§10.17 Effect of Recovery by Employee on Employer’s Subrogation Claim

• Library: Workers' Compensation Law Deskbook Vol. 2 (2020 Ed.)

D. (§10.17) Effect of Recovery by Employee on Employer’s Subrogation Claim

If an employee has filed an action against a third party that has been reduced to judgment and satisfied, the employer may not file a separate cause of action against that same third party. O’Hanlon Reports, Inc. v. Needles, 360 S.W.2d 382 (Mo. App. E.D. 1962). In that situation, the employer has a right to request intervention in the employee’s action if it desires. If the employer fails to do so, the employer can only rely on its portion of the recovery being held in trust by the employee and can look only to the employee for reimbursement. But see...