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A Summary Of Recent Pennsylvania Appellate Decisions

Mutual Automobile Insurance Co. v. Foster that (1) they are suffering from an
No. 2007 MAP 2003 (December 30, 2005) objectively verifiable physical injury,
Holding: An insurer may deny uninsured and (2) the injury arose in the course of
motorist benefits to an insured claimant employment and was related thereto.
who fails to report the accident to the Justice Saylor filed a concurring
police or other governmental authority as opinion, and Justice Newman filed a
required by the policy and the Motor dissenting opinion.
Vehicle Financial Responsibility Law, 75 ►Supersedeas Fund Reimbursement
Pa.C.S. §§ 1701-1799.7. Justice Saylor ♦ Comm., Dept. of Labor & Industry
filed a concurring opinion, concluding v. Workers' Compensation Appeal Board
that regardless of the language of the (Exel Logistics) No. 37 WAP 2004
MVFRL, a carrier may include a police (December 28, 2005)
notification provision in the terms of an Holding: An employer is not entitled to
auto insurance policy. Justice Baer filed Supersedeas Fund reimbursement for
a dissenting opinion, joined by Justice compensation and medical bills paid while
Castille, in which he characterized the a Petition for Forfeiture is pending
provision at issue as a "technical escape because the petition for forfeiture was
hatch by which to deny coverage in the pursuant to § 306(f.1)(8), and not §
absence of prejudice." Justice Nigro did 413 or § 430 of the Act. Justice Newman
not participate in the decision of the filed a dissenting opinion, in which
case. Justices Castille and Baer joined.
1.2. CIVIL PROCEDURE 1.4. NEW RULES OF CIVIL PROCEDURE
► Service of Process ►Disclosure of Legal Malpractice
♦ McCreesh v. City of Philadelphia Insurance Coverage
No. 31 EAP 2005 (December 28, 2005) ♦ Rule of Professional Conduct
Holding: After an action has been 1.4(c)
commenced, a plaintiff must provide Effective July 1, 2006, lawyers in
notice of the action to the defendant in private practice are required to notify
order for the purpose of the statute of their clients if they do not have
limitation to be fulfilled. A complaint professional liability insurance of at
should, therefore, only be dismissed in least $100,000 per occurrence and
those cases in which the plaintiff has $300,000 in the aggregate per year,
demonstrated an intent to stall the subject to commercially reasonable
judicial machinery or when plaintiff's deductibles. The Rule also specifies the
failure to comply with the Rules of Civil language of the required disclosures, and
Procedure has prejudiced the defendant. mandates that attorneys maintain a record
Justice Newman filed a dissenting of the disclosures for six years after
opinion. Justice Eakin also filed a termination of the representation of a
dissenting opinion, joined by Justice client.
Nigro. ►Consumer Credit Transactions
The Supreme Court has yet again revisited ♦ New Rules of Civil Procedure 1326
its decision in Lamp v. Heyman, 366 A.2d to 1331
882 (Pa. 1976). In McCreesh, the Court Effective February 1, 2006, the Court has
now holds that a plaintiff need not promulgated Rules of Civil Procedure
strictly comply with the Rules by governing proceedings to compel
repeatedly reissuing a writ of summons; arbitration and to confirm an arbitration
instead, the Court looks to the good award in a claim arising from a consumer
faith efforts of a plaintiff to credit transaction.
effectuate service, including considering 2. SUPERIOR COURT OF PENNSYLVANIA
whether a defendant has actual notice of 2.1. ►Defamation - Conditional
the litigation and is not prejudiced by Privilege
the lack of strict compliance with the ♦ Moore v. Cobb-Nettleton
Rules of Civil Procedure. The facts here 2005 PA Super 426 (December 21, 2005)
- in which plaintiff attempted to serve Holding: A social worker, who makes
the writ by certified mail in clear professional disclosures required by
violation of the Rules - are certain to Pennsylvania law, is entitled to a
generate further litigation. The true conditional privilege in a defamation
food for thought - and further litigation lawsuit.
