# Oldham, John v. Freeman Webb Company Realtors d/b/a Sunnybrook

> Tennessee Workers' Compensation Appeals Board · November 8, 2024 · 2024 TN WC App. 41

URL: https://www.frixlaw.com/law-library/cases/10737095

## Case

- **Court:** Tennessee Workers' Compensation Appeals Board
- **Decided:** November 8, 2024
- **Citations:** 2024 TN WC App. 41
- **Precedential status:** Published
- **Opinion:** Opinion
- **Judges:** Godkin, Weaver, Conner
- **Cited by:** 0 later opinions in the Frix Law Library

## Citator (automated)

- No negative treatment found by the automated citator. That is not the same as a confirmation that the case is good law; read the citing cases.
- Full citator and citing cases: https://www.frixlaw.com/law-library/cases/10737095

## How later opinions describe it (automated extraction)

- stating both the employer and the employee take risks when they enter into a lump sum settlement because of the finality of lump sum payments
- discussing the criteria for awarding benefits pursuant to section 50-6-242

## Opinion text

FILED
Nov 08, 2024
01:21 PM(CT)
TENNESSEE
WORKERS' COMPENSATION
APPEALS BOARD

TENNESSEE BUREAU OF WORKERS’ COMPENSATION
WORKERS’ COMPENSATION APPEALS BOARD

John F. Oldham ) Docket No. 2022-03-0420
)
v. ) State File No. 66575-2020
)
Freeman Webb Company Realtors )
d/b/a Sunnybrook, et al. )
)
)
Appeal from the Court of Workers’ ) Heard October 1, 2024
Compensation Claims ) in Knoxville, TN
Pamela B. Johnson, Judge )

Affirmed in Part, Reversed in Part, Modified in Part, and Certified as Final

This compensation appeal is the second appeal in this matter and raises an issue of first
impression regarding statutory interpretation. The employee suffered an injury to his foot
and leg in October 2020, which resulted in a court-approved settlement in April 2022 for
an “original award” of permanent disability benefits. After the expiration of the initial
period of compensation, the employee filed a petition for increased benefits, extraordinary
relief, or permanent total disability benefits. The employer initially denied that the
employee was entitled to increased benefits due to its contention that other, non-work-
related conditions were the primary cause of the employee’s current condition and work
restrictions. Later, the employer filed a motion for partial summary judgment, arguing that
the employee could not be deemed permanently totally disabled because the court had
previously approved a settlement and entered a judgment for permanent partial disability.
At that time, the trial court declined to hear the motion for partial summary judgment,
concluding that it was akin to a bifurcated trial, which is disfavored in workers’
compensation cases. The employer appealed that order, and we concluded it is within a
trial court’s discretion whether and at what point in the course of litigation to entertain a
pre-trial motion. However, we vacated the court’s order to the extent it suggested the court
could not entertain a motion for partial summary judgment addressing a question of law
prior to a compensation hearing. On remand, the court again declined to hear the motion
for partial summary judgment until the day of the compensation hearing. Following the
hearing, the court denied the motion for partial summary judgment and awarded permanent
total disability benefits. The employer has appealed. Upon careful consideration of the

1
record and the arguments of counsel, we affirm in part, reverse in part, and modify in part
the trial court’s order, and we certify the modified order as final.

Judge Meredith B. Weaver delivered the opinion of the Appeals Board in which Presiding
Judge Timothy W. Conner and Judge Pele I. Godkin joined.

A. Allen Grant and Benjamin T. Norris, Nashville, Tennessee, for the employer-appellant,
Freeman Webb Company Realtors d/b/a Sunnybrook

Andrew J. Roberto, Knoxville, Tennessee, for the employee-appellee, John F. Oldham

Factual and Procedural Background

We previously discussed the facts and procedural history of this case in our prior
decision, as set out in pertinent part below:

John Oldham (“Employee”) worked for Freeman Webb Company
Realtors (“Employer”) as a maintenance technician. On October 6, 2020,
Employee sustained a work-related injury when his foot became caught in
the seat arm of a golf cart he was working on, and he fell. The fall caused a
displaced femoral fracture in his right leg. After a period of authorized
medical treatment, the parties reached a tentative settlement of Employee’s
“original award” based on a medical impairment rating of 8%. On April 28,
2022, the trial court approved the settlement, which included the following
language:

If, at the end of the initial compensation period, Employee has
not returned to work with any employer or has returned to work
at a lower rate of pay than Employee received on the date of
the injury, Employee may file a Petition for Benefit
Determination to determine whether Employee is entitled to
increased benefits under Tennessee Code Annotated section
50-6-207(3)(B) or extraordinary relief under Tennessee Code
Annotated section 50-6-242(a) . . . . If the judge determines
Employee is entitled to an increased award or extraordinary
relief, Employer will be credited for payment of the original
award under this agreement.

(Emphasis added.) After the initial compensation period expired, Employee
filed a new petition in November 2022 seeking “increased benefits,
extraordinary relief and/or Permanent Total Disability.” . . .

....

2
Employer filed a motion for partial summary judgment on October 4 arguing
that, as a matter of law, Employee was disqualified from seeking either
extraordinary relief or permanent total disability. Employer asserted, in part,
that “[b]ecause Employee entered into a binding settlement agreement for
permanent partial disability benefits that was approved by [the] Court, he is
not eligible for permanent total disability benefits.” It further argued that
Employee cannot qualify for extraordinary relief under Tennessee Code
Annotated section 50-6-242 because his medical impairment rating was less
than 10%, and a rating of 10% or more is a statutory prerequisite for seeking
extraordinary relief. On the face of its motion for partial summary judgment,
Employer included a notice setting an in-person hearing to address its motion
for November 15, 2023, as required by Tenn. Comp. R. and Regs. 0800-02-
21-.18(1)(c). Thereafter, a separate notice of hearing was filed confirming
that the motion hearing was set for November 15, which was five weeks
before trial. On November 9, 2023, a new Notice of Hearing was filed
reflecting the court’s decision to reset the hearing on Employer’s motion for
summary judgment for December 20, the same day as the trial.

Oldham v. Freeman Webb Company Realtors d/b/a Sunnybrook, No. 2022-03-0420, 2024
TN Wrk. Comp. App. Bd. LEXIS 8, at *2-5 (Tenn. Workers’ Comp. App. Bd. Mar. 6,
2024). Employer appealed the order postponing a hearing on the motion for partial
summary judgment. Id. at *6. On appeal, we summarized the relevant issue as follows:

In the context of the present case, we are asked to address whether motions
for partial summary judgment are, per se, prohibited by the statutes and rules
applicable to the Court of Workers’ Compensation Claims. We conclude
they are not.

