Appeal by defendants from the North Carolina Industrial
Commission's (Commission) opinion and award entered 26 January
2001. Heard in the Court of Appeals 22 January 2002.
Raymond M. Marshall, for plaintiff-appellee.
Orbock Bowden Ruark & Dillard, PC, by Barbara E. Ruark and
Stephanie Britt Woods, for defendants-appellants.
TYSON, Judge.
McDonald's (individually defendant) and Wausau Insurance
Company (collectively defendants) appeal from the Commission's
opinion and award, which awarded Debra Frazier (plaintiff) (1)
ongoing total disability compensation, (2) all unpaid portions of
temporary partial disability compensation, (3) all medical
expenses, and (4) reasonable attorney fees and costs. We affirm
the Commission's opinion and award in part and reverse and remand
in part.
I. Facts
Defendant employed plaintiff as a cashier during May of 1997.
Plaintiff suffered from a pre-existing knee condition. In 1974,plaintiff underwent patellectomy surgery to remove both her
kneecaps. Plaintiff experienced various knee-related problems and
surgeries subsequent to 1974, including episodes of falling,
oftentimes sustaining additional injuries.
Evidence in the record shows that patients who experienced
patellectomies suffer from (1) pain and weakness in their knees,
(2) a buckling sensation, (3) falls as a result of buckling and
collapsing of the knee, and (4) degenerative arthritis, which
exacerbates all symptoms. The evidence indicates that plaintiff
has fallen many times injuring her knees, ankles, shoulder, and
back prior to beginning employment with defendant. The evidence
also shows that plaintiff has fallen many times after defendant
terminated her employment. Dr. Walton Curl (Dr. Curl),
plaintiff's orthopedic surgeon, testified that each injury to her
knees aggravates her pre-existing knee condition.
Plaintiff is forty-four years old and obese. Plaintiff
testified that prior to beginning work for defendant, she
experienced swelling in her knee, discomfort, and knee buckling
problems.
In February of 1997, Dr. Curl informed plaintiff that she
would be disabled for the next six months due to knee problems.
Dr. Curl testified in his deposition that plaintiff should not have
been working during that six month period. Dr. Curl further
testified that plaintiff was completely disabled and could not work
from August 1993 until August 1997 as a result of her pre-existing
condition. Despite this diagnosis, plaintiff accepted employmentwith defendant in May 1997. Plaintiff testified that she continued
to experience discomfort in her knee after she started to work for
defendant, but that she tolerated it.
Plaintiff continued to see Dr. Curl off and on throughout
1997, including a visit on 8 July 1997 for knee pain stemming from
her pre-existing condition and aggravation from having mis-stepped
into a hole and fallen prior to beginning employment with
defendant. Plaintiff testified that she was complaining about
increased pain and stiffness in her right knee.
Plaintiff fell while working for defendant on 2 August 1997.
On 6 August 1997, plaintiff saw Dr. Curl complaining of neck, low
back and right knee pain. Dr. Curl noted that plaintiff had
advanced degeneration in her right knee with some valgus deformity.
Dr. Curl saw plaintiff again on 29 October 1997 and placed
permanent work restrictions of no bending, stooping, climbing, or
lifting over fifteen pounds. Patient may return as cashier. It
is unclear from the record if Dr. Curl restricted plaintiff to four
or eight hours per day at that time.
Plaintiff again fell and aggravated her right knee and injured
her neck on 1 January 1998 while at work. This injury is at issue
on appeal. Dr. Curl examined plaintiff, and he concluded that she
sustained a contusion or a bruise to her right knee and a right
neck strain as a result of the 1 January 1998 fall at work.
