€Special€JudgeÌÓ  ÓÌÌÌÌÌÌÌò òAFFIRMED€IN€PART,ó óÌò òREVERSED€IN€PART€andÌREMANDEDà àà àà àà àà àà àBYERS,€Senior€JudgeÌÓÓó óà àThis€workers'€compensation€appeal€has€been€referred€to€the€SpecialÏWorkers'€Compensation€Appeals€Panel€of€the€Supreme€Court€in€accordance€withÏTenn.€Code€Ann.€ðð€50„6„225(e)(3)€for€hearing€and€reporting€to€the€Supreme€CourtÏof€findings€of€fact€and€conclusions€of€law.€Ìà àThe€trial€judge€found€that€plaintiff€was€50%€permanently€partially€disabled€asÏa€result€of€his€work„related€injury€by€accident.€€He€further€found€that€the€workersððÏcompensation€carrier€was€entitled€to€a€credit€of€$104,430.64,€plaintiffððs€net€recoveryÏfor€his€third„party€tort€settlement.€€He€held€that€he€could€not€exclude€recovery€for€lossÏof€consortium€from€plaintiffððs€net€recovery€because€no€specific€amount€of€thatÏrecovery€was€apportioned€to€loss€of€consortium.€€He€limited€the€recovery€for€medicalÏexpenses€to€plaintiffððs€out„of„pocket€expenses.€€He€granted€the€plaintiffððs€attorney€aÏ20%€fee€from€the€medical€expenses€awarded€and€stated€that€plaintiffððs€attorney€mayÏhave€to€look€to€plaintiffððs€attorney€in€the€third„party€action€for€the€rest€of€his€fee.Ìà àThe€plaintiff€below€appeals€the€trial€courtððs€judgment€raising€the€followingÏissues:Ìà à1)€€Whether€the€evidence€preponderates€against€the€trial€courtððs€finding€thatÏplaintiff€retains€50%€permanent€partial€disability€to€the€body€as€a€whole.Ìà à2)€€Whether€the€trial€court€erred€in€allowing€the€defendant€a€credit€against€theÏportion€of€the€third„party€tort€recovery€which€is€attributable€to€plaintiffððs€spouseððsÏrecovery€for€loss€of€consortium.Ìà à3)€€Whether€the€trial€court€erred€by€not€crediting€the€full€amount€of€medicalÏexpenses€against€the€net€recovery€because€the€plaintiffððs€group€hospitalizationÏinsurer€had€not€filed€a€subrogation€claim.Ìà à4)€€Whether€the€trial€court€should€have€required€the€defendant€to€pay€theÏplaintiffððs€attorneyððs€fees.Ìà àWe€affirm€the€judgment€of€the€trial€court€except€as€to€the€issue€of€medicalÏexpenses,€for€which€the€defendant€is€liable€in€full.Ìà àThe€plaintiff€was€injured€in€a€car€accident€on€August€1,€1990€while€he€wasÏtraveling€in€the€course€of€his€employment€with€the€Sevier€County€Board€ofÏEducation.€€The€plaintiff,€who€was€53€years€of€age€at€the€time€of€trial,€continues€toÏwork€for€the€same€employer€at€a€higher€wage€than€the€wage€he€was€earning€at€theÏtime€of€his€accident.€€He€has€a€limited€education,€having€completed€the€eighth€gradeÏand€attended€part€of€the€ninth€grade;€however,€he€testified€that€can€read€and€writeÏð ðpretty€good.ðð€€His€former€work€experience€includes€work€as€a€farm€hand,€in€theÏmilitary,€self„employment€performing€small„engine€repairs,€as€a€laborer,€thenÍsupervisor€at€a€grocer€wholesaler€and€for€Activated€Metals€&€Chemicals,€where€heÏworked€for€11€years.Ìà àPlaintiff€testified€that€he€is€now€limited€in€his€ability€to€perform€heavy€lifting,Ïstand€or€walk€for€prolonged€periods,€climb€ladders€and€get€into€and€out€of€a€truck.€€AÏformer€supervisor€testified€to€similar€limitations€on€plaintiffððs€ability€to€work,€and€a€co„worker€testified€that€plaintiff€was€able€to€do€only€about€30%€of€what€he€could€doÏbefore€his€car€accident.Ìà àDr.€Paul€Thomas,€an€orthopaedic€surgeon,€treated€plaintiff€at€the€hospital€andÏprovided€follow„up€care€until€he€moved€to€Franklin,€Tennessee€in€late€1991.€€HeÏdescribed€plaintiffððs€most€serious€injuries€as€being€his€right€hip€fracture€and€aÏfracture€of€the€femoral€shaft€in€his€right€leg.€€He€performed€surgery€on€plaintiff,Ïinserting€a€rod€to€promote€healing€of€the€femoral€shaft.