Rene Thomas Folse, JD, Ph.D. is the host for this edition which reports on the following news stories: Unless Open & Obvious, Injured Worker Must Request Accommodations. Motion to Arbitrate Needs Review of Arbitrator’s Discovery Rules. Pfizer Company Resolves Kickback Case for $60M. QOL Medical Resolves Specialty Drug Kickback Case for $47M. State Farm Requests Wildfire Caused 22% Rate Increase. Cal/OSHA: COVID-19 Non-Emergency Standards Expired. Cal/OSHA Guidance During Wildfire Cleanup and Recovery. First-in-Class Non-Opioid Painkiller Approved by FDA.
Dario Morales Dominguez was employed by Shield Platinum Protection LLC when he claimed industrial injuries as a result of a cumulative trauma during the period January 1, 2020 through September 1, 2020 to multiple parts of body. His claim was resolved by Compromise and Release and WCJ Joy issued an Order approving the C&R on May 12, 2022.
On December 15, 2022, lien claimant ABC International (ABC) filed a lien for interpreting services rendered to applicant as a result of his claimed injuries.
After several lien conferences, the case was set for lien trial on April 24, 2024 before WCJ Joy. At the lien trial of April 24, 2024, the WCJ continued the matter to another trial date, and issued the following comments and Order on the Minutes:
– – “[P]arties appear unable to resolve lien and as of this dispo, LC’s exhibits are pending population in EAMS.
– – WCJ has concerns re: Defendant and CCR 10880(a)(3)1. Defendant’s claim adjuster and adjuster’s supervisor are to appear in person at next trial to discuss. IT IS SO ORDERED.”
The Defendant Petitioned Removal of the case to the WCAB in response to the Order issued by the workers compensation administrative law judge (WCJ) on April 24, 2024. In that petition the Defendant argued that no good cause exists to compel the personal appearance of the adjuster and the adjuster’s supervisor at an in person trial.
The WCAB granted removal, and rescinded the Order of the WCJ to appear in person, and substitute a new order stating that the claims adjuster and the adjuster’s supervisor must be available by virtual or telephonic appearance at the upcoming trial of this matter in the case of Morales-Dominguez v Shield Platinum Protection LLC -ADJ14175141 (February 2025).
The Petitioner claimed that that an order to appear in person constitutes an undue burden on the adjuster, as it causes a practical hardship, and prevents them from handling other cases that would be impacted by a physical appearance. Petitioner further contended that no monies are due lien claimant as there are unresolved legal issues that prevent settlement, but that the claims adjuster is available either telephonically or by other electronic means, and defendant has complied with WCAB Rule 10880(a).
In response, the WCAB panel noted that “The WCJ has broad authority to issue orders to ensure proper adjudication of each claim, including “any interim, interlocutory and final orders, findings, decisions and awards as may be necessary to the full adjudication of the case.” (Cal. Code Regs., tit. 8, § 10330.) This may include Orders that a party appear at a given hearing, should same be warranted.”
“While the WCJ retains the authority to order the adjuster to appear in person for a hearing for good cause if the circumstances warrant it, consideration should be given as to the subject or the nature of the hearing, as well as the dispute, the relief sought, the utility of the adjuster appearing in person versus appearing by phone, and the practical hardship and burden of having to appear in person, factoring in the distance and nature of the travel required. (Derrick Burford v. Cook Concrete Prods., (board panel decision) 2016 Cal. Wrk. Comp. P.D. LEXIS 1, 8.)”
“Here, while the WCJ may wish to bring the parties together and discuss settlement options or inquire further as to issues in dispute prior to commencing trial, we find an Order for both the adjuster and supervisor to appear in person for that purpose excessive. That same goal may be accomplished by an Order for the adjuster and supervisor to appear at trial by either virtual or telephonic means.”
