Honorable David P. Bell Opinion No. M-1048 

Executive Director 

Industrial Accident Board Re: Authority of Industrial 

P. 0. Box 12757, Capitol Station Accident Board to make 

Austin, Texas 78711 refunds under H.B. 686, 

62nd Leg., R.S., 1971 (Ch. 

515, p. 1755). in the situDear Mr. Bell: ations presented. 

YOU have requested the opinion of this office regarding the 

above question. In connection with this request, you have furnished us the following information: 

"under H.B. 686, effective July 1, 1971, the 

Industrial Accident Board is authorized to collect 

a $7.50 filing fee on each legal entity filing 

notice of coverage with this agency. Since the 

inception date of this Bill, numerous situations 

have arisen wherein this agency has deemed it appropriate to make refund of monies received and 

accepted by this agency. For example: 

"1. Notice of coverage is filed with the 

Industrial Accident Board accompanied by check 

for filing fee which through clerical error is for 

an amount in excess of that required. Occasionally 

the check is accepted and deposited before the 

error is discovered. 

. 

“2. Occasionally duplicate payments will be 

made on the same filing, and accepted and deposited 

before the error is discovered. 

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I 

Hon. David P. Bell, page 2 (M-1048) 

“3. Notice of coverage filed with the Industrial 

Accident Board and through clerical error in issuing 

the policy, the insurance company must cancel and 

issue a new policy and therefore, make a new filing 

with this agency. 

"4. Notice of coverage on a three year policy 

is filed with the Industrial Accident Board with 

check for $22.50 covering policy period. During first 

year policy is cancelled flat. 

"The above examples are not exhaustive, but 

give a good indication of the problem at hand. 

Under Examples 1 and 2, clearly there is an overpayment which should be refunded. Example, 3 results 

in a double payment because a filing fee is required 

on the second filing even though covering the same 

policy period for which payment has already been made. 

Under Example 4 a collection was made for the second 

and third year, and the policy will not be in effect 

during that period of time. In the event coverage is 

again taken out by that employer, then an additional fee 

will be required making a double payment by that employer if no refund of the prior payments can be made 

by this agency." 

We find no specific authority in either House Bill 686 or 

in the workmen's compensation law (Art. 8306, et seq., V.C.S.) 

to make refund of any of the monies paid under the circumstances 

presented by you. In this connection we note that the monies 

have been paid into the State Treasury and not into the suspense 

account maintained in the State Treasurer's office under authority 

of Article 4388, Vernon's Civil Statutes. 

In the absence of specific statutory authorization, the 

general law of this state expressed in its court decisions 

recognizes three separate grounds which will support a claim for 

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Hon. David P. Bell, page 3 (M-1048) 

refund of taxes or fees paid to the state; these are 1) fraud, 

2) mistake of fact, and 3) duress, Attorney General Opinions Nos. 

O-6282 (1945), O-6974 (1945), and O-7113 (1946). With reference 

to duress we cite particularly the recent case of State v. Connecticut General Life Insurance Company, 382 S.W.2d 745 (Tex.Sup. 

1964). A copy of Attorney General's Opinion No. 6282, stpra, 

accompanies our present opinion to you. 

Even though the fac,ts might support a claim for refund under 

any of these grounds, yet no refund may be made unless funds have 

been appropriated for that purpose by the Legislature pursuant to 

Article VIII, Section 6, of our Texas Constitution which reads, 

in its relevant part, 

"No money shall be drawn from the Treasury but 

in pursuance of specific appropriation made by 

law: . D .I' 

Whether each claim for refund which you mention, and all other 

claims made to you, may be approved by you as being supported by 

sufficient facts under any of the recognized grounds for refund 

is a question fir& for your determination. At,ty. Genl. Opin. 

No. M-517 (1969). However, in the absence of an appropriation or 

statute authorizing such refund payments out of designated funds 

by the Legislature, you are not authorized to make any refunds 

of these fees remitted to you and by you paid into the S.tate 

Treasury D 

SUMMARY 

Erroneous or improper filing fees 

paid to the Industrial Accident Board under 

H-B, 686, 62nd Legi,slature, Regular Session, 

1.971, and placed in the St,ate Treasury, may 

not be refunded in the absence of a specific 

appropriation by the Legislature of funds for 

that purpose. 

tra1y yours, 

Att 

# 

ney General of Texas 

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Hon. David P. Bell, page 4 (M-1048) 

Prepared by Malcolm L. Quick 

Assistant Attorney General 

APPROVED: 

OPINION COMMITTEE 

Kerns Taylor, Chairman 

W. E. Allen, Co-Chairman 

Sam Jones 

Marietta Payne 

Rex White 

David Longoria 

SAM MCDANIEL 

Staff Legal Assistant 

ALFRED WALKER 

Executive Assistant 

NOLA WHITE 

First Assistant 

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