Section 29 of the New York State Workers’ Compensation Law gives a workers’ compensation carrier certain rights to be reimbursed for lost wage and medical payments from the proceeds of a third party recovery arising from the same injury.

There are many nuances which pertain to Section 29 reimbursements and special rules apply to motor vehicle accident cases. It is very important that your workers’ compensation attorney and personal injury attorney, if they are not the same person, fully understand the implications of Section 29.

The basic concept to remember is that if you have been injured at work and received both workers’ compensation and a personal injury recovery you will likely have to reimburse the workers’ compensation insurance company from the proceeds of your third party lawsuit. Additionally, settling your lawsuit may also allow the workers’ compensation carrier to suspend benefits to you as well as payments for future medical until the net proceeds have been exhausted. This is another complicated and technical concept. Suffice it to say, all options should be considered before settling your lawsuit and the implications of settlement should be discussed thoroughly so that there are no surprises when your lawsuit settles and your compensation likely ends.