Department of Labor & Industries v. Mullins

Maston Mullins, a recipient of workers’ compensation benefits, challenges the Department of Labor and Industries’ (L&I) distribution formula regarding a third party settlement. We conclude that L&I’s formula for distributing the settlement proceeds was correct except for its failure to deduct L&I’s proportionate share of attorneys’ fees from the remaining balance. Thus, we affirm in part and reverse in part.

FACTS

Mullins sustained an on-the-job injury that left him *458permanently and totally disabled. He then brought a third party cause of action and obtained a $165,000 settlement. After…