Update on Detroit bankruptcy proceedings

United States Bankruptcy Judge Steven Rhodes allows disputed workers’ compensation cases to proceed.

We have some good news regarding Detroit’s bankruptcy. Judge Steven Rhodes has signed an order permitting the resolution of disputed workers’ compensation claims. This means our clients can finally proceed with their cases.

Detroit currently has a backlog of unresolved workers’ compensation cases. It is anticipated that most of these claims with be resolved through facilitation at the Agency. Here is what you need to know about that process.

Facilitation allows both sides the opportunity to informally present their arguments to a neutral magistrate. A dollar amount will be given that is reasonable to the settle the case. Neither party is required to accept this amount.

Proceeding to trial means that one side is going to win and the other will lose. This gives plenty of incentive for both sides to compromise.

Facilitation is a great way to narrow legal issues and speed up resolution of a case. Some people have unrealistic expectations about the value of their case and this allows them to hear from a neutral magistrate. Insurance companies and employers are also expected to be reasonable and acknowledge the merit of a claim.

We believe the City of Detroit will follow the recommendations of the magistrate at facilitation. Now is the time to contact your attorney and make sure all of your medical records have been updated. Busy times are ahead but there is a light at the end of the tunnel!

Michigan Workers Comp Lawyers never charges a fee to evaluate a case. We have represented injured and disabled workers exclusively for more than 35 years. Call (855) 221-2667 for a free consultation.

Related information:

City of Detroit Bankruptcy Order Regarding Workers’ Compensation

Photo courtesy of Creative Commons, by cletch.

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