Court of Appeals Affirms Penalty Benefit Award
Foster v. East Penn Manufacturing Co., Inc. , No. 20-1738 (Iowa App. Dec. 15, 2021) Claimant suffered a work injury and was initially paid benefits for her time off work and for medical care. A second surgery was recommended, but the employer did not authorize the surgery or pay for her time off work after the second surgery. The agency imposed penalty against the employer and this finding was affirmed by the district court. Defendant appeals, arguing that the delay was necessary to investigate the claim, there was a reasonable basis for the delay and there was a good faith basis to dispute the entitlement to benefits. The surgeon who had performed claimant's original surgery recommended a second surgery. Defendants sent claimant to a second surgeon (Dr. Kirkland), who found that claimant was not at MMI and indicated that the problems she was experiencing were related to the original injury. The treating physician, Dr. Goding, requested an MRI, which was authoriz...