Id. at *12. We explained that “a trial court’s decision regarding whether to resolve any
particular issues at an interlocutory stage of the case is within its sound discretion, and we
will disturb such determinations only upon a showing that the trial court abused its
discretion.” Id. at *14. As such, we affirmed the trial court’s decision not to conduct the
summary judgment hearing under the circumstances presented in the case, but we vacated
the court’s order to the extent it suggested a trial court could not entertain a motion for
partial summary judgment addressing purely legal issues prior to trial. 1

On remand, the trial court elected to hear Employer’s motion for partial summary
judgment on the morning of trial. The trial court took the motion under advisement and
proceeded with the trial, which included testimony from Employee and his wife, as well as
testimony from a representative of the insurance carrier and testimony from a vocational

1
Employer also appealed the trial court’s denial of a motion to quash a subpoena duces tecum of its potential
vocational expert. That subpoena is not at issue in the current appeal.
3
expert on behalf of Employee. Also admitted into evidence were the depositions of Dr.
Scott Smith, Employee’s treating physician, and Dr. William Kennedy, who evaluated
Employee at Employee’s counsel’s request. In addition to its argument that Employee
could not seek an award of extraordinary relief or permanent total disability, Employer also
argued that the nonunion of Employee’s femoral fracture was not a direct and natural
consequence of the work injury and was instead primarily related to Employee’s smoking
history. In support of this defense, it relied on testimony from Dr. Smith indicating that
many factors contributed to the nonunion of the fracture and that he “would put a lot of
[e]ffect” on Employee’s smoking as the reason his fracture did not heal. Finally, Employer
also presented surveillance of Employee for purposes of showing the court Employee’s
gait and daily activities.

Following the hearing, the trial court issued a compensation order denying
Employer’s motion for partial summary judgment and awarding Employee permanent total
disability benefits. In denying the motion, the court determined both the statute and initial
settlement agreement are “silent as to when an employee may seek permanent total
disability benefits.” The trial court reviewed pre-reform cases addressing a process called
“reconsideration” as described in Tennessee Code Annotated section 50-6-241(a)(2)
(2012), which is no longer part of Tennessee’s Workers’ Compensation Law. 2 Based on
those cases, the court analogized the pre-reform process of reconsideration with the current
process for seeking increased benefits and reasoned Employee was not barred from seeking
permanent total disability benefits after receiving a permanent partial disability settlement.
The court then determined there was insufficient medical proof to support Employer’s
argument that Employee’s smoking history constituted an intervening condition that
primarily caused the nonunion, and it concluded Employee is permanently and totally
disabled as a result of the work accident and resulting injury. In doing so, the court stated
it considered Employee’s “medical impairment, permanent restrictions and need for a
walking aid, as well as his age, education, experience, lack of training in traditional
sedentary jobs, and the lack of job opportunities in the local labor market . . . .” Employer
has appealed the court’s decision to delay the summary judgment hearing until the day of
trial, the denial of the motion for partial summary judgment, and the award of benefits.

Standard of Review

The standard we apply in reviewing the trial court’s decision presumes that the
court’s factual findings are correct unless the preponderance of the evidence is otherwise.
See Tenn. Code Ann. § 50-6-239(c)(7) (2023). When the trial judge has had the
opportunity to observe a witness’s demeanor and to hear in-court testimony, we give
2
That section provided, in relevant part, that a court may “reconsider, upon the filing of a new cause of
action, the issue of industrial disability.” Tenn. Code Ann. § 50-6-241(a)(2) (1992). Pre-reform courts
interpreting this statute had concluded that, in reconsideration cases, an employee could seek an award of
permanent total disability benefits. See, e.g., Caruthers v. Aerostructures Corp., No. M2005-01370-WC-
R3-CV, 2006 Tenn. LEXIS 1134, at *6-7 (Tenn. Workers’ Comp. Panel Dec. 13, 2006).
4
considerable deference to factual findings made by the trial court. Madden v. Holland Grp.
of Tenn., Inc., 277 S.W.3d 896, 898 (Tenn. 2009). However, “[n]o similar deference need
be afforded the trial court’s findings based upon documentary evidence.” Goodman v.
Schwarz Paper Co., No. W2016-02594-SC-R3-WC, 2018 Tenn. LEXIS 8, at *6 (Tenn.
Workers’ Comp. Panel Jan. 18, 2018). Moreover, the interpretation and application of
statutes and regulations are questions of law that are reviewed de novo with no presumption
of correctness afforded the trial court’s conclusions. See Mansell v. Bridgestone Firestone
N. Am. Tire, LLC, 417 S.W.3d 393, 399 (Tenn. 2013). We are also mindful of our
obligation to construe the workers’ compensation statutes “fairly, impartially, and in
accordance with basic principles of statutory construction” and in a way that does not favor
either the employee or the employer. Tenn. Code Ann. § 50-6-116 (2023).

Analysis

Employer raises several issues in its appeal. First, it contends the trial court erred
in declining to hear the motion for partial summary judgment prior to the date of trial.
Second, it argues Employee was precluded from pursuing an award of permanent total
disability benefits based on the plain language of Tennessee Code Annotated section 50-6-
207 and the specific terms of his settlement agreement. Finally, Employer asserts that the
work accident is not the primary cause of Employee’s current condition and work
restrictions because the nonunion of his fracture is not a direct and natural consequence of
his initial injury. For his part, Employee argues Employer waived its defenses regarding
permanent total disability and asserts that this appeal is frivolous.

Pre-Trial Dispositive Motions

With respect to the issue of pre-trial dispositive motions, we have previously stated:

[T]he text of Rule 56 does not specify a time within which a trial court must
conduct a hearing on a previously filed motion for summary judgment . . . .
It gives a trial court significant discretion to determine the appropriate time
in the course of litigation to conduct a hearing on a party’s motion for
summary judgment.

Hollis v. Komyo America, No. 2016-03-0298, 2017 TN Wrk. Comp. App. Bd. LEXIS 25,
at *7 (Tenn. Workers’ Comp. App. Bd. Mar. 7, 2017). Moreover, we explained that “in
setting hearings on pending motions, a trial court must balance the interests of both parties,
give each side a reasonable and meaningful opportunity to prepare for the motion hearing,
and set the hearing as expeditiously as it deems appropriate under the circumstances of the
case.” Id. at *9-10.

We relied on this analysis in the first appeal of this case and determined the trial
court did not abuse its discretion in declining to set a hearing on Employer’s motion prior

5
to the trial date. Specifically, we reasoned that the motion hearing date originally selected
by Employer was one month prior to the compensation hearing date, and the parties had
already retained experts. Even if the trial court had conducted the motion hearing as
originally scheduled, trial preparations would have continued while the court considered
the merits of the motion and prepared its order. Thus, there was little evidence that
conducting the motion hearing on the date originally scheduled by Employer would have
saved any significant time or expense for the parties or promoted judicial efficiency. On
remand, the trial court again declined to hear the motion separately and instead scheduled
it for the day of trial.

Employer contends that because its motion was one for partial summary judgment,
Rule 56.05 of the Tennessee Rules of Civil Procedure required the motion hearing to be
conducted prior to trial. The relevant portion of Rule 56.05 on which Employer relies
states:

If on motion under this rule judgment is not rendered upon the whole case or
for all the relief asked and a trial is necessary, the court at the hearing of the
motion, by examining the pleadings and the evidence before it and by
interrogating counsel, shall if practicable ascertain what material facts exist
without substantial controversy and what material facts are actually and in
good faith controverted. It shall thereupon make an order specifying the facts
that appear without substantial controversy, including the extent to which the
amount of damages or other relief is not in controversy . . . .

