LD 878
pg. 1
LD 878 Title Page An Act To Allow Assignment of Workers' Compensation Payments to 3rd Parties Pro... LD 878 Title Page
Download Bill Text
LR 1234
Item 1

 
Be it enacted by the People of the State of Maine as follows:

 
Sec. 1. 39-A MRSA §106, as amended by PL 1995, c. 694, Pt. D, §63
and affected by Pt. E, §2, is further amended to read:

 
§106. Invalidity of waiver of rights; claims not assignable

 
No agreement by an employee, unless approved by the board or
by the Commissioner of Labor, to waive the employee's rights to
compensation under this Act is valid. No claims for compensation
under this Act are assignable or subject to attachment or liable
in any way for debt, except for the enforcement of a current
support obligation or support arrears pursuant to Title 19-A,
chapter 65, subchapter II 2, article 3 or Title 19-A, chapter 65,
subchapter III, or 3; for reimbursement of general assistance
pursuant to Title 22, section 4318; or for reimbursement to a 3rd
party for compensation pursuant to a disability income protection
plan or other contractual agreement pursuant to section 107.

 
Sec. 2. 39-A MRSA §107, as enacted by PL 1991, c. 885, Pt. A, §8
and affected by §§9 to 11, is amended by adding at the end a new
paragraph to read:

 
If an injured employee has received compensation from a 3rd
party based on a preexisting contractual agreement with the 3rd
party, including, but not limited to, a disability income
protection plan, the employee may assign the employee's claim for
compensation and benefits under this Act to the 3rd party if the
amount of compensation assigned to the 3rd party is no more than
the compensation received by the employee from the 3rd party and
if the assignment is in writing and signed by the employee.

 
SUMMARY

 
This bill allows an employee who receives payment from an
income protection plan or other contractual agreement for an
injury to assign the employee's workers' compensation claim to
the 3rd party providing payment under that income protection plan
or contractual agreement. The bill limits the amount of
assignment of the claim to the amount of compensation received
under the income protection plan or other contractual agreement,
and specifies that the assignment must be in writing and signed
by the employee.


LD 878 Title Page Top of Page LD 878 Title Page