Proper and Improper Use of Notice of Compensation Denial
In Gumm v. WCAB (J.Allan Steel), __A.2d __ (Pa. Cmwlth., No 599 C.D. 2007, filed on January 28, 2008) helped to explain the proper use of the notice of compensation denial.
The Commonwealth Court explained the standards that were articulated in Jordan v. WCAB (Phila. Newspapers, Inc.), 921 A.2d 27 (Pa. Cmwlth. 2007), and in Gereyes v. WCAB (New Knight Inc.), 793 A.2d 1017 (Pa. Cmwlth. 2002), and noted that in Jordan the employer's issuance of a notice of compensation denial was subject to penalties. This was because the employer filled out the form knowing that the claimant was still suffering from a work-related wage loss. In contrast, the employer in Gereyes was not subject to penalties, because it had issued a notice of compensation denial based upon the fact that the claimant was still working, and as such, not disabled under the Act.