Opinion ID: 1313063
Heading Depth: 1
Heading Rank: 7

Heading: determination of existence of workers' compensation insurance

Text: In response to Schweitzer's assertion that the district court could properly determine the insurance issue, Red Cross and Shrine Temple argue that the district court found Schweitzer to be an employee and once it was established that Schweitzer was an employee under the Act, the Workers' Compensation Court had exclusive jurisdiction to determine the issue of the existence of workers' compensation insurance. Applying the current statutory law, we determine that although the existence of insurance may be decided in the Workers' Compensation Court in a claim before it under § 48-161, such jurisdiction is not exclusive, and the issue of the existence of workers' compensation insurance on the facts of this case is to be decided in the district court where the action was filed. Accordingly, the district court's conclusion that it lacked subject matter jurisdiction to determine the issue of the existence of insurance was incorrect, and we reverse the district court's grant of summary judgment and dismissal of Schweitzer's petition and remand the cause for further proceedings consistent with this opinion. Subject matter jurisdiction is a court's power to hear and determine a case in the general class or category to which the proceedings belong and to deal with the general subject involved in the action before the court and the particular question which it assumes to determine. In re Interest of J.T.B. and H.J.T., 245 Neb. 624, 514 N.W.2d 635 (1994). Neb. Const. art. V, § 9, provides that district courts shall have both chancery and common law jurisdiction, and such other jurisdiction as the Legislature may provide. The district court is not a court of limited jurisdiction. Fisher v. Keeler, 142 Neb. 79, 5 N.W.2d 143 (1942). Rather, its jurisdiction is general, original, and appellate in all matters civil and criminal, except where otherwise provided. Id. See, also, Neb.Rev.Stat. § 24-302 (Reissue 1995). Because the district court's general jurisdiction emanates from the Nebraska Constitution itself, the Legislature cannot limit or control the jurisdiction of the district court. In re Estate of Steppuhn, 221 Neb. 329, 377 N.W.2d 83 (1985). However, where the Constitution does not fix the jurisdiction of any class or grade of courts, the jurisdiction and powers of any such class may be regulated by the Legislature. State v. Magney, 52 Neb. 508, 72 N.W. 1006 (1897). A statutorily created court, such as the Workers' Compensation Court, has only such authority as has been conferred upon it by statute, and its power cannot extend beyond that expressed in the statute. Jolly v. State, 252 Neb. 289, 562 N.W.2d 61 (1997); Buckingham v. Creighton University, 248 Neb. 821, 539 N.W.2d 646 (1995); Shada v. Whitney, 172 Neb. 220, 109 N.W.2d 167 (1961). Thus, for example, in Thomas v. Omega Re-Bar, Inc., 234 Neb. 449, 451 N.W.2d 396 (1990), we held that under the terms of the Act as it then existed, the Workers' Compensation Court was without jurisdiction to adjudicate insurance coverage disputes, because the Act did not specifically confer such authority upon it. Following our opinion in Thomas v. Omega Re-Bar, Inc., supra , the Legislature amended § 48-161 and clarified that the Workers' Compensation Court is vested with jurisdiction to decide any issue ancillary to the resolution of an employee's right to workers' compensation benefits. This statute was amended to vest the Workers' Compensation Court with the power to determine insurance coverage disputes in the claims before it, including the existence of coverage, and the extent of an insurer's liability. See 1990 Laws, L.B. 313. See, also, Curtice v. Baldwin Filters Co., 4 Neb.App. 351, 543 N.W.2d 474 (1996); 9 Arthur Larson & Lex K. Larson, Workers' Compensation Law § 92.41 (1998). While the 1990 amendment to § 48-161 generally created authority for the Workers' Compensation Court to determine all issues ancillary to a Workers' compensation claim before it, including insurance coverage disputes, § 48-161 as amended does not specify that the Workers' Compensation Court is the exclusive forum that may make such a determination. Curtice v. Baldwin Filters Co., supra . Had the Legislature intended the Workers' Compensation Court to be the exclusive forum for determining insurance coverage disputes, such would be expressed in § 48-161 or elsewhere in the Act. Absent such statutory expression, we cannot presume that the district court has been stripped of the jurisdiction to determine a workers' compensation insurance issue when that issue is, by statute, determinative of whether a negligence suit currently before it can be pursued in district court. Where