Workers' Compensation - Compromise and Release Agreements

Summary of Pennsylvania Decisions

McKenna v. Workers' Compensation Appeal Board (SSM Industries, Inc. and Liberty Mutual Insurance Co.), No. 454 C.D. 2010 (Pa. Cmwlth., August 18, 2010)

Holding: Because a Compromise and Release Agreement is not binding until it is approved by a Workers' Compensation Judge, an employer may refuse to proceed with a C&R hearing if negotiations break down. In this case, the employer refused to proceed with a C&R unless the claimant signed an agreement stating that he would resign from and not seek re-employment with the defendant employer.