The Division of Workers’ Compensation (DWC) has issued a Notice of Public Hearing for proposed evidence-based update and adoption to the Medical Treatment Utilization Schedule (MTUS), which can be found at California Code of Regulations, title 8, update to section 9792.24.2 and adoption of section 9792.24.8.
The proposed evidence-based updates and adoption to the MTUS incorporate by reference the latest published guidelines from the American College of Occupational and Environmental Medicine (ACOEM) for the following:
– – Proposed Amendment to Section 9792.24.2. Chronic Pain Guidelines. (ACOEM December 19, 2024)
– – Proposed Adoption of Section 9792.24.8 Cannabis Guideline (ACOEM January 28, 2025)
The proposed evidence-based update and adoption to the MTUS regulations are exempt from Labor Code sections 5307.3 and 5307.4 and the rulemaking provisions of the Administrative Procedure Act. DWC is required under Labor Code section 5307.27 to have a 30-day public comment period, hold a public hearing, and respond to all the comments received during the public comment period prior to publishing the order adopting the update online.
Members of the public may review and comment on the proposed updates. Written comments must be submitted no later than March 14, 2025.
Members of the public may attend the virtual and conference call public hearing
– – Time: March 14, 2025 10 a.m. Pacific Time (US and Canada)
– – Join from PC, Mac, Linux, iOS or Android: https://dir-ca-gov.zoom.us/j/86193231447
Of interest is the Summary of Recommendations seen on page 1 of the proposed Cannabis Guideline (ACOEM January 28, 2025). The Guideline reported that adverse effects of the use of Cannabis are “common.” It continued for the next several pages to list perhaps more than 100 of them. It goes on to elaborate on each topic.
Unsurprisingly, the weight of this evidence supported this overall recommendation:
– – Cannabinoids for Chronic Pain – Not Recommended – Evidence C
– – Cannabinoids for Acute Pain – Not Recommended – Evidence C
– – Cannabinoids for Chronic Pain – Moderately Not Recommended – Evidence B
– – Cannabinoids for Safety-Critical Workers – Not Recommended – Evidence C
Rene Thomas Folse, JD, Ph.D. is the host for this edition which reports on the following news stories: SEIU Nurses Union to pay $6.28M for Unlawful Hospital Strike. No Tort Recovery After Employee Loses Wrongful Discharge Case. FTC Releases New Report – PBMs Markup Generics by 1000%. Cal/OSHA increases civil penalty amounts for 2025. Agenda Announced for DWC 32nd Annual Educational Conference. Recent Medical Workforce Trends on Injured Workers. Independent Pharmacies Won’t Carry Negotiated Price Drugs. AI Assisted Electrocardiogram Detects Cognitive Decline.
The Division of Occupational Safety and Health, known as Cal/OSHA, has cited employers Smelly Mel’s Plumbing and Sewer Rat Plumbing a total of $529,640 in proposed penalties for violating safety regulations that resulted in serious injuries to a construction worker during a trench collapse in San Mateo on August 1, 2024.
Cal/OSHA, a division of the Department of Industrial Relations, found a total of 16 violations, evenly split between both businesses. Among these citations were two willful, serious accident-related violations – meaning the businesses were aware of the safety hazards, had prior warning, and still failed to take corrective action.
On August 1st, 2024, a crew was handling a sewer line project at a private residence in San Mateo. The job took a near-deadly turn when the walls of the trench collapsed, burying a worker under the debris and causing serious injuries that required hospitalization.
The citations issued include violations for improper protective systems, inadequate training, and failure to inspect the trench and surrounding conditions including:
– – Inspection Failure: Employers did not ensure that a competent person conducted daily inspections of the trench, adjacent areas, and protective systems that could have detected hazardous conditions such as cave-ins.
– – Lack of safe exit routes: Both employers failed to provide the construction workers a ladder or other safe means of exiting the trench that was approximately 9 feet and 3 inches in depth.
– – No adequate protective systems in trench: Neither employer provided adequate protective systems, such as shoring, shielding, sloping, or benching to the trench to prevent its collapse.
