Public Employee Claims Division v. Chitwood

ANDREE LAYTON Roaf, Justice.

The issue in this appeal is whether the appellant Public Employee Claims Division of the Arkansas Insurance Department (PECD), the workers’ compensation carrier for state agencies, owes a one-third attorney fee as costs of collection from its subrogation claim against a personal injury judgment awarded to appellee Richard Chitwood, a state employee. We agree that the Circuit Court erred in finding that Chitwood’s attorneys were entided to recover one-third of PECD’s subrogation claim as costs of collection, and reverse.

Richard Chitwood, an employee of the Arkansas…