(Emphasis added.) Employer argues that the language of Rule 56.05 expressly mandates
that the trial court set a hearing and issue an order addressing the undisputed facts and those
facts that remain disputed for trial when the summary judgment motion is not dispositive
of the entire case. In short, Employer’s position is that setting a pre-trial hearing for partial
summary judgment is not discretionary. We are unpersuaded.

First, Employer has not provided any authority supporting its interpretation of Rule
56.05. Previously, this portion of Rule 56 has been read to provide a trial court with the
opportunity to narrow the issues for trial and “identify material facts not in controversy.”
Walker v. Walker, No. M2018-01140-COA-R9-CV, 2020 Tenn. App. LEXIS 47, at *11
n.2 (Tenn. Ct. App. Jan. 31, 2020). In the present case, however, Employer’s motion for
partial summary judgment hinged solely on a question of law. Thus, there were no disputed
facts for the court to ascertain in a pre-trial setting as contemplated by Rule 56.05.
Furthermore, the rule itself states the court “shall if practicable ascertain what material
facts are actually and in good faith controverted.” Tenn. R. Civ. P. 56.05 (emphasis added).
This again evidences the broad discretion of a trial court to address pre-trial issues pursuant
to the Rules of Civil Procedure.

6
Second, as we stated previously, “a trial court’s decision regarding whether to
resolve any particular issues at an interlocutory stage of the case is within its sound
discretion, and we will disturb such determinations only upon a showing that the trial court
abused its discretion.” Oldham, 2024 TN Wrk. Comp. App. Bd. LEXIS 8, at *14. We find
no applicable rule or regulation mandating that a court set a hearing on a dispositive motion
at any particular point in the course of litigation, and we decline to impose such an
obligation on trial courts. Thus, for Employer to prevail on this issue, we would have to
conclude the trial court’s decision not to hear the motion for partial summary judgment
prior to the trial date was an abuse of discretion, which would require a determination that
the trial court “applied incorrect legal standards, reached an illogical conclusion, based its
decision on a clearly erroneous assessment of the evidence, or employ[ed] reasoning that
causes an injustice to the complaining party.” Konvalinka v. Chattanooga-Hamilton Cnty.
Hosp. Auth., 249 S.W.3d 346, 358 (Tenn. 2008). We conclude there was no such abuse of
discretion here.

Summary judgment has long been described as “a substantial step forward to the
end that litigation may be accelerated, insubstantial issues removed, and trial confined only
to the genuine issues.” Rye v. Women’s Care Ctr. of Memphis, MPLLC, 477 S.W.3d 235,
251 (Tenn. 2015) (internal citations omitted). In most circumstances, when a dispositive
motion is filed well prior to trial, the better practice is to conduct a hearing on that motion
in a timely manner after the other party is given a fair and reasonable opportunity to respond
in accordance with Rule 56. In most cases, such a hearing should happen prior to trial.
Further, in circumstances where the dispositive motion would only partially resolve the
case, and the issue being presented is a pure question of law, a court’s timely resolution of
the motion could narrow the issues for trial, identify material facts that remain in dispute,
and save time and expense for all parties. Such considerations are relevant to an appellate
court’s assessment of whether an abuse of discretion has occurred. Here, the parties had
already concluded all expert proof, other than the live testimony of Mr. Galloway, prior to
our remand of the case. As such, we conclude the trial court did not abuse its discretion in
electing to hear counsel’s arguments regarding this pure question of law on the morning of
trial given the specific circumstances of this case. Thus, we find this first issue to be
without merit.

Claims for Additional Permanent Disability Benefits

Employer next contends the trial court erred in determining Employee was eligible
for permanent total disability benefits after the court had approved a settlement and entered
a judgment for permanent partial disability benefits. Employer asserts two arguments in
support of this position. First, it argues Employee is precluded from an award of permanent
total disability because he was previously adjudicated to be permanently partially disabled;
second, it asserts the express terms of the settlement agreement constituted a contract
between the parties and limited Employee to permanent partial disability benefits.

7
The grant or denial of a motion for summary judgment is a matter of law that we
review de novo with no presumption that the trial court’s conclusions are correct. See Rye,
477 S.W.3d at 250. As such, we must “make a fresh determination of whether the
requirements of Rule 56 of the Tennessee Rules of Civil Procedure have been satisfied.”
Id. As the relevant facts underlying the present motion were undisputed, we need only
address whether the trial court’s ruling is supported by relevant statutory language and any
applicable binding precedent. This, in turn, requires an in-depth examination of the history
of the relevant statutes addressing permanent partial and permanent total disability
benefits. 3

Recent History of Permanent Disability Statutes

From 1992 to 2004, permanent partial disability benefits were addressed primarily
in Tennessee Code Annotated sections 50-6-207 and 50-6-241. Prior to July 1, 2014,
section 207 set forth a specific schedule of both temporary and permanent disability
benefits that could be awarded for work-related injuries to various parts of the body. See
Tenn. Code Ann. § 50-6-207(3)(A)(ii) (1992). An injury to a body part not listed in the
schedule was considered to be an injury to the “body as a whole.” Tenn. Code Ann. § 50-
6-207(3)(F) (1992).

Beginning in 1992, with respect to injuries to the body as whole, if the injured
employee returned to work for the same employer making the same or greater rate of pay
as before the accident, the maximum amount the employee could be awarded was 2.5 times
the medical impairment rating. Tenn. Code Ann. § 50-6-241(a)(1) (1992). If the employee
did not return to work under such circumstances, a court had the discretion to award up to
six times the medical impairment rating. Tenn. Code Ann. § 50-6-241(b) (1992). In either
scenario, the court was to consider “lay and expert testimony, employee’s age, education,
skills and training, local job opportunities, and capacity to work at types of employment
available in claimant’s disabled condition” in order to assess the degree of the employee’s
“industrial disability.” Tenn. Code Ann. § 50-6-241(a)(1) & (a)(2) (1992).

In addition, prior to 2004, if an injured employee was limited to 2.5 times the
impairment rating but lost his or her job or had a reduction in pay within four hundred
weeks of returning to work, that employee was eligible to file “a new cause of action”
asking the court to “reconsider . . . the issue of industrial disability.” Tenn. Code Ann.

3
Employee contends Employer waived this defense because the dispute certification notice (“DCN”) does
not include it as a disputed issue. However, the DCN lists permanent disability benefits as a disputed issue.
As we have said previously, a DCN must be considered in the context of the entire record. Satterfield v.
Smoky Mountain Home Health and Hospice, No. 2019-03-1440, 2023 TN Wrk. Comp. App. Bd. LEXIS
52, at *12-13 (Tenn. Workers’ Comp. App. Bd. Nov. 6, 2023). The initial DCN clearly indicated permanent
disability benefits were at issue, and the September 2023 post-mediation DCN also included compensability
as a disputed issue. Employer filed a partial summary judgment motion articulating this specific defense
the following month. Thus, we conclude Employer did not waive this defense.
8
§ 50-6-241(a)(2) (1992). In doing so, the court was instructed to examine all of the factors
enumerated in subsection (a)(1) in deciding the appropriate award.