– – Failure to protect workers from falling debris: Neither employer protected their workers from excavated materials or equipment that could pose a hazard by falling or rolling into the trench.
– – Foot Protection: The employer failed to ensure that their workers had proper foot protection, which exposed at least one worker to foot injuries when using a jackhammer.
– – Insufficient emergency medical provisions: The employers did not have an appropriate number of trained persons to render first aid at the jobsite.
– – Permit Requirements: The employers failed to notify the division prior to the start of the annual permit-required activity of constructing an excavation over 5-feet in depth.
– – Injury and Illness Prevention Program: The employers failed to conduct a toolbox safety meeting at the jobsite with the crew for the duration of the project.
Employers have the right to appeal any Cal/OSHA citation and notification of penalty by filing an appeal with the Occupational Safety and Health Appeals Board within 15 working days from the receipt of notification.
Cal/OSHA Chief Debra Lee said “Trench collapses remain one of the most serious hazards in construction, and employers must take all necessary steps to protect their employees. These citations serve as a reminder that businesses must prioritize worker safety, especially during high-risk operations to avoid tragic accidents.”
A California man pleaded guilty to health care fraud, aggravated identity theft, and money laundering in connection with a years-long scheme to defraud Medicare of more than $17 million through sham hospice companies and his home health care company.
According to court documents, Petros Fichidzhyan, 43, of Granada Hills, engaged in a scheme with others to operate a series of sham hospice companies. Fichidzhyan, along with co-schemers, impersonated the identities of foreign nationals to use as the purported owners of the hospices – including using the identities to open bank accounts and sign property leases – and submitted false and fraudulent claims to Medicare for hospice services that were not medically necessary and not provided. In submitting the false claims,
Fichidzhyan and his co-schemers also misappropriated the identifying information of doctors, claiming to Medicare that the doctors had determined hospice services were necessary, when in fact the purported recipients of these hospice services were not terminally ill and had never requested nor received care from the sham hospices.
As a result of the scheme, Medicare paid the sham hospices nearly $16 million. Fichidzhyan personally received nearly $7 million of the proceeds from the fraud scheme, including more than $5.3 million in transfers to his personal and business bank accounts, which were laundered through a dozen shell and third-party bank accounts.
Fichidzhyan additionally admitted to wrongfully obtaining more than $1 million for his home health care agency through the fraudulent use of a doctor’s name and identifying information in certifying Medicare beneficiaries for home health care, which he attempted to cover up by paying the doctor $11,000.
Fichidzhyan pleaded guilty to health care fraud, aggravated identity theft, and money laundering. He is scheduled to be sentenced on April 14 and faces a mandatory penalty of two years in prison on the aggravated identity theft charge, a maximum penalty of 10 years in prison on the health care fraud charge, and a maximum penalty of 20 years in prison on the money laundering charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Today’s guilty plea is the most recent conviction in the Justice Department’s ongoing effort to combat hospice fraud in the greater Los Angeles area. Last year, a doctor was convicted at trial for his role in a scheme to bill Medicare for hospice services patients did not need, and two other defendants were sentenced for their roles in a hospice fraud scheme.
Rafael Castro, a veteran of the U.S. Navy and a former employee of the Veterans Health Administration and the Internal Revenue Service, and his wife, Miriam Castro, pleaded guilty in federal court to defrauding the Department of Veterans Affairs (VA) out of more than $130,000.
According to their plea agreements, between September 2018 and April 2024, the Castros lied to obtain caregiver benefits from the Caregiver Support Program, a VA program that provides caregiver support for injured veterans. Rafael Castro admitted that he lied about needing high-level assistance for daily activities, including dressing and undressing himself, personal hygiene, and grooming.
According to plea documents, Rafael Castro defrauded the VA into awarding him assistance that paid the primary caregiver – his wife – an amount equivalent to a full-time home health aide’s 40-hour per-week payment.
