Case Name: GOASA & SON, Employer, and American Motorists Insurance Company, Carrier, v. T. V. GOASA, Claimant
Court: Mississippi Supreme Court
Jurisdiction: Mississippi
Decision Date: 1968-03-25
Citations: 208 So. 2d 575
Docket Number: No. 44765
Parties: GOASA & SON, Employer, and American Motorists Insurance Company, Carrier, v. T. V. GOASA, Claimant.
Judges: All Justices except ROBERTSON, J., who dissents, concur in the method of apportionment.
Reporter: Southern Reporter, Second Series
Volume: 208
Pages: 575–585

Head Matter:
GOASA & SON, Employer, and American Motorists Insurance Company, Carrier, v. T. V. GOASA, Claimant.
No. 44765.
Supreme Court of Mississippi.
March 25, 1968.
Rehearing Denied April 15, 1968.
Dan McCullen, Butler, Snow, O’Mara, Stevens & Cannada, Jackson, for appellants.
Fraiser & Burgoon, Greenwood, for ap-pellee.

Opinion:
PATTERSON, Justice.
This appeal arises under the Mississippi Workmen's Compensation Act. It is from a judgment of the Circuit Court of Leflore County which affirmed the order of the Workmen's Compensation Commission which upheld the order of the attorney-referee. The appellants are Goasa & Son, a partnership, and American Motorists Insurance Company. The claimant, T. V. Goasa, appellee and cross-appellant, is one of the partners in Goasa & Son and is employed by such concern.
Claimant instituted this proceeding on April 12, 1965, for disability compensation resulting from an alleged myocardial infarction sustained on May 27, 1964. After hearings before the attorney-referee, an order was entered on September 28, 1966, which held that the claimant was permanently and totally disabled. The attorney-referee held, however, that claimant's heart condition was twenty-five per cent referable to the employment injury and seventy-five per cent referable to a pre-existing physical condition. The employer and carrier were ordered to pay for permanent total disability for a period not to exceed 450 weeks or $12,500, whichever is lesser in amount, said compensation to be paid at the rate of $35 per week from May 27, 1964, to the date of the order and thereafter at the rate of $10 per week plus payment of all reasonable and necessary medical services. The order of the attorney-referee was affirmed on March 30, 1967, by the full commission and this order was affirmed by the circuit court on May 22,1967.
The employer and carrier appeal to this Court assigning primarily as error the following :
1. The commission and court below erred as a matter of fact and as a matter of law in finding that claimant sustained an accidental injury which arose out of and in the course of his employment.
2. The commission and court below erred in giving any consideration or weight to the opinions of the claimant's medical experts as they assumed improper hypotheses upon which they based their opinions, and there was error in admitting the testimony of Dr. Wofford as he was offered as a rebuttal witness only and not in chief.
3. The commission and court below erred in not. making an apportionment effective from the date of the injury rather than from the date of the attorney-referee's order.
The claimant cross-appeals, assigning as error the actions of the lower commissions and tribunal in failing to assess the employer and carrier with the ten per cent penalty provided by Section 13(e) of the Mississippi Workmen's Compensation Act, Mississippi Code 1942 Annotated section 6998-19(e) (1952).
We have reviewed the entirety of the record and conclude that there is evidence to support the finding of the commission ; that claimant's disability was causally connected to his employment. This finding will therefore be affirmed under the familiar intonations of this Court that if there be substantial evidence to support the finding of the commission, such finding will not be disturbed by this Court on appeal.
The appellants' next assignment of error relating to the admission of medical testimony by Dr. Bright and Dr. Wofford is not well taken. The carrier objected to the testimony of Dr. Bright, a cardiologist, on the basis that on the morning of the hearing before the attorney-referee he discussed with the claimant the history of claimant's heart condition for the purposes of testifying and not for purposes of treating the claimant. This objection was properly sustained by the attorney-reféree. Thereafter, the doctor testified as to the medical history of the claimant which was gleaned from the hospital records and from conversations with the claimant while he was being treated by this witness. These facts were sufficient, according to the doctor's testimony, for him to know that claimant suffered a myocardial infarction. We conclude the attorney-referee properly excluded the doctor's opinion which was related to the history given on the morning of the hearing, but that the doctor's opinion was cured and made competent by subsequent testimony which clearly indicates the doctor was aware of the man's history and had in fact treated him. His testimony that there was a causal relation between claimant's infarction and resulting disability and his employment activities was competent for consideration by the fact-finding body.
