While it always important for the victim of a car accident to receive compensation for medical care and other injuries, it is equally imperative to obtain such compensation in a legal and equitable manner. A car accident is not an excuse to commit fraud. The Atlanta-based U.S. 11th Circuit Court of Appeals recently addressed a case on this point.
AirTran Airways, Inc. v. Elem
This case began with a 2007 car accident. The victim sustained injuries and received medical care, which her employer initially paid for under its self-funded employee benefit plan. In accepting her employer’s medical benefits—totaling more than $130,000—she agreed to repay the company out of any proceeds she might subsequently receive from legal action against the driver of the second vehicle involved in the accident. In plain terms, the employer held a priority claim over any future legal settlement.