CompFox AI Summary
The Workers' Compensation Appeals Board (WCAB) rescinded a prior finding that a lien claimant's agreement with a collection agency constituted an assignment, thereby relieving CIGA of liability. The WCAB found that the agreement, despite granting broad authority to the collection agency, did not transfer ownership of the lien. Ultimately, the WCAB determined that the lien claimant retained ownership and the right to collect, making the claim a covered claim under the relevant statute. The case was returned to the WCJ for further proceedings and a new decision.
Full Decision Text1 Pages
The Workers' Compensation Appeals Board (WCAB) rescinded a prior finding that a lien claimant's agreement with a collection agency constituted an assignment, thereby relieving CIGA of liability. The WCAB found that the agreement, despite granting broad authority to the collection agency, did not transfer ownership of the lien. Ultimately, the WCAB determined that the lien claimant retained ownership and the right to collect, making the claim a covered claim under the relevant statute. The case was returned to the WCJ for further proceedings and a new decision.
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