Court Strikes Down Part of Subrogation Calculus as Unconstitutional

The Montana Workers’ Compensation Court ruled that the statutory formula to calculate whether an insurer may exercise its right of subrogation was unconstitutional to the extent it does not include the claimant's costs of recovery in his third-party claim. Case: Hogan v. Federated Mutual Insurance Co., No. 2020-5103, 04/09/2021, published. Facts and procedural history: Brady Hogan suffered a leg injury while working for a subcontractor on a construction site. Doctors amputated the leg below the knee. Federated Mutual Insurance Co. provided workers’ compensation cov...