July 23, 2008 : Weber Gallagher Attorneys Defend Claim for Unreasonable Contest Attorneys Fees

Zachary M. Rubinich and Megan K. Murray of the firm’s Philadelphia office recently defended a claim for unreasonable contest counsel fees during the litigation of a Suspension Petition.

A Petition to Suspend compensation benefits was filed based upon surveillance videotape obtained by the insurer of claimant allegedly working at an alternate employer. Claimant denied that she had returned to work. Claimant alleged that the surveillance investigator identified and observed the wrong person. During the course of litigation, it was determined that the surveillance investigator, in fact, observed claimant’s mother, rather than claimant, working at an alternate employer. The Petition for Suspension was immediately withdrawn by defense counsel. However, claimant’s counsel sought unreasonable contest attorneys fee and litigation costs for his time and effort to defend against the Suspension Petition.

A Workers’ Compensation Judge found that defendant’s filing of and contest of the Suspension Petition was at all times reasonable based upon the surveillance. The Judge noted that claimant and her mother share very similar physical features. The Judge determined that employer’s subsequent decision to withdraw the Suspension Petition was also reasonable. The Judge denied claimant’s counsel’s request for unreasonable contest attorneys fees and litigation costs of approximately $5,000.