Plaintiff was currently attending physical therapy. Dr. Curl told
her to continue with physical therapy for her right knee and her
neck with heat and ultrasound . . . rehabilitation. Defendants paid plaintiff temporary total disability until
plaintiff returned to work on 12 February 1998, part-time with work
restrictions per Dr. Curl's instructions. Defendants' payments
were made pursuant to Form 63, Notice to Employee of Payment of
Compensation without Prejudice to Later Deny the Claim Pursuant to
N.C. Gen. Stat. § 97-18(d), which defendants had signed on 23
January 1998. (
See Shah v. Howard Johnson, 140 N.C. App. 58, 535
S.E.2d 577 (2000) for the implications and proper use of Form 63.)
Plaintiff's work restrictions were the same as those in October of
1997, with the exception that plaintiff was not to work more than
4 hours per day. Plaintiff testified that she worked about
thirty-something hours per week at that time. Defendants then
paid plaintiff temporary partial disability compensation based on
her reduced earning capacity.
Plaintiff was terminated on 11 March 1998 after her cash
register drawer was short by $44.83. Defendants continued to pay
plaintiff partial disability compensation. Plaintiff testified
that she has not sought employment after she was terminated.
Plaintiff also testified that she had received a certificate from
community college when she went to school to be [a] nurse . . .
[and that she] worked at Winston-Salem Convalescent Center. She
worked as a sitter with patients that needs [sic] someone to be
in the room with them.
On or about 18 July 1998, defendants filed a Form 24,
Application to Terminate or Suspend Payment of Compensation
Pursuant to N.C. Gen. Stat. § 97-18.1 . The claim was assigned forhearing on 3 September 1998. The case was heard by Deputy
Commissioner Morgan S. Chapman (Deputy Chapman) on 6 April 1999.
Deputy Chapman filed an opinion and award on 14 December 1999. The
award granted plaintiff compensation for (1) temporary partial
disability from 11 March 1998 through 15 June 1998 pursuant to 97-
29 and 97-30, subject to a credit for compensation previously paid
by defendants, (2) permanent partial disability pursuant to 97-
31(13) and (19) for a one percent permanent partial disability
rating to her right arm at a rate of $131.82 per week for 2.4
weeks, (3) all of plaintiff's medical expenses that resulted from
the compensable injury, and (4) costs.
Plaintiff filed her notice of appeal to the Commission on 17
December 1999. The Commission reconsidered the evidence, reversed
Deputy Chapman's opinion and award, and filed a new opinion and
award on 26 January 2001. The Commission's award granted plaintiff
(1) ongoing total disability compensation of $131.82 per week for
the period 11 March 1998 until she returns to work or until further
order of the Commission pursuant to G.S. § 97-29, (2) all unpaid
portions of the temporary partial disability compensation to which
she is entitled, (3) all medical expenses, and (4) reasonable
attorney fees and costs. Defendants appeal.
II. Issues
Defendants assign nineteen errors to the Commission's opinion
and award. Defendants argue in their brief two issues: (1) that
plaintiff's current inability to work is not related to her work
injury, and (2) that plaintiff's injuries after 15 June 1998 werenot a direct consequence of her 1 January 1998 work injury. All
other assignments raised but not argued are abandoned. N.C.R. App.
P. 28(b)(5)(2001).
III. Standard of Review
Our review of an opinion and award is limited to whether
there is any competent evidence in the record to support the
Commission's findings of fact and whether these findings support
the Commission's conclusions of law.
Lineback v. Wake County Bd.
of Comm'rs, 126 N.C. App. 678, 680, 486 S.E.2d 252, 254 (1997).
The judgment of credibility of the witness and the weight to be
given their testimony is entirely with the Commission.
Melton v.
City of Rocky Mount, 118 N.C. App. 249, 255, 454 S.E.2d 704, 708
(1995) (citation omitted). Findings of fact are conclusive upon
appeal if supported by competent evidence, even if there is
evidence to support a contrary finding.
Morrison v. Burlington
Indus., 304 N.C. 1, 282 S.E.2d 458 (1981). We cannot uphold the
Commission's award if not supported by competent evidence.
Horn v.
Sandhill Furniture Co., 245 N.C. 173, 176, 95 S.E.2d 521, 523
(1956).