In a separate section, Tennessee Code Annotated section 50-6-242, pre-reform
courts had the discretion to award up to 400 weeks of permanent disability benefits if the
court found the employee met three out of four criteria on the date of maximum medical
improvement:

(1) The employee lacks a high school diploma or general equivalency
diploma or the employee cannot read or write on a grade eight (8)
level;

(2) The employee is fifty-five (55) years of age or older;

(3) The employee has no reasonably transferable job skills . . . ; and

(4) The employee has no reasonable employment opportunities available
locally considering the employee’s permanent medical condition.

In addition, pre-reform law provided that when an injury “totally incapacitat[ed] the
employee from working at an occupation that brings the employee an income,” the court
could award permanent total disability benefits “during the period of the permanent total
disability until the employee, by age, [was] eligible for full benefits under the Old Age
Insurance Program under the Social Security Act.” Tenn. Code Ann. § 50-6-207(4)(A) &
(B) (1992).

The Workers’ Compensation Law was later amended in several significant ways for
all dates of injury after July 1, 2004. Relevant to the calculation of permanent disability
benefits, scheduled member injuries became subject to the same limitations as awards to
the body as a whole, and the 2.5 times limitation applied in cases where the employee had
returned to the pre-injury employer at an equal or greater rate of pay was reduced to 1.5
times the medical impairment rating. Tenn. Code Ann. § 50-6-241(d)(1)(A) (2004). The
employee retained the “right to reconsideration” for both whole body and scheduled
member injuries should he or she become no longer employed by the pre-injury employer,
but the employee was not entitled to any further benefits if the job loss was due to
misconduct, retirement, or a voluntary resignation unrelated to the work injury. Tenn.
Code Ann. § 50-6-241(d)(1)(B) (2004). Both scheduled member and whole body injuries
could result in awards up to the maximum number of weeks as allowed by the schedule if
the court found three of the four factors listed in Tennessee Code Annotated section 50-6-
242 as summarized above.

As noted by the trial court, pre-reform courts were called upon to address whether
an employee seeking reconsideration of a prior award of industrial disability could seek

9
permanent total disability benefits. In applying the statutory language as it existed at the
time, courts concluded that employees seeking reconsideration of industrial disability
could be awarded permanent total disability under certain circumstances. In addition to
Caruthers, supra, the Supreme Court’s Special Workers’ Compensation Appeals Panel
affirmed an award of permanent total disability in the context of a reconsideration claim in
Princinsky v. Premier Manufacturing Support Services, No. M2009-00207-WC-R3-WC,
2010 Tenn. LEXIS 877 (Tenn. Workers’ Comp. Panel Sept. 23, 2010). However, it is
significant to note that, based on the law as it existed at the time these cases were decided,
the Supreme Court concluded that the language of section 50-6-242 “applies to
reconsideration actions brought pursuant to section 50-6-241(a)(2).” Id. at *19 (citing
Nelson v. Wal-Mart Stores, Inc., 8 S.W.3d 625, 631 (Tenn. 1999)). The Court further
acknowledged that if an employee proved three of the four factors listed in subsection
242(a) by clear and convincing evidence, then the trial court was not limited to the
multipliers contained in subsection 241(b). Id. at *20 (citing Leab v. S & H Mining Co.,
75 S.W.3d 344, 352 (Tenn. 2002)). Consequently, the Court affirmed the trial court’s
determination that Ms. Princinsky was permanently totally disabled. Id. at *21. The
language in sections 50-6-241(a)(2) and -242 relied on by the courts in Caruthers and
Princinsky is no longer contained in the current Workers’ Compensation Law.

2013 Workers’ Compensation Reform Act

The 2013 Workers’ Compensation Reform Act (“Reform Act”) brought about
fundamental changes to many of Tennessee workers’ compensation statutes, including the
calculation of permanent disability benefits. First and foremost, Tennessee Code
Annotated section 50-6-241 was rendered inapplicable to any dates of injury as of July 1,
2014. Second, the schedule of injuries previously contained in section 50-6-207(3) was
removed entirely, such that all work-related injuries are to be considered to the “whole
body,” and that section was amended significantly with respect to awards of permanent
disability benefits. It now provides in relevant part:

(3) Permanent Partial Disability

(A) In case[s] of disability partial in character but adjudged
to be permanent, at the time the injured employee
reaches maximum medical improvement[,] the injured
employee shall be paid sixty-six and two-thirds percent
(66 2/3%) of the employee’s average weekly wages for
the period of compensation, which shall be determined
by multiplying the employee’s impairment rating by
four hundred fifty (450) weeks. The award set out in
this subdivision (3)(A) shall be referred to as the
“original award.” The injured employee shall receive

10
these benefits . . . whether the employee has returned to
work or not; and

(B) If at the time the period of compensation provided by
subdivision (3)(A) ends, . . . the employee has not
returned to work with any employer or has returned to
work and is receiving wages or a salary that is less than
one hundred percent (100%) of the wages or salary the
employee received from the employee’s pre-injury
employer on the date of the injury, the injured employee
may file a claim for increased benefits. If appropriate,
the injured employee’s original award as determined
under subdivision (3)(A) shall be increased by
multiplying the original award by a factor of one and
thirty-five one hundreds (1.35). The award set out in
this subdivision (3)(B) shall be referred to as the
“resulting award.” In addition, the injured employee’s
resulting award shall be further increased by
multiplying the resulting award by the product of the
following factors, if applicable:

(i) Education: one and forty-five one
hundredths (1.45), if the employee lacks a
high school diploma or high school
equivalency credential approved by the
state board of education;

(ii) Age: one and two-tenths (1.2), if the
employee was more than forty (40) years
of age at the time the period of
compensation ends . . . ; and

(iii) Unemployment rate: one and three tenths
(1.3), if the unemployment rate, in the
Tennessee county where the employee
was employed by the employer on the
date of the workers’ compensation injury,
was at least two (2) percentage points
greater than the yearly average
unemployment rate in Tennessee . . . .

(C) In determining the employee’s increased award
pursuant to subdivision (3)(B), the employer shall be

11
given credit for payment of the original award of
benefits as determined under subdivision (3)(A) against
the increased award.

(D) Any employee may file a claim for increased benefits
under subsection (3)(B) by filing a new petition for
benefit determination . . . with the bureau no more than
one (1) year after the period of compensation provided
in subsection (3)(A) ends . . . .

Tenn. Code Ann. § 50-6-207(3)(A) – (D) (2023) (emphases added). 4 Thus, one impact of
the Reform Act was to remove the discretion of a trial court to re-assess an employee’s
“industrial disability” in the event the employee was no longer employed as of a certain
date and, instead, substitute a number of objective factors that could increase the
employee’s award of permanent disability benefits by pre-determined amounts.

