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Court: Carrier's Conversion Claim Fails Without Adjudication of Comparative Negligence

Friday, October 2, 2026 | 0

A workers' compensation carrier cannot pursue conversion and related claims to recover a disputed lien from an injured worker's third-party settlement before the employer's comparative negligence has been adjudicated, a California appellate court ruled. The 3rd Appellate District Court of Appeal, in affirming a trial court decision granting summary judgment in favor of Guadalupe Reyes-Cano on Wednesday, explained that a determination of the employer's liability was a necessary prerequisite to determine what, if anything, he was required to pay Federal Insurance Co. "The ...

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