85.22 LIABILITY OF OTHERS -- SUBROGATION.
When an employee receives an injury or incurs an occupational
disease or an occupational hearing loss for which compensation is
payable under this chapter, chapter 85A or chapter 85B, and which
injury or occupational disease or occupational hearing loss is caused
under circumstances creating a legal liability against some person,
other than the employee's employer or any employee of such employer
as provided in section 85.20 to pay damages, the employee, or the
employee's dependent, or the trustee of such dependent, may take
proceedings against the employer for compensation, and the employee
or, in case of death, the employee's legal representative may also
maintain an action against such third party for damages. When an
injured employee or the employee's legal representative brings an
action against such third party, a copy of the original notice shall
be served upon the employer by the plaintiff, not less than ten days
before the trial of the case, but a failure to give such notice shall
not prejudice the rights of the employer, and the following rights
and duties shall ensue:
1. If compensation is paid the employee or dependent or the
trustee of such dependent under this chapter, the employer by whom
the same was paid, or the employer's insurer which paid it, shall be
indemnified out of the recovery of damages to the extent of the
payment so made, with legal interest, except for such attorney fees
as may be allowed, by the district court, to the injured employee's
attorney or the attorney of the employee's personal representative,
and shall have a lien on the claim for such recovery and the judgment
thereon for the compensation for which the employer or insurer is
liable. In order to continue and preserve the lien, the employer or
insurer shall, within thirty days after receiving notice of such suit
from the employee, file, in the office of the clerk of the court
where the action is brought, notice of the lien.
2. In case the employee fails to bring such action within ninety
days, or where a city or a city under special charter is such third
party, within thirty days after written notice so to do given by the
employer or the employer's insurer, as the case may be, then the
employer or the insurer shall be subrogated to the rights of the
employee to maintain the action against such third party, and may
recover damages for the injury to the same extent that the employee
might. In case of recovery, the court shall enter judgment for
distribution of the proceeds thereof as follows:
a. A sum sufficient to repay the employer for the amount of
compensation actually paid by the employer to that time.
b. A sum sufficient to pay the employer the present worth,
computed at the interest rate provided in section 535.3 for court
judgments and decrees, of the future payments of compensation for
which the employer is liable, but the sum is not a final adjudication
of the future payments which the employee is entitled to receive and
if the sum received by the employer is in excess of the amount
required to pay the compensation, the excess shall be paid to the
employee.
c. The balance, if any, shall be paid over to the employee.
3. Before a settlement shall become effective between an employee
or an employer and such third party who is liable for the injury, it
must be with the written consent of the employee, in case the
settlement is between the employer or insurer and such third person;
and the consent of the employer or insurer, in case the settlement is
between the employee and such third party; or on refusal of consent,
in either case, then upon the written approval of the workers'
compensation commissioner.
4. A written memorandum of any settlement, if made, shall be
filed by the employer or insurance carrier in the office of the
workers' compensation commissioner.
5. For subrogation purposes hereunder, any payment made unto an
injured employee, the employee's guardian, parent, next friend, or
legal representative, by or on behalf of any third party, or the
third party's principal or agent liable for, connected with, or
involved in causing an injury to such employee shall be considered as
having been so paid as damages resulting from and because said injury
was caused under circumstances creating a legal liability against
said third party, whether such payment be made under a covenant not
to sue, compromise settlement, denial of liability or otherwise.
6. When the state of Iowa has paid any compensation or benefits
under the provisions of this chapter, the word "employer" as used
in this section shall mean and include the state of Iowa.
85.22 LIABILITY OF OTHERS -- SUBROGATION.
When an employee receives an injury or incurs an occupational
disease or an occupational hearing loss for which compensation is
payable under this chapter, chapter 85A or chapter 85B, and which
injury or occupational disease or occupational hearing loss is caused
under circumstances creating a legal liability against some person,
other than the employee's employer or any employee of such employer
as provided in section 85.20 to pay damages, the employee, or the
employee's dependent, or the trustee of such dependent, may take
proceedings against the employer for compensation, and the employee
or, in case of death, the employee's legal representative may also
maintain an action against such third party for damages. When an
injured employee or the employee's legal representative brings an
action against such third party, a copy of the original notice shall
be served upon the employer by the plaintiff, not less than ten days
before the trial of the case, but a failure to give such notice shall
not prejudice the rights of the employer, and the following rights
and duties shall ensue:
1. If compensation is paid the employee or dependent or the
trustee of such dependent under this chapter, the employer by whom
the same was paid, or the employer's insurer which paid it, shall be
indemnified out of the recovery of damages to the extent of the
payment so made, with legal interest, except for such attorney fees
as may be allowed, by the district court, to the injured employee's
attorney or the attorney of the employee's personal representative,
and shall have a lien on the claim for such recovery and the judgment
thereon for the compensation for which the employer or insurer is
liable. In order to continue and preserve the lien, the employer or
insurer shall, within thirty days after receiving notice of such suit
from the employee, file, in the office of the clerk of the court
where the action is brought, notice of the lien.
