Payment of Benefits in Excess of 3rd-Party Recovery Didn't Entitle Employer to Take All

The Illinois Appellate Court last week ruled that a municipal employer was not entitled to the entirety of an injured employee’s recovery from a third-party tortfeasor to satisfy its workers’ compensation lien. Although Illinois law recognizes an employer’s subrogation interest if a worker obtains damages from a civil defendant who is responsible for the injury, the court said the employer is not entitled to a lien merely because it paid workers’ compensation benefits. The court said the employer needs to prove the payments were connected to the injury for which the e...