NCCI Court Case Update: South Carolina

On July 31, 2024, the Supreme Court of South Carolina, in Davis v. S.C. Department of Corrections, clarified the statutory review process for workers compensation (WC) claims.

An employer challenged a WC commissioner's order that allowed a WC claimant to withdraw, for a second time and without prejudice, her request for a hearing. The appellate panel reversed the order, reasoning that the commissioner did not have jurisdiction to rule on prejudice because it had already granted the claimant’s request. The appellate court subsequently vacated the panel's decision reasoning that the commissioner’s order was interlocutory—not final—and therefore not subject to review by the panel.

The state's supreme court agreed to review the case in order to clarify the statutory review process for WC cases. In its opinion, the court rejected the employer's contention that the appellate court lacked jurisdiction to review the panel's decision. The court reasoned that appellate review is governed by South Carolina statute 1-23-380, which requires parties to exhaust administrative remedies before seeking review by the appellate court but allows for immediate appellate review if the claimant would otherwise be deprived of an adequate remedy.

The supreme court found that the panel's dismissal was not a final decision because it did not dispose of the merits of the claim. However, the court indicated that the appellate court had jurisdiction to evaluate whether there was a final decision from the panel, and not having the appellate court review the case would have deprived the claimant from an adequate remedy.

The court also agreed with the appellate court's conclusion that the panel did not have jurisdiction to vacate the commissioner's ruling because the ruling was not an "award" subject to immediate review pursuant to South Carolina statute 42-17-50, which requires the panel to review an award on petition. The court indicated that an "award" means monetary or other compensation such as medical benefits that is available to a claimant under WC laws. In this case, the court found that the commissioner's order was not an award and not subject to immediate review by the panel.

For more information on other cases monitored by NCCI's Legal Division, visit previous Court Case Updates and Court Case Insights under the Legal section of INSIGHTS on ncci.com.

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