News

Brown & Connery, LLP is pleased to share that on May 12, 2020, the New Jersey Supreme Court decided New Jersey Transit Corp. v. Sanchez in our client’s favor.  This was a workers’ compensation subrogation matter as the result of an automobile crash.  Our employer client sought reimbursement of medical and temporary and permanent indemnity payments made to an employee from an accident from the negligent tortfeasor.  The trial court held that the verbal threshold defense barred our client’s claim, pursuant to longstanding precedent, and dismissed the case.  However, on appeal, the Appellate Division disagreed and held that the verbal threshold defense did not bar the claim since the claim was for economic loss as opposed to noneconomic loss.  The New Jersey Supreme Court granted certification and agreed, overruling that prior precedent and now allowing employers to assert such claims.  This is a tremendous victory for our client and all other employers in New Jersey as well as workers’ compensation insurers and their third-party administrators.  The matter was handled by partner Shawn C. Huber.