IV. Plaintiff's Inability to Work and Earning Capacity
A. Termination
Defendants contend that [p]laintiff is no longer able to work
at McDonald's not as a result of her injury, but due to the fact
that she violated the cash drawer policy of McDonald's, and was
terminated. Defendants argue that plaintiff has constructively
refused to accept suitable employment and is not entitled tobenefits.
To substantiate their argument, defendants must first show
that the employee was terminated for misconduct or fault, unrelated
to the compensable injury, for which a nondisabled employee would
ordinarily have been terminated.
Seagraves v. Austin Co. of
Greensboro, 123 N.C. App. 228, 234, 472 S.E.2d 397, 401 (1996).
The Commission found as fact that [d]efendants have failed to
produce credible evidence that plaintiff's termination on 11 March
1998 was for misconduct or fault for which a non-disabled employee
would also have been terminated, and concluded that plaintiff did
not constructively refuse employment.
Plaintiff was reprimanded in writing for drawer shortages on
two occasions prior to her compensable injury and prior to her
termination. Plaintiff was given an Employee Warning written
notice after her second shortage on 18 December 1997. Under
Action To Be Taken on the notice, plaintiff's supervisor wrote:
the next time you are short, you will get a week off without pay.
Billy Scales, a supervisor with McDonald's, testified that those
words, written on plaintiff's Employee Warning notice,
established the termination policy for plaintiff.
Plaintiff's drawer was again short $44.83 on 9 March 1998,
after the 1 January 1998 compensable injury. Instead of being
punished with a week off without pay, plaintiff's employment was
terminated. Billy Scales testified that the fair response would
have been to suspend plaintiff for one week rather than terminate
her. We hold that there is competent evidence in the record tosupport the Commission's finding and conclusion that defendants
failed to show that plaintiff's termination was for misconduct or
fault, unrelated to her compensable injury, for which a
nondisabled employee would ordinarily have been terminated.
Seagraves, 123 N.C. App. at 234, 472 S.E.2d at 401.
Plaintiff is therefore entitled to receive compensation for
temporary partial disability from 11 March 1998 through 15 June
1998 as set forth in the Commission's opinion and award. According
to the award, plaintiff is entitled to have defendants pay to her
temporary partial disability at the rate of two-thirds difference
between her former average weekly wage of $197.75 and the weekly
wages she was able to earn from 10 February 1998 through 15 June
1998. Plaintiff was terminated on 9 March 1998. Defendants were
unable to satisfy its burden that plaintiff constructively refused
to work. Plaintiff did not earn wages from 11 March 1998 until 15
June 1998. Therefore, plaintiff is entitled to two-thirds of her
former average weekly wage of $197.75 from 11 March 1998 until 15
June 1998. That portion of the Commission's opinion and award is
affirmed. We remand for a proper determination of the remaining
amounts owed, if any.
B. Plaintiff's Earning Capacity
Defendants contend that the Commission erred in its conclusion
of law that plaintiff was entitled to ongoing total disability.
Defendants argue that no competent evidence exists in the record to
show that plaintiff was incapable of earning wages as a direct and
natural consequence of her 1 January 1998 accident. Defendantsclaim that competent evidence shows that plaintiff's wage earning
capacity is greater now than it was from between August 1993 and
August 1997.
The dispositive issue here is whether plaintiff is totally
incapable of earning wages as a result of her 1 January 1998
injury. Under the Workers' Compensation Act, disability is
defined by a diminished capacity to earn wages, not by physical
infirmity.
Saums v. Raleigh Community Hosp., 346 N.C. 760, 764,
487 S.E.2d 746, 750 (1997). To support a conclusion of diminished
earning capacity, the plaintiff must prove and the Commission must
find that: (1) after the injury plaintiff was incapable of earning
the same wages earned before the injury in the same, or other
employment, and (2) plaintiff's incapacity to earn wages was caused
by the injury.
Saums, at 346, 763, 487 S.E.2d 746, 749 (citing
Hilliard v. Apex Cabinet Co., 305 N.C. 593, 595, 290 S.E.2d 682,
683 (1982)).