The Reform Act also resulted in significant changes to Tennessee Code Annotated
section 50-6-242, which now provides, in part:

(a)(2) [I]n extraordinary cases where the employee is eligible for increased
benefits under § 50-6-207(3)(B), the employee may receive disability
benefits of sixty-six and two-thirds percent (66 2/3%) of the
employee’s pre-injury average weekly wage or salary for a period not
to exceed the two hundred seventy-five (275) weeks inclusive of the
benefits provided to the employee under § 50-6-207(3)(A). [These
benefits may be awarded] in lieu of the increased benefits . . . under §
50-6-207(3)(B), if the presiding workers’ compensation judge first
determines based on clear and convincing evidence that limiting the
employee’s recovery to the benefits provided by § 50-6-207(3)(B)
would be inequitable in light of the totality of the circumstances and
the presiding workers’ compensation judge makes specific,
documented findings that as of the date of the award or settlement the
three (3) following facts concerning the employee are true:

(A) The employee has been assigned an impairment rating
of at least ten percent (10%) to the body as whole, that
has been determined according to the AMA
guides . . . by the authorized treating physician;
4
The sentences in subdivision 3 defining the terms “original award” and “resulting award” were added by
amendment in 2016. Furthermore, the current statute allows an injured employee to file for increased
benefits “at the time the period of compensation provided by subdivision (3)(A) ends, or one hundred eighty
(180) days after the employee reaches maximum medical improvement, whichever is later.” Tenn. Code.
Ann. § 50-6-207(3)(A) & (B) (2023).
12
(B) The authorized treating physician has certified on a
form provided by the bureau that due to the permanent
restrictions on activity the employee has suffered as a
result of the injury the employee no longer has the
ability to perform the employee’s pre-injury occupation.
[This certification] shall have a presumption of
correctness that may be overcome by the presentation of
contrary clear and convincing evidence; and

(C) The employee is not earning an average weekly wage or
salary that is greater than or equal to seventy percent
(70%) of the employee’s pre-injury average weekly
wage or salary.

Again, although the statute preserved some degree of discretion with respect to the amount
a trial court could award for what has been called “extraordinary relief,” that discretion is
limited, and the statute does not expressly direct a court to “reassess industrial disability.”

Of note, Tennessee Code Annotated section 50-6-207(4), the portion of the statute
governing permanent total disability awards, was not amended by the Reform Act in any
way pertinent to the issues raised in this case, with the exception of the calculation of
attorneys’ fees and certain procedural changes. 5 Consequently, we must determine how
the provisions of that section are to be construed and applied in light of the significant
amendments to the remainder of section 207 and the Workers’ Compensation Law as a
whole.

Principles of Statutory Construction

The statutory provisions noted above, and the historical context in which those
provisions have been amended, are critical to our analysis in addressing this issue of first
impression. Our Supreme Court has provided ample guidance for courts interpreting and
reviewing statutes. First, “we seek to ‘ascertain and give effect to the legislative intent
without unduly restricting or expanding a statute’s coverage beyond its intended scope.’”
Falls v. Goins, 673 S.W.3d 173, 180 (Tenn. 2023) (quoting State v. Welch, 595 S.W.3d
615, 621 (Tenn. 2020)). “[T]he statutory language is of primary importance” in performing
that task. Flade v. City of Shelbyville, No. M2022-00554-SC-R11-CV, 2024 Tenn. LEXIS
395, at *22 (Oct. 9, 2024) (citing State v. Dycus, 456 S.W.3d 918, 924); Mills v. Fulmarque,
Inc., 360 S.W.3d 362, 368 (Tenn. 2012). We must give the words contained in the statute

5
As the maximum total benefit increased to 450 weeks under the Reform Act, the calculation of attorneys’
fees in permanent total disability cases was amended to reflect this change. The Reform Act also
reorganized the language regarding the Social Security offset and changed the process for an employer
requesting reevaluation of an award of permanent total disability, as it now requires the employer to file a
new petition for benefit determination.
13
“their natural and ordinary meaning in the context in which they appear and in light of the
statute’s general purpose.” Coffee Cnty. Bd. of Educ. v. City of Tullahoma, 574 S.W.3d
832, 839 (Tenn. 2019). When those words are clear and unambiguous, we derive the
legislative intent from the plain meaning of the statutory language and simply enforce the
statute as written. State v. Deberry, 651 S.W.3d 918, 925 (Tenn. 2022); In re Bentley D.,
537 S.W.3d 907, 911 (Tenn. 2017) (citing Lind v. Beaman Dodge, Inc., 356 S.W.3d 889,
895 (Tenn. 2011)). If, however, statutory language is ambiguous, we may consider other
sources to discern the legislative intent. In re Bentley D., 537 S.W.3d at 912 (quoting
Arden v. Kozawa, 466 S.W.3d 758, 764 (Tenn. 2015)); see also Lee Med., Inc. v. Beecher,
312 S.W.3d 515, 527–28 (Tenn. 2010). Finally, we must “endeavor to construe statutes in
a reasonable manner which avoids statutory conflict and provides for harmonious operation
of the laws.” Wallace v. Metro. Gov’t of Nashville & Davidson Cnty., 546 S.W.3d 47, 52–
53 (Tenn. 2018) (quoting Ray v. Madison Cnty., 536 S.W.3d 824, 831 (Tenn. 2017)).

In seeking to determine the General Assembly’s intent as it relates to awards of
permanent partial disability and permanent total disability, we have considered every
section of the Workers’ Compensation Law or other pertinent rules that could be relevant
to the issue at hand, including: (1) claims for increased benefits under Tennessee Code
Annotated section 50-6-207(3)(B); (2) claims for “extraordinary relief” under Tennessee
Code Annotated section 50-6-242; (3) claims for modification of certain awards under
Tennessee Code Annotated section 50-6-229(c); and (4) claims for relief from certain
judgments under Rule 60.02 of the Tennessee Rules of Civil Procedure. We have also
considered whether contract law is relevant to the rights and obligations of the parties
following the approval of a settlement agreement and the entry of a judgment for the
“original award” as defined in Tennessee Code Annotated section 50-6-207(3)(A).

Claims for Increased Benefits

Employee argues, and the trial court agreed, that Tennessee Code Annotated section
50-6-207(3)(B), contained in the section entitled “Permanent Partial Disability,” does not
expressly prohibit a court from awarding permanent total disability following the court’s
approval of an award of permanent partial disability benefits and the expiration of the initial
compensation period. We conclude, however, that for this determination to be correct, we
would have to find that the category of benefits the statute identifies as “permanent total
disability” in section 207(4) is a type of “increased benefit” as defined by Tennessee Code
Annotated section 50-6-207(3)(B). For the reasons noted below, we find no statutory or
precedential support for this interpretation.