- appears in Justice Eakin's dissent, in 2.2. ►Learned Intermediary Doctrine
which he states: ♦ Lineberger v. Wyeth
The "majority has developed a new rule 2005 Westlaw 3547682 (Pa. Super.,
holding a trial court may only dismiss a December 21, 2005) Holding: In a
case where there is ineffective service pharmaceutical failure to warn case, the
in two distinct situations: (1) where the plaintiff must establish both a duty to
plaintiff's actions evidence an intent to warn and a failure to warn. The plaintiff
stall the judicial machinery, or (2) must also show that, had the defendant
where the plaintiff's failure to comply issued a proper warning to the physician
with the Rules of Civil Procedure has (the learned intermediary), the learned
actually prejudiced the defendant. . . intermediary would have altered his or
.The majority goes so far as to suggest her behavior, i.e., would not have
that without prejudice, actual notice prescribed the drug, and the injury would
itself, much less proper service, may be have been avoided.
unnecessary." This is an unpublished opinion, although
1.3. WORKERS' COMPENSATION counsel for Wyeth has stated that he will
►Impairment Rating Evaluations request that the Court publish the
(IREs) opinion.
♦ Gardner v. Workers' Compensation 3. COMMONWEALTH COURT OF PENNSYLVANIA
Appeal Board No. 14 EAP 2004 (December 3.1. ►Workers' Compensation -
28, 2005) Hepatitis C
Holding: An employer/workers' ♦ City of Philadelphia v. Workers'
compensation carrier must request that a Compensation Appeal Board (Sites) No.
workers' compensation claimant submit to 1410 C.D. 2005 (December 21, 2005)
an Impairment Rating Evaluation within Holding: Hepatitis C may be deemed an
sixty (60) days from the date that the occupational disease even if the
claimant receives, or comes into condition was not specifically identified
possession of 104 weeks of total as an occupational disease until after
disability benefits in order to obtain the claimant's diagnosis.
the automatic relief under 77 P.S. § 3.2. ►Workers' Compensation -
511.2(2). If an employer fails to request Suspension/Bad Faith
an IRE within this time period, it may ♦ Virgo v. Workers' Compensation
still request an IRE at a later date Appeal Board (County of
pursuant to 77 P.S. § 511.2(6), but must Lehigh-Cedarbrook) No. 1167 C.D. 2005
utilize the traditional administrative (December 22, 2005)
process in order to modify a claimant's Holding: An employer is entitled to a
disability status. Justice Nigro filed a suspension of benefits when an employee
concurring opinion, and Justice Newman is discharged from employment because of
filed a dissenting opinion. "bad faith" in carrying out her job
Workers' compensation practitioners who responsibilities. This is a classic
had been awaiting the decision in Gardner example of bad facts making bad law (at
now know that an employer/insurer can least for workers' compensation
request an IRE up to two times within any claimants). One of the most common
twelve-month period. The only limitation questions raised by injured workers is
on an employer's right to an IRE is that what happens if they return to work at
the employer cannot avail itself of the light duty and are then fired because of
automatic relief under the Act if the allegedly unsatisfactory job performance.
exam is not requested within 60 days of This case answers the questions, holding
the employee's receipt of 104 weeks of that workers' compensation benefits may
benefits. In reality, this means that a be suspended under those circumstances.
workers' compensation carrier is now able Of course, in this case, the employee did
to reduce virtually every claimant to not have a "clean" record, and it was
partial disability status at any time easy for the Court to uphold the
after the claimant has received two years suspension. What happens, however, when
of benefits. Although a claimant can try the unsatisfactory performance occurs
to defend against a modification petition only after the employee is at light duty
based upon an IRE, the fact that and, as employees frequently claim, their
literally no claimant can meet the firing is a pretext because the employer
statute's requirement that he or she have only wants them to work at full duty?
a 50 percent impairment means that any Time will tell.
defenses will, at best, delay the SUPERIOR COURT OF NEW JERSEY, APPELLATE
inevitable. DIVISION OPINION
►Physical Versus Mental Injuries ► Doe v. XYC Corp.
♦ Panyko v. Workers' Compensation No. A-2909-04T2 (December 27, 2005)
Appeal Board No. 37 WAP 2004 (December Holding: An employer on notice that one
28, 2005) of its employees is using a workplace
Holding: A claimant who suffers a purely computer to access pornography, possibly
physical injury, such as a heart attack, child pornography, has a duty to
because of a psychic reaction to a investigate the employee's activities and
working condition, is not required to to take prompt and effective action to
establish that the working condition was stop the unauthorized activity, lest it
abnormal. Thus, claimants allegedly result in harm to innocent third parties.
suffering from physical injuries are not No privacy interest of the employee
required to show that their injuries are stands in the way of the duty on the part
the result of abnormal working of the employer.
conditions. Rather, they need only show




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