If a disability retirement allowance, disability allowance, family allowance, or survivor benefit allowance is payable under this part due to the injury to or death of a member and the injury or death is the proximate consequence of the act of a third person or entity, other than the member’s employer, the board may recover from that person or entity on behalf of the plan, an amount equal to the actuarial equivalent of benefits the system paid and became obligated to pay under the plan because of the injury to or death of the member less any amounts the system may be obligated to pay under the plan without regard to the actions of the third party. In determining the amount the system may be obligated to pay without regard to the actions of the third party, the system shall base the actuarial equivalent only on creditable compensation and service credit earned by the member prior to the date the disability retirement allowance, disability allowance, family allowance, or survivor benefit allowance becomes payable. This chapter shall be deemed to create a right of subrogation only to amounts the system paid and became obligated to pay as disability retirement allowances, disability allowances, family allowances, or survivor benefit allowances.
(Amended by Stats. 2017, Ch. 298, Sec. 13. (AB 1325) Effective January 1, 2018.)
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