According to plea documents, for years, Miriam Castro received monthly payments to be a full-time caregiver for Rafael Castro while her husband worked as a full-time federal employee. From July 2015 to June 2023, Rafael Castro worked for the Veterans Health Administration, and from June 2023 to April 2024, he worked for the Internal Revenue Service. Even though he was employed by the federal government, Rafael Castro falsely told VA representatives at least six times that he was unemployed.
For example, during a 2023 interview, Rafael Castro falsely claimed that he had last worked in 2018 and that his wife was his full-time caregiver. According to their plea agreements, while Rafael Castro was engaged in the fraud scheme, he received several promotions, all while he continued to claim he was unemployed. In their respective plea agreements, Rafael Castro and Miriam Castro admitted that they participated in the multi-year scheme to defraud the VA.
“This case is an excellent example of the importance of internal inspections within government programs,” said U.S. Attorney Tara McGrath. “Without the intervention from the Inspector General’s Office, this fraud might have continued indefinitely.”
“These guilty pleas demonstrate that those involved in defrauding VA, including government employees, will be held accountable,” said Special Agent in Charge Anthony Heddell with the Department of Veterans Affairs Office of Inspector General’s Western Field Office. “The VA OIG will continue to work with our law enforcement partners to ensure the integrity of VA’s benefits programs and services.”
“Violations of federal law, particularly those committed by IRS employees will not be tolerated and will be prosecuted to the fullest extent of the law,” Acting Special Agent in Charge Brandon Knarr stated. “TIGTA will continue to work closely with the United States Attorney’s Office and our law enforcement partners to identify, investigate and hold those individuals responsible for their illegal activities.”
Sentencing is scheduled for April 25, 2025, at 9 a.m. before U.S. District Judge James E. Simmons, Jr. This case is being prosecuted by Assistant U.S. Attorney Edward Chang.
AI-powered tractography is a cutting-edge technique that leverages artificial intelligence to enhance the visualization of nerve pathways in the brain. This method is particularly useful for planning complex neurosurgical procedures.
Tractography is an imaging technique that calculates the course of nerve pathways (also known as nerve fibers or tracts) based on specialized MRI scans. These pathways are crucial for various brain functions, including movement, speech, and thought. Traditional tractography methods rely on mathematical models to infer the location of these pathways from MRI data. However, these methods often involve uncertainties, especially when the brain has been altered due to disease or surgery.
Tractography, the process of reconstructing streamlines that represent neural fiber pathways within the human brain from diffusion MRI (dMRI), has gained significant attention in recent years. It is primarily used for scientific studies and surgical planning. TractSeg is a widely used example of this, automatically reconstructing specific fiber bundles with high precision.
Modern AI methods, such as machine learning, can recognize patterns in MRI data and generate more accurate reconstructions of nerve pathways. One widely used AI method is called TractSeg, which was originally trained on healthy brains. Researchers have tested whether TractSeg can also work for epilepsy patients who have undergone a hemispherotomy – a surgical procedure that disconnects the two hemispheres of the brain.
While TractSeg performed well in many cases, it also produced unexpected errors, such as reconstructing nerve pathways that should no longer exist due to the surgery-a phenomenon known as “hallucination.” Additionally, some remaining pathways were either incompletely captured or entirely missing from the reconstruction2.
To address these issues, a research team from the Lamarr Institute and the University of Bonn has developed the new hybrid method that combines the advantages of AI with the data fidelity of traditional techniques. This approach ensures that only existing nerve connections are reconstructed, eliminating the issue of “hallucinations” where AI might reconstruct pathways that no longer exist due to surgery.
Despite its good overall generalization, TractSeg failed to reconstruct some bundles, due to disconnected bundle masks, or because the start or end regions did not overlap the bundle mask.
Researchers concluded by saying “Although the results are promising, we advise caution and manual quality control when dealing with complex and severely pathological cases. We expect that fully automated and reliable generalization to pathologies that were not seen during training will remain a challenge for the current generation of deep learning based approaches.”
