Opinion ID: 1946280
Heading Depth: 1
Heading Rank: 5

Heading: Penalties, Interest and Attorney's Fees

Text: Plaintiff contends that the previous courts erred in not awarding penalties and attorney's fees because defendant's refusal to pay compensation timely on two separate occasions was arbitrary, capricious and without probable cause. La.R.S. 23:1201.2. Defendant paid compensation following the accident until plaintiff returned to work. One year later, when defendant received a letter from plaintiff's doctor indicating that he had sustained a permanent eye injury as a result of the accident, defendant resumed payment of weekly compensation but refused to recognize its obligation to make payments accruing from the date plaintiff returned to work. Defendant again terminated compensation payments on August 20, 1981 after plaintiff's doctor testified at a deposition that, when corrected by eye glasses, plaintiff did not have a loss of use or function of his eyes. In both instances defendant failed to make payment within sixty days of notice of facts not reasonably disputed indicating that plaintiff was entitled to compensation as of the dates claimed, and, therefore, its refusal to make payment in compliance with law was arbitrary, capricious and without probable cause. Once defendant became aware that plaintiff's work accident had resulted in permanent impairment of his vision the defendant was obliged to make payments of compensation commencing as of the date of the injury and continuing for one hundred weeks. La.R.S. 23:1221, 1224. Further, the claim of an injured employee for a specific loss of sight of an eye does not depend on his capacity to adapt to an ocular device or to work but is determined by whether he has suffered a permanent total or partial loss of the use or function of the eye. La.R.S. 23:1221(4)( o ); See Jenkins v. Orleans Parish School Board, 310 So.2d 831 (La.1975). Accordingly, the defendant employer is subject to a penalty of twelve percent upon the two portions of the compensation as to which it was arbitrary, together with an attorney's fee of $3,000, which appears reasonable for prosecution and collection of such claim. Plaintiff also complains that the court of appeal inadvertently failed to award legal interest on each weekly installment from its due date until paid. Plaintiff is entitled to such interest, and defendant does not contest the assignment of error. Accordingly, this court's decree will order the payment of interest.