the Legislature has designated an exclusive forum for resolution of a claim or issue, a litigant may be required to follow the statutory scheme passed by the Legislature in order to gain relief. Rehn v. Bingaman, 151 Neb. 196, 36 N.W.2d 856 (1949). Where the law does not mandate an exclusive forum for a particular issue, the issue may be resolved in the district court according to the constitutional grant of general jurisdiction in the district court. State v. Jones, 209 Neb. 296, 307 N.W.2d 126 (1981). A litigant may ask the district court, a court of general jurisdiction, to exercise its inherent power. Doing so may not, however, toll the applicable statute of limitations on other aspects of the litigant's claim. In re Estate of Weinberger, 207 Neb. 711, 300 N.W.2d 818 (1981). See, also, Tompkins v. Raines, 247 Neb. 764, 530 N.W.2d 244 (1995) (in disputes regarding employment status for purposes of workers' compensation coverage, it may be advisable for litigant to file first in Workers' Compensation Court to preserve rights subject to statute of limitations applicable to workers' compensation claims). Our determination that in a proper case, the district court has concurrent jurisdiction with the Workers' Compensation Court to examine the existence of insurance coverage as to a certain employee, is not inconsistent with other cases concluding that the district court's general, concurrent jurisdiction may be invoked where it is factually or legally appropriate to do so. See, e.g., Curtice v. Baldwin Filters, supra (holding that although Workers' Compensation Court was proper forum for insurance coverage dispute under specific facts of that case, district court possessed concurrent jurisdiction because of general equity powers). In a number of areas, the appellate courts of this state have specifically held that the district court is a proper forum for resolution of other aspects of workers' compensation cases. See, e.g., Sherard v. State, 244 Neb. 743, 509 N.W.2d 194 (1993) (holding that district court had jurisdiction to issue writ of execution to collect unpaid interest on fees awarded in workers' compensation case); Kaiman v. Mercy Midlands Medical & Dental Plan, 1 Neb.App. 148, 491 N.W.2d 356 (1992) (holding that attorney could maintain action in district court for unpaid fees as result of workers' compensation award). Here, it is appropriate for the district court to determine the insurance issue because although the insurance issue in the instant case directly relates to workers' compensation provisions, the instant claim of negligence as alleged is not derived from the Act. In her petition filed in district court, Schweitzer asserts a negligence suit, not a workers' compensation claim. Absent some express statute to the contrary, the district court has jurisdiction to determine whether a lawsuit is properly before it. Having concluded that the district court had jurisdiction to determine the existence of the insurance issue, we now examine the evidence on this issue in connection with the resolution of Red Cross' and Shrine Temple's motions for summary judgment. In the instant case, Schweitzer alleged in her petition that Red Cross and Shrine Temple did not maintain workers' compensation insurance to cover her. Both Red Cross and Shrine Temple denied this allegation. Somewhat inconsistently with her petition, Schweitzer testified in her deposition submitted as evidence in the summary judgment proceedings that she thought Red Cross had workers' compensation insurance. Notwithstanding their motions for summary judgment, neither Red Cross nor Shrine Temple offered any conclusive evidence whether or not they possessed workers' compensation insurance. Thus, the evidence submitted to the trial court on the issue of the existence of insurance raised by the summary judgment motions neither proved, nor disproved, the truth of Schweitzer's allegation that Red Cross and Shrine Temple did not maintain workers' compensation insurance. Taking the inferences in favor of Schweitzer, on this record, there is a genuine issue of material fact as to the existence of workers' compensation insurance covering Schweitzer's alleged injuries if, indeed, they are compensable, a question we do not reach. Where a genuine issue of material fact exists, summary judgment cannot properly be granted. Smith v. Paoli Popcorn Co., 255 Neb. 910, 587 N.W.2d 660 (1999). Because we conclude that the district court had jurisdiction to decide the insurance issue and because there is a genuine issue of material fact as to the existence of applicable insurance maintained by both Red Cross and Shrine Temple, which, on these facts, should be decided by the district court, the grant of summary judgment and dismissal of Schweitzer's petition were improper.