Colbert v. District of Columbia Department of Employment Services

Colbert v. DC Department of Employment Services: Worker Loses Benefits After Settlement

This case involved Ms. Colbert, who was injured at work while employed by the Jewish Social Service Agency. She had been receiving workers' compensation benefits for her injury. At some point, Ms. Colbert agreed to binding arbitration to settle a separate legal claim related to her injury against a third party (not her employer). However, she did this without getting written permission from her employer first.

The court ruled against Ms. Colbert and sided with the DC Department of Employment Services. The court found that by agreeing to arbitration, she had "compromised" her third-party claim under DC law. Because she didn't get her employer's written approval before doing this, she lost her right to continue receiving workers' compensation benefits. The court did say she could still get reimbursed for medical expenses directly related to her injury.

Why this matters for workers: If you're receiving workers' compensation and have a potential lawsuit against someone other than your employer (like if another driver caused your work injury), be very careful. You may need your employer's written permission before settling that outside case, or you could lose your workers' compensation benefits entirely.