Yukio Taira began working for Honeywell International, Inc. in November 2011. On May 14, 2015, Taira was on a flight to a trade show in Georgia when he suffered a “catastrophic stroke.” The flight was diverted and Taira was taken by ambulance to a hospital.
On June 29, 2015, Taira filed two applications for workers’ compensation benefits. One case listed a specific date of injury (May 14, 2015) – the date of his stroke. The other case listed an injury date of November 1, 2011, through May 14, 2015, the entire duration of Taira’s employment with Honeywell.
On September 11, 2018, Taira entered into a partial settlement agreement of $1,125,000 regarding both workers’ compensation cases. In October 2023, he settled the remaining issues in his cases for an additional $6 million, and the Workers’ Compensation Appeal Board approved that settlement.
On September 6, 2018, Taira filed a lawsuit alleging that Honeywell violated the Fair Employment and Housing Act (FEHA) by failing to provide him an accommodation for his disability (Gov. Code, § 12940, subd. (m))1 and failing to engage in the interactive process (§ 12940, subd. (n)). The third amended complaint, which is the operative pleading, alleges FEHA claims against Honeywell for failure to provide a reasonable accommodation (§ 12940, subd. (m)) and failure to engage in the interactive process (§ 12940, subd. (n)).
On June 16, 2022, Honeywell filed its motion for summary judgment which the trial court granted. Because the undisputed evidence establishes that Taira never requested a reasonable accommodation, the Court of Appeal affirmed the judgment in the unpublished case of Taira v. Honeywell International -B328410 (February 2025).
At issue in this appeal is only the question of whether Honeywell failed to reasonably accommodate Taira’s assumed disability.
“‘[I]t is important to distinguish between an employer’s knowledge of an employee’s disability versus an employer’s knowledge of any limitations experienced by the employee as a result of the disability.’” (Scotch, supra, 173 Cal.App.4th at p. 1013.) Thus, FEHA “requires an employer to accommodate only a ‘known physical . . . disability.’” (Avila v. Continental Airlines, Inc. (2008) 165 Cal.App.4th 1237, 1252.) “‘“Vague or conclusory statements revealing an unspecified incapacity are not sufficient to put an employer on notice of its obligations under the [FEHA].”’” (Featherstone v. Southern California Permanente Medical Group (2017) 10 Cal.App.5th 1150, 1167 (Featherstone).)
And, “the employee must request an accommodation.” (Gelfo, supra, 140 Cal.App.4th at p. 54.) “‘“Where the disability, resulting limitations, and necessary reasonable accommodations, are not open, obvious, and apparent to the employer,”’” the employee bears the burden “‘“to specifically identify the disability and resulting limitations, and to suggest the reasonable accommodations.”’” (Doe v. Department of Corrections & Rehabilitation (2019) 43 Cal.App.5th 721,738–739; see also Spitzer v. Good Guys, Inc. (2000) 80 Cal.App.4th 1376, 1378; Raine v. City of Burbank (2006) 135 Cal.App.4th 1215, 1222 (Raine).)
In other words, “[a]n employee cannot demand clairvoyance of his employer. [Citation.] ‘“[T]he employee can’t expect the employer to read his mind and know he secretly wanted a particular accommodation and sue the employer for not providing it. . . .”’ ‘It is an employee’s responsibility to understand his or her own physical or mental condition well enough to present the employer at the earliest opportunity with a concise list of restrictions which must be met to accommodate the employee.’ [Citation.]” (King v. United Parcel Service, Inc. (2007) 152 Cal.App.4th 426, 443 (King).)
