Recently, the Missouri Supreme Court, in the case of Joseph Banks v. Clint Zweifel, Treasurer of the State of Missouri, SC90131, determined that the Missouri Workers Compensation second injury fund can pursue subrogation actions in the circuit courts of Missouri.
Prior to this ruling the issue was whether or not the second injury fund subrogation case needs to be heard in the Work Comp courts or the State Circuit Courts. The Missouri Supreme Court's ruling was based on the premise that “the [second injury] fund’s common-law subrogation interest does not arise under the worker’s compensation act.” The Missouri work comp courts only have the authority to determine issues under the Missouri workers’ compensation act, so the authority for subrogation cases lies with the circuit court.
Subrogation occurs when a personal injury case is pending against a 3rd party that caused the workplace injury, the second injury fund uses subrogation to recover some of what they paid out to the victim under the work comp settlement which is separate than any Missouri personal injury settlement or judgment.
