44-5,121. Same; cause of action to recover economic losses. (a) Any person who has suffered economic loss by a fraudulent or abusive act or practice shall have a cause of action against any other person to recover such loss which was paid as benefits or other amounts of money which were paid under the workers compensation act and to seek relief for other monetary damages from such other person based on a fraudulent or abusive act or practice, except that such other monetary damages shall not include damages for nonpecuniary loss. Relief under this section is to be predicated upon exhaustion of administrative remedies available in K.S.A. 44-1,520 and amendments thereto.
(b) Nothing in this section or K.S.A. 44-5,120 and amendments thereto shall prohibit an employer from exercising a right to reimbursement under K.S.A. 44-534a, 44-556 or 44-569a and amendments thereto.
History: L. 1993, ch. 286, § 2; L. 1997, ch. 125, § 19; July 1.
Law Review and Bar Journal References:
"Worker's Compensation Review," J.K.T.L.A. Vol. XIX, No. 4, Review Section, 1 (1996).
"For Workers Compensation A Civil Remedy: Fraud and Abuse," John D. Shultz and Donald E. Shultz, J.K.T.L.A. Vol. XIX, No. 6, 32 (1996).
CASE ANNOTATIONS
1. Workers compensation claimant who has suffered economic loss because of fraud may bring action under section. Elliot v. Dillon Companies, 21 Kan. App. 2d 908, 909, 908 P.2d 1345 (1996).
2. Amendment requiring employee exhaust administrative remedies before asserting claim of fraudulent practices in KWCA (K.S.A. 44-501 et seq.) proceeding applied prospectively. Nowlin v. K-Mart Corp., 50 F.Supp.2d 1064, 1072 (1999).
3. Attorney innocent of willful conduct is not liable under section, but is liable for retained contingent fee. Excel Corp. v. Jimenez, 269 Kan. 291, 7 P.3d 1118 (2000).
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