There is no evidence that Taira informed Honeywell of specific work restrictions as a result of his disability or that he requested a reasonable accommodation. (See, e.g., Arteaga v. Brink’s, Inc. (2008) 163 Cal.App.4th 327, 349 [affirming summary judgment to the employer because although it learned of the plaintiff’s symptoms, “those symptoms did not interfere with the performance of his job”]; King, supra, 152 Cal.App.4th at p. 444 [given the plaintiff’s apparent ability to get the job done, “it was incumbent upon him to produce clear and unambiguous doctor’s orders restricting the hours he could work”].) Thus, Taira’s claim under section 12940, subdivision (m), fails.
For the same reason, Taira’s claim under section 12940, subdivision (n), fails. It is undisputed that Taira did not identify a specific, available reasonable accommodation while working at Honeywell. Absent this evidence, Honeywell is entitled to judgment.
The fact that Taira may have reported his medical symptoms to both Ocello and a member of the human resources team does not change the conclusion. While he may have made such reports, he did not request a reasonable accommodation for those symptoms. There was nothing “open, obvious, and apparent” to Honeywell about what limitations were required for those symptoms.
And his complaint about understaffing does not constitute a reasonable request to accommodate a disability. (See, e.g., Nadaf-Rahrov, supra, 166 Cal.App.4th at pp. 975–976.)
In response to the ongoing wildfire recovery efforts, the Department of Industrial Relations (DIR) has posted guidance for employers and workers on how to proceed rapidly and safely as they navigate the risks associated with fire debris removal and cleanup.
Even after fires are extinguished, hazardous conditions persist. Employers involved in recovery operations within fire-damaged areas must assess these risks, address unsafe conditions, and ensure proper training is provided to all workers.
DIR is committed to protecting workers on the frontlines of disaster recovery, ensuring their safety and health as they help restore what has been lost.
DIR offers extensive information about worker health including a wildfire cleanup training tool in English and Spanish. Additional resources include information on:
Health and safety protections:
– – Physical hazards: Information is available regarding the risks of structural collapse or contact with live utilities.
– – Hazard Communication: Informing and training workers about chemical hazards from burned buildings, such as fire retardants, lead or asbestos, and other hazardous materials.
– – Cleanup, Debris Removal, and Restoration: Cal/OSHA provides guidance to employers and workers regarding proper training and equipment for safely handling debris during the cleanup of contaminated areas. Cleanup of fire damaged sites and debris removal must be done in accordance with title 8 section 5192 Hazardous Waste Operations and Emergency Response.
Wage and retaliation protections:
Workers have special rights during emergency conditions, including safety, evacuation, communication – such as access to cell phones – time off, and pay, including potential disability benefits. The Labor Commissioner’s Office (LCO) educates employers and workers about these rights, supporting compliance with relevant laws and regulations.
The LCO provides information on workers’ rights with respect to:
Protections During Emergency Conditions: Information on workers’ rights in hazardous situations, including safety measures and employer responsibilities.
– – Retaliation Protections: Safeguards for workers engaging in protected activities, such as raising health and safety concerns, refusing unsafe work, or serving as volunteer firefighters.
– – Immigration-Related Retaliation: Protections against employer retaliation based on a worker’s immigration status.
– – Wage and Overtime Regulations: Guidance on wages, overtime laws, and employer obligations.
– – Public Works: Information on labor laws specific to public works projects and prevailing wage requirements.
– – Filing Wage and Retaliation Claims: Instructions on how workers can file claims for unpaid wages or retaliation.
– – Reporting Labor Law Violations: Steps for workers to report labor law violations and seek enforcement action.
Workers in California are protected regardless of immigration status. Workers who have questions about safety and health in the workplace can call 833-579-0927 to speak with a live bilingual Cal/OSHA representative between the hours of 9:00 a.m. and 7:00 p.m. Monday through Friday. Workers who have questions about labor laws enforced by the LCO can call 1-833-LCO-INFO (833-526-4636) between the hours of 8:00 a.m. to 5:00 p.m. Monday through Friday. Complaints about workplace safety and health hazards can be filed confidentially with Cal/OSHA district offices