A. The Office of Management and Enterprise Services shall have the right of subrogation to recover any payments made for injury to an employee or dependent caused by a third party's wrongful act or negligence. The Office shall have the authority to waive or reduce subrogation in individual cases when the exercise of the right of subrogation would create an extreme financial hardship on the employee or dependent.
B. Subrogation will exist only to the extent of actual claims paid.
C. If an employee or dependent has prejudiced the Office's right of subrogation by releasing the responsible party prior to submitting claims to the Office, the claims may be denied by the Office. If claims are submitted and paid after the employee or dependent has released the responsible party, the Office shall be entitled to bring an action against the employee, dependent, or their assignees, for any such claims paid and for additional costs incurred by the Office including, but not limited to: interest, administrative and adjudicative costs, and attorney fees.
Added by Laws 1990, c. 244, § 4, emerg. eff. May 21, 1990. Amended by Laws 2012, c. 304, § 937.
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