COURT UPHOLDS DOWNS WC RULING

The Texas Supreme Court denied a motion for rehearing in the case of Downs v. Continental Casualty Co., Cause No. 04-99-00111-CV, letting stand a previous decision in the case, which concerns the timing of a carrier’s notice of intent to pay or refusal to pay benefits after receiving notice of an injury. According to the Texas Workers’ Compensation Commission, the 4th Court of Appeals in San Antonio issued a revised decision in Downs, holding that “a carrier waives its right to deny compensability if it fails to comply with section 409.021(a) of the Texas Labor Code by either agreeing to begin the payment of benefits or giving written notice of its refusal to pay within seven (‘7’) days after receiving written notice of an injury.” The Supreme Court’s decision not to consider the Motion for Rehearing filed by the insurance carrier means the requirement to adhere to a 7 day “pay or dispute” provision is now final. All previous advisories issued by TWCC regarding this issue are superseded by its current advisory and the Supreme Court decision. For more information on this case, visit the TWCC website at www.twcc.state.tx.us.