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Firestone Tire & Rubber Co. v. Brown

Citations: 138 Ariz. 330; 678 P.2d 515; 1983 Ariz. App. LEXIS 694Docket: No. 2 CA-CIV 4946

Court: Court of Appeals of Arizona; December 9, 1983; Arizona; State Appellate Court

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An important legal question arises regarding whether a personal representative can pursue a wrongful death claim under A.R.S. 12-611 when an employee, who received workmen’s compensation benefits after being injured by a third party, dies without dependents. Firestone Tire and Rubber Company challenges a lower court's decision to allow the substitution of the personal representative as plaintiff in the ongoing case against Goodyear Tire & Rubber Company and the denial of its motion for summary judgment. The court accepted jurisdiction due to the narrow legal issue, which has significant public interest and does not involve factual disputes. 

Tony Martinez, the deceased plaintiff, was injured in 1980 and received over $113,000 in workmen’s compensation benefits. Following his death, his personal representative sought to continue the case, but Firestone opposed this motion, arguing that only dependents could pursue such claims under A.R.S. 23-1023, which Martinez lacked. The respondent court ultimately permitted the substitution and denied summary judgment, prompting this special action. A.R.S. 23-1023 delineates the rights of employees and their dependents to pursue claims against third parties for injuries caused by negligence, detailing conditions for assignment of those claims and the insurance carrier's lien on recoveries.

A compromise of any claim by an employee or their dependents for less than the full compensation and medical benefits requires written approval from the compensation fund or the liable party. The term "dependents" in A.R.S. 23-1023 refers specifically to those eligible for death benefits under A.R.S. 23-1046. A.R.S. 23-1023 allows eligible individuals to collect compensation awards while also pursuing claims against third-party tortfeasors, and it secures a lien for the compensation provider on any recoverable amounts. If the employee or dependents do not file suit against the third party within one year, the compensation provider is entitled to an assignment of the cause of action. The statute does not specify who may bring a wrongful death action, which is governed by A.R.S. 12-612, stating that actions must be brought by the surviving spouse, personal representative, or parents of the deceased. An employee's death without dependents does not terminate an existing third-party action or prevent a wrongful death suit from being filed. The trial court's substitution of the personal representative was upheld, and relief was denied. Judges HATHAWAY and BIRDSALL concurred.