Rutherford v. Brooklyn Union Gas Co.
This case involves an appeal in a proceeding to confirm an arbitrator's award. The petitioner, an employee of Brooklyn Union Gas Company, was injured during employment and received workers' compensation and no-fault benefits. After settling a third-party action, the workers' compensation insurer, Utilities Mutual Insurance Co., obtained a lien on the recovery. The core issue was whether the petitioner was entitled to reimbursement from the no-fault carrier for the lien amount, based on the Court of Appeals' decision in Grello v Daszykowski and subsequent amendments to Workers' Compensation Law § 29. An arbitrator found in favor of the petitioner, but the Supreme Court vacated the award, arguing Grello should not be applied retroactively. The appellate court reversed this decision, confirming the arbitrator's award by citing the applicable statute and regulation.