First, section 50-6-207(3), which defines “permanent partial disability,” specifies
that such benefits are awarded in cases where the disability is “partial in character but
adjudged to be permanent.” (Emphasis added.) As part of the settlement approval process,
trial courts are tasked with determining whether a proposed settlement secures for the
injured worker, “substantially, the benefits provided by this chapter.” Tenn. Code Ann. §

14
50-6-240(a) (2023). In the alternative, with respect to disputed cases, the court may
approve a settlement if it determines the settlement is “in the best interest of the employee.”
Tenn. Code Ann. § 50-6-240(e). Any settlement of permanent disability benefits is not
“binding on either party” until approved by the court, and any settlement not so approved
is “void.” Tenn. Code Ann. § 50-6-240(a) & (f). Moreover, pursuant to Tennessee Code
Annotated section 50-6-229(c), all payments of permanent disability benefits paid in a
lump sum are statutorily deemed “final.” Thus, we conclude that when a trial court signs
an order approving a settlement of permanent disability benefits, that order constitutes a
final judgment of the court, and such a judgment can only be amended or revised based on
express statutory or regulatory authority.

Second, section 50-6-207(3)(B) defines a “resulting award” to be an original award
that has been increased due to certain circumstances and factors. These “increased
benefits” are wholly contained within the section of the law entitled “Permanent Partial
Disability.” The parameters of increased benefits are defined by objective criteria and pre-
determined increases, with no discretion given to a trial court with respect to their
application or the calculation of the increases. This differs significantly from the prior
“right to reconsideration,” as that portion of the statute gave discretion to the trial court to
“reconsider industrial disability” of the injured employee by evaluating “lay and expert
testimony, employee’s age, education, skills and training, local job opportunities, and
capacity to work at types of employment available in claimant’s disabled condition.” Tenn.
Code Ann. § 50-6-241(a)(1) (1992). In short, we find nothing in section 50-6-207(3)(B)
that authorizes a trial court to award permanent total disability benefits in the context of a
claim for increased benefits.

Third, section 50-6-207(3)(D) contains a statute of limitations for the filing of
claims for increased benefits. Specifically, the employee must file “a new petition for
benefit determination . . . no more than one (1) year after the period of compensation
provided in subsection (3)(A) ends or one (1) year after the one hundred eighty-day period
after the employee reaches maximum medical improvement, whichever is later.” Tenn.
Code Ann. § 50-6-207(3)(D). Thus, the statutory scheme for an award of increased benefits
is a separate cause of action with a different statute of limitations than that contained in
Tennessee Code Annotated section 50-6-203(b). Yet, there is no similar language
contained in section 50-6-207(4) that instructs an employee to file a new petition after the
expiration of the original compensation period to seek an award of permanent total
disability, and there are no provisions addressing any time period within which such a
petition must be filed. Consequently, if permanent total disability benefits cannot be
classified as a form of “increased benefits” under section 207(3)(B), then the statute of
limitations contained in section 207(3)(D) would not apply to claims for permanent total
disability benefits. If we were to accept the argument that an employee is not prohibited
from seeking permanent total disability after having received an award of permanent partial
disability benefits, one practical impact of this decision would be that there is no statute of

15
limitations applicable to post-judgment claims for permanent total disability. We find no
evidence that the General Assembly intended such a result when it passed the Reform Act.

Finally, we note that subsection 207(3)(G) specifically limits permanent partial
disability awards to no more than the “maximum total benefit.” Thus, by the plain language
of section 207(3), no claim for increased benefits can result in an award of permanent total
disability because such an award cannot exceed the maximum total benefit as defined in
section 50-6-102(13)(D).

In short, pre-reform law provided a trial court significant discretion in reassessing
the industrial disability of the injured employee in the context of a claim for
reconsideration. The 2013 Reform Act created a different compensation scheme altogether
and removed most of this discretion. As we have explained previously, “[r]eliance on
precedent from the Tennessee Supreme Court is appropriate unless it is evident the
Supreme Court’s decision or rationale relied on a remedial interpretation of pre-July 1,
2014 statutes, that it relied on specific statutory language no longer contained in the
Workers’ Compensation Law, and/or that it relied on an analysis that has since been
addressed by the general assembly through statutory amendments.” McCord v. Advantage
Human Resourcing, No. 2014-06-0063, 2015 TN Wrk. Comp. App. Bd. LEXIS 6, at *13
n.4 (Tenn. Workers’ Comp. App. Bd. Mar. 27, 2015). Here, due to the significant
differences in statutory language pre-reform versus post-reform, we conclude pre-reform
cases do not answer the question before us and provide no guidance to resolve the current
dispute.

Claims for Extraordinary Relief

Next, current law provides an injured employee another opportunity for additional
permanent disability benefits after the initial compensation period has ended. Under
Tennessee Code Annotated section 50-6-242, a court can award up to 275 weeks of
permanent disability benefits if the judge determines it would be “inequitable in light of
the totality of the circumstances” to limit the award to the amounts mandated by Tennessee
Code Annotated section 50-6-207(3)(B). See Batey v. Deliver This, Inc., 568 S.W.3d 91
(Tenn. 2019) (discussing the criteria for awarding benefits pursuant to section 50-6-242).
To qualify for such benefits, the employee must satisfy certain well-defined criteria.
Notably, that section of the statute specifically states this relief is available in
“extraordinary cases where the employee is eligible for increased benefits under § 50-6-
207(3)(B)” and the benefits will be awarded “in lieu of the increased benefits for which the
employee is eligible under § 50-6-207(3)(B).” Tenn. Code Ann. § 50-6-242(a)(2)
(emphases added). Thus, section 242 specifically conditions an employee’s ability to seek
extraordinary relief on that employee’s eligibility for increased benefits. Such claims are,
therefore, subject to the same statute of limitations as is set out in section 207(3)(D). Again,
we emphasize there is no similar language in section 50-6-207(4) addressing an employee’s
eligibility for permanent total disability in circumstances where the employee has already

16
been awarded permanent partial disability or establishing a statute of limitations for such
claims.

Furthermore, both subsection 207(3)(D) and subsection 242(a)(2) provide a credit
to an employer for the amount of the original award against any subsequent award of
permanent partial disability. Section 207(4) contains no language regarding such a credit,
which indicates that the General Assembly did not contemplate cases in which an employee
would file a new petition seeking an award of permanent total disability after having been
adjudged permanently partially disabled. If we were to accept Employee’s argument, an
employee could receive an award of permanent partial disability benefits, then file a new
petition for permanent total disability benefits within some undetermined time in the future,
and the employer would have no statutory basis to claim a credit for the permanent partial
disability previously paid to the employee.

