BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 258|
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THIRD READING
Bill No: SB 258
Author: Lieu (D)
Amended: 5/2/13
Vote: 21
SENATE LABOR & INDUSTRIAL RELATIONS COMMITTEE : 4-1, 5/8/13
AYES: Lieu, Leno, Padilla, Yee
NOES: Wyland
SUBJECT : Workers compensation
SOURCE : Author
DIGEST : This bill (1) requires that all seven members of the
Workers Compensation Appeals Board (WCAB) be experienced
attorneys at law admitted to practice in the State of
California; (2) clarifies that the prohibition of an order or
award for payment of a lien to an assignee is only applicable
for liens assigned on or after January 1, 2013, and therefore
would have no effect on liens assigned prior to January 1, 2013;
and (3) declares the lien assignment provisions declarative of
existing law.
ANALYSIS : Existing law establishes a workers' compensation
system that provides benefits to an employee who suffers from an
injury or illness that arises out of and in the course of
employment, irrespective of fault. This system requires all
employers to secure payment of benefits by either securing the
consent of the Department of Industrial Relations to self-insure
or by securing insurance against liability from an insurance
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company duly authorized by the State.
Existing law provides for the WCAB, a separate judicial body
that is vested with judicial authority to address disputes
within the workers' compensation system.
Existing law provides that the WCAB consists of seven members,
appointed by the Governor with the advice and consent of the
Senate. Five of the members of the appeals board shall be
experienced attorneys at law admitted to practice in the State
of California. Two members need not be attorneys at law.
Existing law permits the WCAB to determine and allow liens
against any sum to be paid as compensation for a variety of
services or expenses. Allowable liens include a reasonable fee
for legal services, the reasonable expense incurred in the
provision of medical services, and the reasonable value of
living expenses of an injured employee subsequent to the injury.
Existing law prohibits an order or award for payment of a lien
to an assignee, unless the person who provided the services has
ceased doing business in the capacity held at the time the
expenses were incurred and has assigned all right, title, and
interests in the remaining accounts receivable to the assignee.
This bill requires that all seven members of the WCAB be
experienced attorneys at law admitted to practice in the State
of California.
This bill clarifies that the prohibition of an order or award
for payment of a lien to an assignee is only applicable for
liens assigned on or after January 1, 2013, and therefore would
have no effect on liens assigned prior to January 1, 2013.
This bill declares the lien assignment provisions declarative of
existing law.
FISCAL EFFECT : Appropriation: No Fiscal Com.: No Local:
No
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PQ:k 5/8/13 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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