The testimony of the next expert, Dr. Wofford, was objected to on the grounds that it was given in rebuttal and could therefore only negate the testimony of the carrier's witnesses without being effective as testimony in chief to support the claimant's theory of causal relationship between the work incident and the infarction. We are of the opinion this assignment of error is not well taken as the rules of evidence for the Workmen's Compensation Commission, a fact-finding agency, are not the same as that prescribed for ordinary civil actions. Much latitude is authorized the commission by way of informal conferences and hearings and permits the commission to make investigations, cause examinations to be made, and to take such further action as it considers proper to protect the rights of all the parties, as in Wells-Lamont Corp. v. Watkins, 247 Miss. 379, 386, 151 So.2d 600, 603 (1963), we stated:
The Workmen's Compensation Commission is a fact-finding agency, organized for the purpose of determining claims for compensation. The procedure before the Commission is not that prescribed for ordinary civil actions, brought in a regular trial court. Sec. 6998-24, Miss. Code 1942, prescribes the method of procedure and authorizes the "informal conferences and hearings in contested cases" and authorizes the procedure to be "determined by rules of the commission." Sec. 6998-19 permits the Commission to "make such investigations, cause such medical examinations to be made, or hold such hearings, and take such further action as it considers will properly protect the rights of all parties."
From the above it is our opinion that the testimony of Dr. Wofford was properly considered by the commission. This testimony was unequivocal in establishing that the employment activities of the claimant on the day he was hospitalized aggravated the myocardial infarction suffered by claimant.
The next assignment of error relating to apportionment of compensation being effective from the date of the injury rather than from the date of the attorney-referee's order is not well taken as this issue was decided to the contrary in Sanders v. Walker Construction Company, 251 Miss. 352, 169 So.2d 803 (1964), which was followed by Dillingham Manufacturing Company v. Upton, 252 Miss. 281, 288-289, 172 So.2d 766, 769 (1965), wherein we stated:
The rules of these two cases are correlative and supplementary to one another. Hence we hold that Upton was entitled to total and permanent disability benefits, without apportionment, until the date of the order of the attorney-referee, which was based upon a hearing, and at which medical testimony was received by the commission's referee and he determined the degree of apportionment. As Sanders held, the apportionment cannot be made at an earlier date.
Accordingly, the order of the commission is modified and amended to provide that Upton shall receive total and permanent disability benefits, without apportionment for pre-existing infirmities, from September 11, 1962, to October 10, 1963, the date of the order of the attorney-referee fixing the apportionment of contribution of the pre-existing condition. Thereafter appellants shall pay compensation to claimant in the amount fixed by the commission's order, with apportionment. However, compensation shall .continue for a period of not more than 450 weeks from the date of injury or until a maximum of $12,500 had been paid, including compensation received both before and after apportionment took effect, whichever of these figures shall be lesser in amount.
It is our opinion that these cases are dis-positive of the issue and we reaffirm our holdings therein as correctly stating the rules of apportionment of compensation benefits due to pre-existing infirmities. In reaffirming we take judicial notice of the fact that the Mississippi Legislature has met in both regular and special session subsequent to the announcement of the cited cases without enactment directed to apportionment of compensation benefits and has thus approved the construction of legislative intent placed thereon by this Court.
Claimant's cross appeal originates from Mississippi Code 1942 Annotated section 6998-19(e) (1952), which is as follows:
I f any installment of compensation payable without an award is not paid within fourteen (14) days after it becomes due, as provided in subdivision (b) of this section, there shall be added to such unpaid installment an amount equal to ten per centum (10%) thereof, which shall be paid at the same time as, but in addition to, such installment, unless notice is filed under subdivision (d) of this section, or unless such nonpayment is excused by the commission after a showing by the employer that owing to conditions over which he had no control such installment could not be paid within the period prescribed for the payment. (Emphasis added.)