€€€He€further€testified€thatÏplaintiff€received€a€rather€severe€laceration€on€the€back€of€his€right€foot,€whichÏresulted€in€reflex€sympathetic€dystrophy€in€plaintiffððs€right€foot.€€He€testified€that€thisÏcondition€involves€pain€and€swelling€and€could€remain€the€same€or€improve.Ìà àDr.€Thomas€assigned€the€plaintiff€impairments€based€on€the€then„currentÏthird€edition€of€the€òòGuides€to€the€Evaluation€of€Permanent€Impairmentóó€published€byÏthe€American€Medical€Association.€€These€impairment€ratings€were:€€33%€to€theÏlower€extremity€due€to€the€ankle,€18%€due€to€the€knee€and€29%€due€to€the€hip,€aÏtotal€of€61%€to€the€lower€extremity€or€24%€to€the€body€as€a€whole.€€He€last€saw€theÏplaintiff€on€September€17,€1991€and€opined€that€he€would€defer€to€Dr.€Smith€if€Dr.ÏSmith€opined€that€plaintiffððs€ankle€problem€had€resolved.€€If€plaintiffððs€ankle€problemÍhad€resolved,€he€opined€that€the€plaintiff€would€retain€a€15%€to€18%€impairment€toÏthe€body€as€a€whole.Ìà àDr.€Smith€treated€the€plaintiff€after€Dr.€Thomas€for€a€hypertrophic€non„union€ofÏthe€femur,€replacing€the€rodding€in€plaintiffððs€leg€with€a€larger€rod.€€He€alsoÏperformed€arthroscopic€surgery€on€plaintiffððs€knee,€during€which€he€discovered€aÏmedial€meniscus€tear€and€fairly€advanced€arthritis.€€He€was€uncertain€whetherÏplaintiffððs€medial€meniscus€tear€preceded€his€injury€or€whether€plaintiffððs€arthritisÏwas€exacerbated€by€his€injury.€€He€did€not€treat€plaintiffððs€ankle€problem€andÏseemed€to€believe€that€plaintiffððs€ankle€problems€had€resolved.€€He€assigned€theÏplaintiff€medical€impairment€ratings€of€four€percent€to€the€hip€and€eight€percent€toÏthe€knee,€twelve€percent€to€the€body€as€a€whole.€€Ìà àThe€medical€records€of€Dr.€William€McPeake,€an€orthopaedic€surgeon,€whoÏtreated€plaintiff€for€his€problems€with€his€ankle€reflects€Dr.€McPeakeððs€opinion€thatÏplaintiff€would€retain€a€permanent€impairment€from€his€injury€to€his€ankle.Ìà àPlaintiff€testified€that€he€did€not€have€any€problems€with€his€hip,€knee€or€ankleÏprior€to€his€work„related€injury.€€He€further€testified€that€his€right€ankle€continues€toÏswell€and€to€cause€him€pain€and€showed€the€trial€judge€his€ankles.Ìà àPlaintiff€and€his€wife€received€a€settlement€from€a€third„party€action€based€onÏthe€August€1,€1990€accident.€€The€check,€in€the€amount€of€€$210,000.00,€was€madeÏout€to€both€plaintiff€and€his€wife.€€There€was€no€allocation€made€for€what,€if€any,€ofÏthis€was€attributable€to€loss€of€consortium.€€At€the€time€of€the€settlement,€the€workersððÏcompensation€carrier€had€paid€medical€expenses€of€$48,266.72.€€Since€theÏsettlement,€plaintiff€has€incurred€a€further€$35,482.22€in€medical€expenses€relatedÍto€treatment€of€his€right€leg,€none€of€which€was€paid€by€the€workersðð€compensationÏcarrier.€€Of€that€amount,€plaintiff€paid€$5,079.85€and€defendantððs€groupÏhospitalization€insurer€paid€the€remainder,€but€this€insurer€has€not€made€a€claimÏagainst€the€plaintiff€or€the€workersðð€compensation€carrier€for€reimbursement.Ìà àOur€review€of€this€case€is€òòde€novoóó,€accompanied€by€the€presumption€that€theÏtrial€courtððs€findings€of€fact€are€correct€unless€the€preponderance€of€the€evidence€isÏotherwise.€€T.C.A.€ðð€50„6„225(e)(2).€€Where€there€is€an€issue€of€law€and€not€of€fact,Ïour€standard€of€review€is€òòde€novoóó€without€a€presumption€of€correctness.€€òòBradshawÏv.€Old€Republic€Ins.€Co.óó,€922€S.W.2d€503,€503€(Tenn.€1996).Ìà àWe€have€reviewed€the€medical€evidence€and€the€lay€testimony€and€find€theÏevidence€does€not€preponderate€against€the€trial€courtððs€award€of€50%€permanentÏpartial€disability€to€the€body€as€a€whole.Ìà àThe€trial€judge€found€the€settlement€of€the€plaintiffððs€action€against€the€thirdÏparty€did€not€allocate€a€specific€amount€of€the€recovery€to€the€wife€for€loss€ofÏconsortium.