2. In case the employee fails to bring such action within ninety
days, or where a city or a city under special charter is such third
party, within thirty days after written notice so to do given by the
employer or the employer's insurer, as the case may be, then the
employer or the insurer shall be subrogated to the rights of the
employee to maintain the action against such third party, and may
recover damages for the injury to the same extent that the employee
might. In case of recovery, the court shall enter judgment for
distribution of the proceeds thereof as follows:
a. A sum sufficient to repay the employer for the amount of
compensation actually paid by the employer to that time.
b. A sum sufficient to pay the employer the present worth,
computed at the interest rate provided in section 535.3 for court
judgments and decrees, of the future payments of compensation for
which the employer is liable, but the sum is not a final adjudication
of the future payments which the employee is entitled to receive and
if the sum received by the employer is in excess of the amount
required to pay the compensation, the excess shall be paid to the
employee.
c. The balance, if any, shall be paid over to the employee.
3. Before a settlement shall become effective between an employee
or an employer and such third party who is liable for the injury, it
must be with the written consent of the employee, in case the
settlement is between the employer or insurer and such third person;
and the consent of the employer or insurer, in case the settlement is
between the employee and such third party; or on refusal of consent,
in either case, then upon the written approval of the workers'
compensation commissioner.
4. A written memorandum of any settlement, if made, shall be
filed by the employer or insurance carrier in the office of the
workers' compensation commissioner.
5. For subrogation purposes hereunder, any payment made unto an
injured employee, the employee's guardian, parent, next friend, or
legal representative, by or on behalf of any third party, or the
third party's principal or agent liable for, connected with, or
involved in causing an injury to such employee shall be considered as
having been so paid as damages resulting from and because said injury
was caused under circumstances creating a legal liability against
said third party, whether such payment be made under a covenant not
to sue, compromise settlement, denial of liability or otherwise.
6. When the state of Iowa has paid any compensation or benefits
under the provisions of this chapter, the word "employer" as used
in this section shall mean and include the state of Iowa.
85.22 LIABILITY OF OTHERS -- SUBROGATION.
When an employee receives an injury or incurs an occupational
disease or an occupational hearing loss for which compensation is
payable under this chapter, chapter 85A or chapter 85B, and which
injury or occupational disease or occupational hearing loss is caused
under circumstances creating a legal liability against some person,
other than the employee's employer or any employee of such employer
as provided in section 85.20 to pay damages, the employee, or the
employee's dependent, or the trustee of such dependent, may take
proceedings against the employer for compensation, and the employee
or, in case of death, the employee's legal representative may also
maintain an action against such third party for damages. When an
injured employee or the employee's legal representative brings an
action against such third party, a copy of the original notice shall
be served upon the employer by the plaintiff, not less than ten days
before the trial of the case, but a failure to give such notice shall
not prejudice the rights of the employer, and the following rights
and duties shall ensue:
1. If compensation is paid the employee or dependent or the
trustee of such dependent under this chapter, the employer by whom
the same was paid, or the employer's insurer which paid it, shall be
indemnified out of the recovery of damages to the extent of the
payment so made, with legal interest, except for such attorney fees
as may be allowed, by the district court, to the injured employee's
attorney or the attorney of the employee's personal representative,
and shall have a lien on the claim for such recovery and the judgment
thereon for the compensation for which the employer or insurer is
liable. In order to continue and preserve the lien, the employer or
insurer shall, within thirty days after receiving notice of such suit
from the employee, file, in the office of the clerk of the court
where the action is brought, notice of the lien.
2. In case the employee fails to bring such action within ninety
days, or where a city or a city under special charter is such third
party, within thirty days after written notice so to do given by the
employer or the employer's insurer, as the case may be, then the
employer or the insurer shall be subrogated to the rights of the
employee to maintain the action against such third party, and may
recover damages for the injury to the same extent that the employee
might. In case of recovery, the court shall enter judgment for
distribution of the proceeds thereof as follows:
a. A sum sufficient to repay the employer for the amount of
compensation actually paid by the employer to that time.
b. A sum sufficient to pay the employer the present worth,
computed at the interest rate provided in section 535.3 for court
judgments and decrees, of the future payments of compensation for
which the employer is liable, but the sum is not a final adjudication
of the future payments which the employee is entitled to receive and
if the sum received by the employer is in excess of the amount
required to pay the compensation, the excess shall be paid to the
employee.
c. The balance, if any, shall be paid over to the employee.
3. Before a settlement shall become effective between an employee
or an employer and such third party who is liable for the injury, it
must be with the written consent of the employee, in case the
settlement is between the employer or insurer and such third person;
and the consent of the employer or insurer, in case the settlement is
between the employee and such third party; or on refusal of consent,
in either case, then upon the written approval of the workers'
compensation commissioner.
4. A written memorandum of any settlement, if made, shall be
filed by the employer or insurance carrier in the office of the
workers' compensation commissioner.
5. For subrogation purposes hereunder, any payment made unto an
injured employee, the employee's guardian, parent, next friend, or
legal representative, by or on behalf of any third party, or the
third party's principal or agent liable for, connected with, or
involved in causing an injury to such employee shall be considered as
having been so paid as damages resulting from and because said injury
was caused under circumstances creating a legal liability against
said third party, whether such payment be made under a covenant not
to sue, compromise settlement, denial of liability or otherwise.
6. When the state of Iowa has paid any compensation or benefits
under the provisions of this chapter, the word "employer" as used
in this section shall mean and include the state of Iowa.