The questions to be determined here are, first, whether the payment of this penalty is mandatory under the terms of the statute and second, whether the carrier had notice of cross-appellant's claim so that the section would apply to it. The carrier relies upon Mississippi Products, Inc. v. Gordy, 224 Miss. 690, 80 So.2d 793 (1955); Smith v. Crown Rigs, Inc., 245 Miss. 311, 148 So.2d 195 (1963); and Dunn, Mississippi Workmen's Compensation section 305 (2d ed. 1966), in support of its contention that the imposition of the ten per cent penalty is discretionary and not mandatory. Neither of the cases nor the section of Dunn relied upon are authority for cross-appellant's position. Mississippi Products Inc., supra, relates to failure of the employer to file reports of the claimant's injury as provided by Mississippi Code 1942 Annotated section 6998-34(d) (1952), the penalty there being discretionary with the commission by the terms of the act which is as follows:
Whenever an employer fails or refuses to file any report required of him by this section, the commission may in its discretion add a penalty not to exceed one hundred dollars ($100.00) to all or any awards which may be made as a result of the unreported injury. (Emphasis added.)
Smith, supra, had before it the section relating to the ten per cent penalty inasmuch as it was argued that the penalty should have been removed. In response thereto this Court made the statement in general terms that "penalties" are largely within the discretion of the commission and that it was our opinion that the commission was not manifestly wrong and the order imposing the penalty was affirmed. It is our opinion that this case is.not authority for the broad premise urged by the appellants that the award of the ten per cent penalty is discretionary with the Workmen's Compensation Commission in- all cases.
Finally, Section 305 of Dunn, supra, relates to the general construction of the compensation act in regard to penalties which states discretion might be used in regard thereto. However, Section 299 of the same work, which is directed to the exact statute here under consideration, states in the last paragraph of such section the following:
The imposition of the 10 percent penalty for delay in payment or delay in filing notice to controvert is not discretionary with the Commission, and if the Commission fails to impose the penalty, it may be ordered upon review by the Courts.
We conclude that neither of the authorities cited sustains the position of the carrier and cross-appellee, but rather the authorities are to the contrary when concerned with this specific section. These are: Harris, Dependents of v. Suggs, 233 Miss. 533, 102 So.2d 696 (1958); Alexander Smith, Inc. v. Genette, 232 Miss. 166, 98 So.2d 455 (1957); So. Engineering & Electric Co. v. Chester, 226 Miss. 136, 83 So.2d 811, 84 So.2d 535 (1955), concurring opinion; and Dunn, Mississippi Workmen's Compensation (2d ed. 1966). In Fo. Engineering, supra, the rule was announced as follows: "The requirements of Sec. 6998-19(a) and (e) are mandatory, unless there is a showing that it was not possible to make the payments within the "stated time." 226 Miss. at 150, 83 So.2d at 817.
The carrier made no effort to controvert the right to compensation under Mississippi Code 1942 Annotated section 6998-19(d) (1952). Neither was the carrier excused by the commission for failure to make payment due to conditions beyond its control. It is our opinion that the commission has no discretion in the application of Mississippi Code 1942 Annotated section 6998-19 (e) (1952) and must impose the penalty unless the same is controverted by the carrier or employer or is excused by the commission.
The remaining question to be determined is whether the carrier had notice of claimant's disability so that the above section would become effective against it. The attorney-referee specifically found that the carrier had notice, but failed in his order to make the award. The record reflects that the claimant was employed by the partnership of Goasa & Son. He was his own employee and, of course, had notice of his disability. His son, the other partner and employer, also had notice thereof as he related his father's illness to the insurance agency who sold them the workmen's compensation coverage. Though this notice was not in formal terms, it was sufficient to cause the carrier to make an investigation of claimant's disability and claim. Under the facts disclosed by the record we cannot say that the commission erred in its finding that the carrier did have notice of the disability and claim therefor as there was evidence to support this finding. The carrier neither filed notice to controvert the claim nor sought, due to circumstances beyond its control, to be excused therefrom. Under these circumstances we are of the opinion that the attorney-referee erred, as did the commission and the circuit court, in not awarding the ten per cent penalty.
Affirmed on direct appeal and reversed and remanded on cross appeal for the imposition by the Commission of the ten per cent penalty.
All Justices concur as to the disability being causally related to claimant's employment.
All Justices except ROBERTSON, J., who dissents, concur in the method of apportionment.
ETHRIDGE, C. J., and RODGERS, JONES, BRADY, and INZER, JJ., concur in the award of the penalty with GIL LESPIE, P. J., and SMITH and ROBERTSON, JJ., dissenting.