€€Because€of€this,€the€trial€judge€held€he€was€unable€to€reduce€the€off„setÏto€which€the€defendant€was€entitled€on€the€basis€of€a€deduction€in€the€amount€of€netÏrecovery€for€loss€of€consortium.€€We€find,€under€the€facts€surrounding€this€case,€theÏtrial€judge€was€correct€in€his€ruling€on€this€issue.Ìà àHowever,€we€reverse€the€trial€courtððs€judgment€on€the€issue€of€the€employerððsÏliability€for€medical€expenses.€€This€Court€has€previously€held€that€an€employerÏcannot€receive€a€set„off€against€its€legal€obligation€to€pay€for€an€employeeððs€medicalÏexpenses€related€to€his€work„related€injury€because€of€payments€made€by€its€groupÏhospitalization€insurer€for€those€same€expenses.€€òòKoehring„Southern€&€Am.€Mut.ÍIns.€Co.€v.€Burnetteóó,€225€Tenn.€147,€464€S.W.2d€820€(1970);€òòAmerican€BridgeÏDivision,€U.S.€Steel€Corp.€v.€McClungóó,€206€Tenn.€317,€333€S.W.2d€557€(1960).€€WeÏdo€not€see€a€difference€between€allowing€the€workersðð€compensation€carrier€creditÏfor€such€payments€in€this€case€and€a€credit€or€set„off€against€the€employersðð€liabilityÏin€those€cases.€€We€are€not€persuaded€by€the€defendantððs€argument€that€the€groupÏhospitalization€insurerððs€failure€to€request€reimbursement€in€this€case€affects€theÏdefendantððs€liability€under€the€Tennessee€Workersðð€Compensation€Law.Ìà àPlaintiffððs€attorney€is€entitled€to€a€20%€fee€on€all€medical€expenses€recoveredÏby€plaintiff.€€òòLangford€v.€Liberty€Mut.€Ins.€Co.óó,€854€S.W.2d€100€(Tenn.€1993).€€He€isÏnot€entitled€to€attorneyððs€fees€to€be€paid€by€the€defendant.Ìà àWe,€therefore,€affirm€the€judgment€of€the€trial€court€except€as€to€the€issue€ofÏmedical€expenses,€on€which€we€reverse€the€trial€courtððs€judgment.€€Costs€are€taxedÏequally€to€the€plaintiff€and€the€defendant.€€This€case€is€remanded€for€all€appropriateÏpurposes.ÌÌÓÓà àà àà àà àà àà àòò€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€óóÌà àà àà àà àà àà àJohn€K.€Byers,€Senior€JudgeÌÌCONCUR:ÌÌÌÌòò€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€óóÌE.€Riley€Anderson,€JusticeÌÌÌÌòò€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€óóÌœRoger›€E.€Thayer,€Special€œJudgeÇÒ  ÒÒ H Òà àà àà àÌà àà àIN€THE€SUPREME€COURT€OF€TENNESSEEÌà à€€€€€€€€€€€€€Ìà àà à€à à€€€€€€€€€AT€KNOXVILLEÌÌÌÌÒ S ÒÒ H ÒBLAINE€BRACKINSà à€€€€€€€€€€€€€€€€€€€€€€€€€)€€€€€SEVIER€CIRCUITÌ€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€€)€€€€€€No€.92„811€€€€€€€à à€€€€€€à àÏà àà àPlaintiff/Appellant,à àà à€à à€)à à€à àÌà àà àà àà àà àà à€)Ìvs.€€à àà àà àà àà àà à€)€€€€€€€Hon.€Ben€Hooper,€II,€€à àà à€€€€€€€€Ïà àà àà àà àà àà à€)€€€€€€€€Judgeà àÌà àà àà àà àà àà à€)€€€€€Ìà àà à€à àà àà àà à€)à àÌSEVIER€COUNTY,€TENNESSEE,à àà à€)ÌSEVIER€COUNTY€BOARD€OFà àà à€)ÌEDUCATION€and€LOCALà àà àà à€)ÌGOVERNMENT€WORKERSððà àà à€)ÌCOMPENSATION€FUND,à àà àà à€)à à€Ìà à€€€€à àà àà àà à€€€€€€€€€€€€€)à àÌà àDefendants/Appellees.à àà à€)à à03S01„9607„CV„00083ÌÔ€"îÔÌÌÓffÓà àà àà à€€€€€€€€€€€òòJUDGMENT€ORDERóóÌà àà àThis€case€is€before€the€Court€upon€the€entire€record,Ïincluding€the€order€of€referral€to€the€Special€WorkerððÏCompensation€Panel,€and€the€Panelððs€Memorandum€OpinionÏsetting€forth€its€findings€of€fact€and€conclusions€of€law,€which€areÏincorporated€herein€by€reference;Ìà àÌà àWhereupon,€it€appears€to€the€Court€that€the€MemorandumÏOpinion€of€the€Panel€should€be€accepted€and€approved€;€andÌÌà àIt€is,€therefore,€ordered€that€the€Panelððs€findings€of€act€andÏconclusions€of€law€are€adopted€and€affirmed,€and€the€decision€ofÏthe€Panel€is€made€the€Judgment€of€the€Court.ÌÌà àCosts€on€appeal€are€taxed€equally€to€the€plantiff€and€theÏdefendant€for€which€execution€may€issue€if€necessary.€€Ì€04/22/97à àà àà àà àà àà àÌÌÌÌÔ€"XÔà à›