H-3721              _______________________________________________

                                                   HOUSE BILL NO. 1663

                        _______________________________________________

State of Washington                              50th Legislature                              1988 Regular Session

By Representatives R. King and Cole

Read first time 1/22/88 and referred to Committee on Commerce & Labor.

AN ACT Relating to workers' compensation; and amending RCW 51.32.160.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 51.32.160, chapter 23, Laws of 1961 as last amended by section 4, chapter 59, Laws of 1986 and RCW 51.32.160 are each amended to read as follows:

          If aggravation, diminution, or termination of disability takes place or be discovered after the rate of compensation shall have been established or compensation terminated, in any case the director, through and by means of the division of industrial insurance, may, upon the application of the beneficiary, made within seven years after the establishment or termination of such compensation, or upon his own motion, readjust for further application the rate of compensation in accordance with the rules in this section provided for the same, or in a proper case terminate the payment:  PROVIDED, That the time limitation of this section shall be ten years in claims involving loss of vision or function of the eyes.  The department or self-insurers under this title shall act on applications to reopen a claim within sixty days of the filing of the reopening application, or the application shall be deemed granted. Denial of an application to reopen a claim without objective verifiable medical evidence shall constitute bad faith under this title, and shall subject the department or the self-insurer to a civil penalty consisting of treble damages and payment of the applicant's reasonable attorneys' fees in addition to any other applicable penalty under this title.  Damages  awarded under this section in excess of the claimant's actual damages including interest, costs, and attorneys' fees shall be paid to the medical aid fund.

          If a worker receiving a pension for total disability returns to gainful employment for wages, the director may suspend or terminate the rate of compensation established for the disability without producing medical evidence that shows that a diminution of the disability has occurred.

          No act done or ordered to be done by the director, or the department prior to the signing and filing in the matter of a written order for such readjustment shall be ground for such readjustment.