A claimant who asserts that he is entitled to
compensation under N.C. Gen. Stat. § 97-29 has
the burden of proving that he is, as a result
of the injury arising out of and in the course
of his employment, totally unable to earn
wages which . . . [he] was receiving at the
time [of injury] in the same or any other
employment.
Burwell v. Winn-Dixie Raleigh, Inc., 114 N.C. App. 69, 73, 441
S.E.2d 145, 149 (1994) (quoting
Tyndall v. Walter Kidde Co., 102
N.C. App. 726, 730, 403 S.E.2d 548, 550,
disc. rev. denied, 329
N.C. 505, 407 S.E.2d 553 (1991)). The Workers' Compensation Act
was never intended to provide the equivalent of general accident
or health insurance.
Vause v. Vause Farm Equip. Co., 233 N.C.88, 92, 63 S.E.2d 173, 176 (1951).
After careful review of the entire record, we hold that no
competent evidence exists upon which the Commission could have
relied to support its finding of fact that plaintiff has no earning
capacity as a direct result of plaintiff's 1 January 1998 injury.
The Commission made the following finding of fact:
23. As the result of her 1 January 1998
injury by accident and related conditions,
plaintiff has been unable to earn wages in her
former position with defendant-employer or in
any other employment from 11 March 1998
through the present and continuing.
The Commission concluded that plaintiff is entitled to have
defendants pay to her ongoing total disability compensation . . .
for the period of 11 March 1998 through the present and continuing
until such time as she returns to work or until further order of
the Commission. G.S § 97-29. The competent evidence in the
record, considered as a whole and viewed in the light most
favorable to the plaintiff, proves otherwise.
First, plaintiff failed to show her incapacity to earn wages
was a result of her injury on 1 January 1998. Dr. Curl testified
that plaintiff had severe and continuing problems with her knee
buckling before the 1 January 1998 accident. Dr. Curl testified
that plaintiff was completely disabled and unable to work from
August 1993 until August 1997. Dr. Curl also testified that during
that period plaintiff should not have been working.
Dr. Curl testified that plaintiff had a permanent partial
disability rating prior to the 1 January 1998 accident based on her
pre-existing condition. Dr. Curl also testified that I don'tthink that I intended to raise her permanent partial disability
rating above what she already had . . . as a result of plaintiff's
1 January 1998 accident. Dr. Curl further testified that on 29
October 1997, before her 1 January 1998 accident, he placed
permanent restrictions on plaintiff's ability to work: no bending,
stooping, climbing, or lifting over fifteen pounds. Patient may
return as cashier. Dr. Curl testified that the work restrictions
he had given plaintiff remained in effect when he saw her on 25
March 1998, and that the restrictions, with respect to her knee,
had not changed.
Dr. Walter Davis (Dr. Davis), who specializes in workers'
compensation cases and occupational injuries, issued a report about
plaintiff's condition on 19 May 1998. Dr. Curl summarized that
report and testified as to what Dr. Davis had concluded. In May of
1998, Dr. Davis refused to administer a new functional capacity
evaluation as requested by Dr. Curl. Dr. Curl testified that Dr.
Davis had opined that since she had had a prior FCE . . . and that
her condition at this time was about the same as what she'd had
prior to her fall, that he did not think a new functional capacity
evaluation would add anything to her assessment. Dr. Davis
released [plaintiff] to work eight hours a day, forty hours a week
at light physical demand classification [work] . . . . Dr. Davis
and Dr. Curl both concluded that plaintiff had reached maximum
medical improvement as of 15 June 1998.
Dr. Curl was asked by plaintiff's counsel given that she had
a preexisting condition in her right knee, do you believe the fall[of 1 January 1998] caused an acceleration of that degenerative
process to occur. Dr. Curl responded [n]o I think it just
aggravated it. I don't think it necessarily accelerated the
process. Dr. Curl testified that while the 1 January 1998
accident may have aggravated [plaintiff's] pre-existing condition,
it hasn't necessarily aggravated her capacity to earn wages. Dr.
