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Appeals Board Rules 'de Facto' Control Sufficient to Stay Lien

Monday, March 11, 2019 | 1476 | 0 | 76 min read

California’s Workers’ Compensation Appeals Board on Friday issued a significant panel decision finding the automatic stay on liens can apply to a company that is effectively controlled by a provider even if that person is not designated as an officer and does not own at least 10% of the firm. The appeals board said it agreed with a trial judge who found sufficient evidence to conclude liens filed by Firstline Health should be stayed. However, the WCAB also said Firstline was denied a fair hearing because it didn’t have sufficient notice or opportunity to rebut the declar...

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