Rawley v. J.J. White, Inc.

Summary

The Delaware Supreme Court affirmed dismissal of Foster Rawley’s claim for liquidated damages and attorney’s fees under 19 Del. C. § 2357. The court held that when an employer or insurer disputes the reasonableness of a specific medical charge, the claimant must first seek resolution before the Industrial Accident Board under § 2346. A Huffman claim is available only after payment has been ordered or a specific charge has been reviewed and agreed to but remains unpaid.

Holdings

1. When an employer or insurer disputes the reasonableness or amount of a specific medical expense, the claimant must first seek resolution from the Industrial Accident Board under 19 Del. C. § 2346. A § 2357 Huffman claim for liquidated damages is premature until the disputed bill has been ordered paid by the Board or the employer has reviewed and agreed to pay the specific charge.
2. An agreement that a medical procedure is compensable is not an agreement to pay a specific medical charge when the actual amount and reasonableness of that charge are not known.
3. The Superior Court properly dismissed Rawley's complaint because Rawley had not exhausted the Industrial Accident Board remedy for resolving the disputed medical charge.

Questions Presented

1. Whether an injured worker may bring a Huffman claim for liquidated damages under 19 Del. C. § 2357 based on an employer's failure to pay a disputed medical bill before petitioning the Industrial Accident Board under 19 Del. C. § 2346.
2. Whether the employer's agreement that knee replacement surgery was compensable constituted an agreement to pay the specific hospital charge at issue.
3. Whether the Superior Court properly dismissed Rawley's complaint as premature or untimely.

Disposition

affirmed