Curl agreed that plaintiff's capacity to earn wages now is
greater than it was prior to the accident.
Second, plaintiff did not stop working for defendant because
she was physically incapable of performing the job. She stopped
because defendant terminated her employment. There is no evidence
in the record that plaintiff was unable to work for defendant,
under the same work restrictions, had she not been terminated.
Third, plaintiff testified that she did not seek other
employment after defendant terminated her. Plaintiff failed to
show that she was incapable of earning wages in any other
employment. She testified that she has a nursing certificate, and
that she once worked as a sitter in patients' rooms. This
evidence suggests that nurse sitting would satisfy Dr. Curl's and
Dr. Davis' work restrictions.
Although there was some evidence that the 1 January 1998
accident may have aggravated her pre-existing condition, all the
evidence shows that plaintiff is not totally incapable of earning
wages. The competent evidence shows that after 15 June 1998,
plaintiff's wage earning capacity was greater than or equal to that
prior to 1 January 1998. Accordingly, no finding of fact supports the Commission's
conclusion of law that plaintiff is entitled to permanent and total
disability pursuant to G.S. § 97-29.
V. Plaintiff's Injuries After 15 June 1998
Defendants contend that while the fall [compensable injury]
may have aggravated plaintiff's condition symptomatically it did
not aggravate the underlying condition of her knee, and that
plaintiff's injuries after 15 June 1998 were not a direct and
natural consequence of her January 1, 1998 accident. We agree.
In order to obtain compensation under the Workers'
Compensation Act, the claimant has the burden of proving the
existence of his disability and its extent.
Hendrix v. Linn-
Corriher Corp., 317 N.C. 179, 185, 345 S.E.2d 374, 378 (1986);
Hilliard, 305 N.C. at 595, 290 S.E.2d at 684. One way plaintiff
may meet this burden is by the production of medical evidence that
[she] is physically or mentally,
as a consequence of the work
related injury, incapable of work in any employment . . . .
Russell v. Lowes Prod. Distribution, 108 N.C. App. 762, 765, 425
S.E.2d 454, 457 (1993) (citations omitted)(emphasis supplied).
The Commission found as fact and concluded that plaintiff's
injuries sustained as a result of her 29 July 1998 and 9 September
1998 incidents were a direct and natural consequence of her 1
January 1998 injury by accident. We do not find any competent
evidence in the record to support this finding or conclusion.
Dr. Curl testified that plaintiff would have eventually had
knee buckling problems even if she never had the compensableinjury on 1 January 1998. Dr. Curl also testified that the two
primary causes of plaintiff's knee pain and weakness were her (1)
two patellectomies and (2) degenerative arthritis in her knees.
Dr. Curl was asked is it equally likely that [plaintiff's
subsequent falls after 15 June 1998] would have occurred in the
absence of the fall at McDonald's in . . . January of '98? He
responded affirmatively. Dr. Curl further testified that he had no
way of knowing with any certainty whether plaintiff's pre-existing
conditions, or which of the various falls she experienced, caused
her knee buckling problems after 15 June 1998.
We thoroughly reviewed the entire record and hold that there
is no competent evidence in the record to support the Commission's
finding of fact and conclusion of law that plaintiff's post 15 June
1998 injuries were a direct and natural consequence of her 1
January 1998 compensable work injury.
VI. Conclusion
We affirm that portion of the award that defendants shall pay
all unpaid portions of the temporary partial disability
compensation . . . . We also affirm the award for reasonable
attorney's fees and costs. We remand for a determination of the
proper amount of attorney's fees and costs in light of our holding,
and for a determination of the remaining amounts owed from
temporary partial disability compensation, if any. We reverse the
Commission's award for ongoing total disability compensation.
We affirm the opinion and award in part and reverse and remand
in part. Affirmed in part, reversed in part and remanded.
Judges GREENE and HUNTER concur.
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