In sum, we can identify no mechanism in any section of the current Workers’
Compensation Law that allows an employee to seek an award of permanent total disability
benefits after being adjudicated permanently partially disabled, nor does the Law contain
any limitations period within which an employee could seek such benefits after having
received an award of permanent partial disability. For these reasons, we are constrained to
conclude that the only logical reading of the statutes as a whole is that a claim for
permanent total disability must be pursued within the context of the employee’s original
petition, or by amendment of that petition at any time prior to any adjudication of
permanent partial disability. Further, we hold that the plain language of the various
provisions of the Reform Act, when read as a whole, do not allow for a separate cause of
action for permanent total disability benefits following an award of permanent partial
disability, whether by settlement or judgment. 6

Settlement as a Contract

Next, Employer argues that the settlement agreement itself prevented Employee
from seeking permanent total benefits. In Employer’s view, the settlement agreement must
be treated as a contract between the parties, and that contract only allowed for two options
for additional benefits following the court approval of the settlement: increased benefits
available under subsection 50-6-207(3)(B) or extraordinary relief as provided under section
50-6-242. Given that Employee could not meet the objective criteria required for
extraordinary relief, Employer asserts that Employee was contractually limited to seeking
increased benefits only. In response, Employee argued that the settlement was not a
contract as there was no “meeting of the minds” as to the extent of Employee’s permanent
6
We would be remiss if we did not note the anticipated impact of this holding on general settlement
procedures for an “original award” as defined by Tennessee Code Annotated section 50-6-207(3)(A).
However, as outlined above, we cannot ignore or look beyond the plain meaning of the language of the
statute when it is unambiguous. To do otherwise would require us to expand the scope of the statute as
written, which we have no authority to do.
17
disability when the initial settlement agreement was approved. In its compensation order,
the trial court found the settlement agreement to be “silent” as to whether permanent total
disability benefits were available to Employee at the end of his initial benefit period.

In workers’ compensation cases, it is well-settled that “[a] settlement agreement is
a contract between the parties to litigation, subject to the rules of contract interpretation,
that, when it is incorporated into the judgment of the court, is also enforceable as a
judgment.” Rivera v. Jeld-Wen, Inc., No. M2003-01651-WC-R3-CV, 2004 Tenn. LEXIS
666, at *12 (Tenn. Workers’ Comp. Panel Aug. 25, 2004) (citing Sweeten v. Trade
Envelopes, 938 S.W.2d 383, 385 (Tenn. 1996)). Here, the settlement documents do not
specifically exclude Employee from seeking permanent total disability benefits after being
adjudged permanently partially disabled, but neither is that remedy included in the list of
possible post-judgment remedies available to Employee. In interpreting the language of a
contract, we are required to consider “the usual, natural, and ordinary meaning of” the
contract provisions. Staubach Retail Servs.-Southeast, LLC v. H. G. Hill Realty Co., 160
S.W.3d 521, 526 (Tenn. 2005). Here, the contract was specific as to the types of additional
benefits Employee could seek post-judgment, and that list did not include permanent total
disability benefits as being a potential post-judgment remedy. In the absence of any
indication in the contract language that a post-judgment claim for permanent total disability
benefits was specifically reserved in the agreement, we conclude Employee did not
preserve any such right, even if the statutes allowed it.

Modification of Judgments

One other possible statutory mechanism by which an employee could seek
additional benefits after being adjudged permanently partially disabled is contained in
Tennessee Code Annotated section 50-6-229(c). 7 That section states:

All amounts paid by the employer and received by the employee or the
employee’s dependents, by lump sum payments, shall be final, but the
amount of any award payable periodically for more than twenty-six (26)
weeks may be modified as follows:

(1) At any time by agreement of the parties and approval of the
court; or

(2) If the parties do not agree, then at any time after twenty-six
(26) weeks from the date of the award, either party may file an
application to the court of workers’ compensation claims, on

7
Although this issue was not raised by either party in this appeal, in the interests of judicial economy, we
have chosen to address it because of its significance to our broader discussion of claims for additional
disability benefits.
18
the ground[s] of increase or decrease of incapacity due solely
to injury.

Tenn. Code Ann. § 50-6-229(c) (2024) (emphasis added). Prior to the passage of the 2013
Reform Act, this language was found almost verbatim in Tennessee Code Annotated
section 50-6-231, with the exception that the parties were directed to seek modification of
a periodic award of permanent disability benefits in courts of competent jurisdiction,
generally, as the Court of Workers’ Compensation Claims had not yet been created.

It is clear from both the plain language of this statute and the pertinent case law that
this avenue of modification exists only if the award of permanent disability benefits is
payable periodically for a period of more than twenty-six weeks. See, e.g., Nails v. Aetna
Ins. Co., 834 S.W.2d 289, 293 (Tenn. 1992); Corby v. Matthews, 541 S.W.2d 789, 793
(Tenn. 1976) (stating both the employer and the employee take risks when they enter into
a lump sum settlement because of the finality of lump sum payments). Given that there is
no evidence in the present case that the original award was payable periodically for more
than twenty-six weeks, we decline to address whether the modification of an award of
periodic benefits under Tennessee Code Annotated section 50-6-229 can result in a finding
of permanent total disability based on evidence of an increase in incapacity.

Relief from Judgments or Orders

It is well-settled that the Court of Workers’ Compensation Claims is bound by the
Tennessee Rules of Civil Procedure except in limited circumstances. See Tenn. Code Ann.
§ 50-6-239(c)(1). Thus, in any workers’ compensation case in which a settlement has been
approved, an employee could seek relief from the operation of the court’s order approving
the settlement of the “original award” as provided in Rule 60 of the Tennessee Rules of
Civil Procedure. No such remedy has been sought in this case. We would also caution
that “while Rule 60 grounds may be used to set aside final workers’ compensation
judgments in narrow circumstances . . . [w]orkers’ compensation cases involving lump-
sum awards [are] weighted in favor of finality.” Underwood v. Zurich Ins. Co., 854 S.W.2d
94, 98 (Tenn. 1993). A request to set aside a settlement in the circumstances as are
presented here must show “overriding importance, [] extraordinary circumstances[,] or
extreme hardship within the meaning of Rule 60.02(5).” Id. at 99. No such showing has
been made in the present case.

Employee’s Entitlement to a Resulting Award

Finally, Employer contends Employee cannot receive any increased benefits
because the primary cause of his current condition and the nonunion of his fracture is his
smoking. As such, Employer argues the nonunion of the fracture was not a “direct and
natural consequence” of the injury. However, we conclude Employer has misconstrued
the direct and natural consequences rule. As the Workers’ Compensation Appeals Panel

19
explained recently in Hudgins v. Global Personnel Solutions, Inc., No. E2023-00792-SC-
R3-WC, 2024 Tenn. LEXIS 86 (Tenn. Workers’ Comp. Panel Mar. 5, 2024), to apply this
rule, the preponderance of the evidence must support a finding that “the employment
contributed more than fifty percent in causing an injury subsequent to a compensable injury
for it to also be compensable.” Id. at *14 (emphasis added). Here, there was no “injury
subsequent to a compensable injury.” Instead, Employer argues that Employee’s difficult
recovery and poor result were caused by his continued smoking and constituted a
“subsequent injury” to which the direct and natural consequences rule can apply. We find
no support in relevant case law for such an interpretation of the rule. We interpret
Employer’s argument to suggest that Employee’s continued smoking after the work
accident constituted an independent, intervening cause that broke the chain of causation
and, therefore, his smoking was the primary cause of the nonunion of Employee’s fracture.
However, we conclude the preponderance of the evidence fails to support such a finding.
Although Dr. Smith agreed that Employee’s smoking was a factor in the nonunion, there
is no evidence in this record to suggest that his smoking was the primary cause of the
nonunion. In fact, during his deposition, Dr. Smith specifically agreed that the nonunion
was “a natural medical consequence of the October 6, 2020 injury.” During re-direct, when
Dr. Smith was asked whether Employee’s smoking was “the primary factor for that lack of
blood supply,” he responded, “had to be a significant factor I will say.” He did not state,
however, that the Employee’s nonunion was primarily caused by his continued smoking.

