Castleberry v. Hudson Valley Asphalt Corp.
This case concerns an application by a plaintiff, injured in 1973, for the apportionment of attorney's fees incurred in a third-party action. The plaintiff, who receives weekly workers' compensation benefits from Utica Mutual Insurance Co., secured a $75,000 settlement after an initial judgment was set aside on appeal. The central issue was whether the compensation carrier, Utica Mutual, should bear the full amount of the attorney's fees for the $75,000 settlement, thereby vacating its $20,402 lien. The court, exercising its discretion under Workers’ Compensation Law § 29, determined that since the entire settlement benefited the carrier by reducing its future obligations, the carrier should be responsible for all attorney's fees, and its lien was consequently vacated.