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Ohio State Workers Compensation Bureau Settles for $52 Million

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Case ID: 4884 | Insurance | 07/27/2006

The Ohio State Insurance Fund for injured workers said it will pay $52 million to workers hurt on the job who won a class-action lawsuit that accused the agency of wrongly taking back payments for their injuries. The settlement affects about 7,900 workers that will receive the reimbursement for money taken under 1993 and 1995 laws that were later declared unconstitutional by the state Supreme Court.

Judge Michael Donnelly of Cuyahoga County Common Pleas Court approved the payment process after the Bureau of Workers' Compensation decided to drop further appeals.

The bureau's decision to pay is a victory for thousands of workers "who finally after a seven-year long legal fight will see a return of their funds that had been unlawfully collected," said lead attorney handling the matter.

A fact sheet about the payment obtained by The Associated Press says workers eligible for the reimbursement will receive 70 percent of what the bureau took from them. The other 30 percent - or about $15.6 million - will go to fees for the workers' lawyers.

Lawyers claim the money will be shared by a dozen attorneys at five different firms. He said the fees will also help cover the cost of a court-appointed administrator hired to distribute the money.


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