Phelps v. Stostad

Opinion

GEORGE, C. J.

This case requires us to determine the proper interplay between Code of Civil Procedure section 1141.21, subdivision (a)(ii) (hereafter section 1141.21(a)(ii)), which governs the recovery of costs when a party elects a trial de novo following a judicial arbitration, and Labor Code section 3856 (hereafter section 3856), which establishes the priority for the allocation of the proceeds of a judgment when, as here, an injured employee (or his or her employer) obtains a judgment against a third party tortfeasor. The Court of Appeal, following dicta in an earlier appellate…