HARLIS B EDGE, Applicant

HANEFELD BROTHERS INC, Employer

WEST BEND MUTUAL INS CO, Insurer

The applicant has filed a compromise review application. Either party to a compromise may request to have the compromise reviewed, and modified, set aside, or confirmed, within a year of the date an award has been entered on the compromise. Wis. Stat. § 102.16(1). In general, compromise agreements will not be reopened absent evidence of gross inequity, important newly discovered evidence, fraud, duress or mutual mistake. Yench v. U.W. Oshkosh (LIRC July 31, 1995).

In this case, the applicant, who is proceeding pro se, asserts that the amount of the settlement is too low, and that the compromise should be set aside on grounds of gross inequity. An administrative law judge (ALJ) for the department of workforce development, worker's compensation division, reviewed the documents submitted by the applicant, which include a practitioner's report on form WKC-16-B, and issued a decision stating that there was no basis to reopen the compromise. No hearing was held.

The applicant filed a timely petition for commission review under Wis. Stat. § 102.18(3). In his petition, he stated his belief that he is entitled to a hearing.

The commission concludes that a hearing is required in this case. Wisconsin Stat. § 102.16(1)--the statutory subsection dealing in part with compromise agreements--provides:

102.16 Submission of disputes, contributions by employees. (1) Any controversy concerning compensation or a violation of sub. (3) including controversies in which the state may be a party, shall be submitted to the department in the manner and with the effect provided in this chapter. Every compromise of any claim for compensation may be reviewed and set aside, modified or confirmed by the department within one year from the date the compromise is filed with the department, or from the date an award has been entered, based thereon, or the department may take that action upon application made within one year. ... The employer, insurer or dependent under s. 102.51 (5) shall have equal rights with the employee to have review of a compromise or any other stipulation of settlement. Upon petition filed with the department, the department may set aside the award or otherwise determine the rights of the parties

Wisconsin Stat. § 102.18(1)(a) provides further:

102.18(1) (a) All parties shall be afforded opportunity for full, fair, public hearing after reasonable notice, but disposition of application may be made by compromise, stipulation, agreement, or default without hearing.

The applicant's compromise review application raises a "controversy concerning compensation." He is not in default--at the least the commission does not view his failure to have provided additional or more persuasive documents to the department at this point to be a default--nor has she stipulated or agreed to a decision without hearing. He did compromise, of course, but he has not compromised his application to review his compromise. Nor does the commission read Wis. Stat. § 102.18(1)(a) to indicate that simply by compromising a claim, a party waives his or her right to hearing on the issue of having the compromise reviewed.

The commission therefore remands this case to the department for hearing and decision on the applicant's compromise review application.

So ordered.

Dated and mailed December 27, 2010
edgeha . wpr : 101 : 1 ND6 11.5

/s/ James T. Flynn, Chairperson

/s/ Robert Glaser, Commissioner

/s/ Ann L. Crump, Commissioner

cc: Attorney David L. Weber

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