What happens after a settlement demand goes out? Workers’ Compensation California. What to expect.

In this video, I walk you through what to expect when you or your attorney submit a settlement demand to the defense for your California Workers' Compensation case.

Please note this information will only be relevant for injuries that are under the jurisdiction of California WCAB.
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Video Chapters
0:08 Post-Settlement Demand Video Overlay
1:02 What is a Settlement Demand?
1:22 The Ideal Case for a Settlement Demand Response
2:02 Response for a Stipulation with Request for Award - Ideal Case
2:17 Response for a Compromise and Release - Ideal Case
2:40 The Normal Case for a Settlement Demand Response
4:05 Response for a Compromise and Release - Normal Case
4:19 Response for a Stipulation with Request for Award - Normal Case
4:44 Reasons Why No Response to Your Settlement Demand
6:24 Bonus Tip - File a Hearing if No Response Given

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Video Outline

What is a settlement demand? Settlement procedure – one side starts high and the other low and they meet in the middle. In Workers’ Compensation, Settlement demand is the opening high number by the injured worker. Then we wait to see how the defense responds.

1. Ideal Case – Scenario: Demand sent out after client is Permanent and Stationary or has reached Maximal Medical Improvement and the demand is reasonable based on the medical reports.
a. Defense accepts the offer and provides settlement documents
b. You start the process of signing and finalizing settlement.
c. Common when settling via Stipulation with Request for Award. Because the settlement is based solely on the rating of your final report.
d. Rare when settling via Compromise and Release where there is more room for negotiation. Almost do not want with C&R as you feel like there was more money on the table that you did not get. Exception – ultimatum offers.
e. Timeline: Can sign settlement docs same week as offer went out.

2. Normal Case – Scenario: Demand sent out after client is Permanent and Stationary or has reached Maximal Medical Improvement and the demand is a bit high but still based on the medical reports.
a. Defense makes a counter offer
b. Injured worker makes a counter
c. Defense makes a counter offer
d. Injured worker accepts the counter offer
e. You start the process of signing and finalizing settlement.
f. Can occur when settling via Stipulation with Request for Award.
i. If there are conflicting final reports and you agree on a compromise between the two reports.
ii. If there is another issue such as credits that also need to be negotiated.
g. Common when settling via Compromise and Release
h. Timeline: Varies depending on how responsive both sides are and how motivated each side is to settle. Can sign settlement docs same week to a couple months later. Average would be 2 – 3 weeks.
3. Reasons why are they not responding:
a. The defense disagrees that the case is ready for settlement
i. They may want more discovery first
ii. They may need clarity on a lien or benefits provided.

b. The defense is having trouble getting authority i.e. getting permission to give you a counter offer.
i. Happens when an extra authorization is needed
1. Could be a higher number than the desk authority
2. Could have to be approved by a board or committee.
ii. Happens if the adjuster is just not responsive

c. The settlement demand was not in writing. Technically, attorneys are only ethically required to present written offers.

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TEXT "CONSULT" to (909) 266-0003 or Call us to get answers from an attorney.

We serve injured workers and fight for them to receive all their benefits especially medical treatment and compensation.

Hello, my name is Naomi. I have been practicing in Southern California since 2012. My firm is different because our clients are able to access their attorney and we focus on educating our clients and communication.
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Call: (909) 266-0003
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© 2021 Gonzalez Law Firm, APC. All Rights Reserved. This video is not intended as legal advice, nor does it establish an attorney client relationship. Information provided is applicable in California Only. This video is intended for Gonzalez Law Firm clients only. Every case is different and certain statements may be not applicable to your case. This video is only applicable for Workers’ Compensation cases not other types of law. If you want information specific to your case contact Gonzalez Law Firm, APC.

Видео What happens after a settlement demand goes out? Workers’ Compensation California. What to expect. канала Gonzalez Law Firm, APC - CA Work Comp Attorneys