Employer asserted during oral argument that the initial settlement documents only
resolved a claim for a “right displaced femoral fracture” and that, as such, it never accepted
the nonunion of that fracture as a compensable condition. However, the settlement amount,
as reflected in the agreement signed by both parties, was based on an 8% impairment rating
assigned by the authorized treating physician, who took into account the nonunion of the
fracture and Employee’s continued atrophy, pain, and distal foot numbness when assessing
the degree of permanent medical impairment. Thus, Employer’s argument that Employee’s
increased benefit and resulting award should not be based on that same 8% rating is
meritless.

Employee was fifty-six years old at the time of the injury and is a high school
graduate. We take judicial notice that the unemployment rate in Knox County, which was
Employee’s county of employment at the time of the accident, was 6.0% in October 2020,
and the state unemployment rate that year was 7.5%; thus, the unemployment rate factor
did not apply. 8 Therefore, as of the date of trial, Employee qualified for a factor of 1.35
based on his employment status and a factor of 1.2 based on his age. Pursuant to Tennessee
Code Annotated section 50-6-207(3)(B), we therefore modify the award of permanent

8
See Tennessee Department of Labor and Workforce Development Labor Force Estimates, November 25,
2020, tn.gov/content/dam/tn/workforce/documents/LaborEstimates/LaborForceEstimatesOct20.pdf (last
visited Oct. 30, 2024); and see Tennessee Department of Labor and Workforce Development Labor Force
& Nonfarm Employment Estimates 2016-2020, May 2021, tn.gov/content/dam/tn/workforce/
documents/majorpublications/reports/Annual_Avg_Pub_2020.pdf (last visited Oct. 30, 2024).
20
partial disability benefits to an amount based on 12.96%, or 58.32 weeks. At his workers’
compensation rate of $603.29, this equates to a resulting award of $35,183.87. After
deducting Employer’s credit of $18,874.17 for payment of the original award, the trial
court’s award is modified to a resulting award of $16,309.70. We further modify the trial
court’s award of attorneys’ fees to twenty percent of the resulting award, or $3,261.94, and
reduce the discretionary costs awarded to $444.50, or the amount spent by Employee’s
counsel in pursuit of increased benefits. 9 All other awards as set forth in the trial court’s
Compensation Order, including future medical benefits and court costs, are affirmed.

Frivolous Appeal

For his part, Employee seeks attorneys’ fees and costs for what he asserts was a
frivolous appeal. Employee argued that Employer “seeks review of a previously appealed
and properly adjudicated argument . . . [and] seeks review of an argument that is an
[unpleaded] affirmative defense.” It is well-settled that “[a] frivolous appeal is one
that . . . had no reasonable chance of succeeding,” Adkins v. Studsvik, Inc., No. E2014-
00444-SC-R3-WC, 2015 Tenn. LEXIS 588, at *30 (Tenn. Workers’ Comp. Panel July 21,
2015), or one that is devoid of merit or brought solely for delay, Yarbrough v. Protective
Servs. Co., Inc., No. 2015-08-0574, 2016 TN Wrk. Comp. App. Bd. LEXIS 3, at *11 (Tenn.
Workers’ Comp. App. Bd. Jan. 25, 2016). “[P]arties should not be required to endure the
hassle and expense of baseless litigation. Nor should appellate courts be required to waste
time and resources on appeals that have no realistic chance of success.” Id. at *10-11
(internal citations omitted); see also Burnette v. WestRock, No. 2016-01-0670, 2017 TN
Wrk. Comp. App. Bd. LEXIS 66, at *18 (Tenn. Workers’ Comp. App. Bd. Oct. 31, 2017).
In the present case, given that Employer’s statutory interpretation arguments raised issues
of first impression, and we ultimately reversed the trial court on certain issues, we conclude
Employer’s appeal was not frivolous.

Conclusion

For the foregoing reasons, we affirm the court’s decision addressing the setting of a
hearing on Employer’s motion for partial summary judgment under the particular
circumstances of this case; we reverse the trial court’s determination that employees who
are adjudged permanently partially disabled can later seek permanent total disability
benefits; we modify the trial court’s award of permanent disability benefits, attorneys’ fees,
and discretionary costs; we affirm the trial court’s order in all other respects; and we certify
the modified order as final for purposes of further appeal. Costs on appeal are taxed to
Employer.
9
Employee sought and the trial court awarded discretionary costs of $4,921.35, which was an erroneous
tabulation of the discretionary expenses as presented. The total cost evidenced by the invoices attached to
the motion for discretionary costs was $4,782.30, which included Dr. Kennedy’s deposition fee and the cost
of that transcription, as well as the cost of the court appearance by Mr. Galloway. Those expenses were
incurred in the pursuit of permanent total disability benefits, which we have concluded could not succeed.
21
TENNESSEE BUREAU OF WORKERS’ COMPENSATION
WORKERS’ COMPENSATION APPEALS BOARD

John F. Oldham ) Docket No. 2022-03-0420
)
v. ) State File No. 66575-2020
)
Freeman Webb Company Realtors )
d/b/a Sunnybrook, et al. )
)
)
Appeal from the Court of Workers’ ) Heard October 1, 2024
Compensation Claims ) in Knoxville, TN
Pamela B. Johnson, Judge )

CERTIFICATE OF SERVICE

I hereby certify that a true and correct copy of the Appeals Board’s decision in the referenced
case was sent to the following recipients by the following methods of service on this the 8th day
of November, 2024.

Name Certified First Class Via Via Sent to:
Mail Mail Fax Email
A. Allen Grant X agrant@eraclides.com
Ben Norris bnorris@eraclides.com
Andrew Roberto X aroberto@brownandroberto.com
bseay@brownandroberto.com
Pamela B. Johnson, Judge X Via Electronic Mail
Kenneth M. Switzer, Chief Judge X Via Electronic Mail
Penny Shrum, Clerk, Court of X penny.patterson-shrum@tn.gov
Workers’ Compensation Claims

Olivia Yearwood
Clerk, Workers’ Compensation Appeals Board
220 French Landing Dr., Ste. 1-B
Nashville, TN 37243
Telephone: 615-253-1606
Electronic Mail: WCAppeals.Clerk@tn.gov

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/cases/10737095. Public record. Not legal advice.