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Goodson v. N.C. Dep't of Insurance ex rel Long

7/19/2005

n further ordered Glatfelter to secure its obligations under the Act by either re-qualifying as a self-insurer or posting an appropriate special release bond as well as to make appropriateworkers' compensation payments to plaintiff. Finally, the Commission ordered Glatfelter to pay compensation to plaintiff pending appeal pursuant to N.C. Gen. Stat. § 97-86.1 (2003) and dismissed SIGA as a party in the action. Both Glatfelter and RFS gave notice of appeal to this Court.


I. Standard of Review


Our Supreme Court has recently re-iterated that the Workers' Compensation Act is designed "'to provide compensation for injured employees'"; therefore, its provisions should be "'liberally construed'" and "'its benefits should not be denied by a technical, narrow, and strict construction.'" McRae v. Toastmaster, Inc., 358 N.C. 488, 496, 597 S.E.2d 695, 701 (2004) (quoting Hollman v. City of Raleigh, 273 N.C. 240, 252, 159 S.E.2d 874, 882 (1968)). In reviewing an opinion and award by the Commission, we must determine "whether any competent evidence supports the Commission's findings of fact and whether [those] findings . . . support the Commission's conclusions of law." Deese v. Champion Int'l Corp., 352 N.C. 109, 116, 530 S.E.2d 549, 553 (2000). We view the evidence in the light most favorable to the plaintiff, giving him the benefit of every reasonable inference. Adams v. AVX Corp., 349 N.C. 676, 681, 509 S.E.2d 411, 414 (1998). Findings of fact are conclusive on appeal when supported by competent evidence, despite evidence that would support contrary findings, and conclusions of law are reviewed de novo. McRae, 358 N.C. at 496, 597 S.E.2d at 700-01 (citations omitted). As to the Commission's findings of jurisdictional fact, such findings "are not conclusive on appeal, even if supported bycompetent evidence[,]" and the reviewing court has a duty to make independent findings of jurisdiction considering all the evidence of record. Perkins v. Arkansas Trucking Servs., Inc., 351 N.C. 634, 637, 528 S.E.2d 902, 903-04 (2000).


II. Jurisdiction


In the first assignment of error, Glatfelter asserts the Commission "lack the jurisdiction to address the issue [presented] because Glatfelter is not an 'employer' subject to the Workers' Compensation Act." Specifically, Glatfelter argues that, following RFS' purchase of Ecusta, Glatfelter was not an employer as defined by N.C. Gen. Stat. § 97-2(3) (2003) and was not subject to the jurisdiction of the Commission. However, the subsequent sale of the Ecusta Division to RFS does not, standing alone, divest the Commission of jurisdiction over Glatfelter as plaintiff's employer at the time of the accident. See Lucas v. Stores, 289 N.C. 212, 218, 221 S.E.2d 257, 261 (1976) (noting that the Commission's jurisdiction over issues of compensation under the Act depends on whether there existed, "at the time of the accident[,]" an employer-employee relationship between the claimant and the party from whom compensation is sought). The parties stipulated that this relationship existed between plaintiff and Glatfelter on 23 May 1999, the date of the accident. This assignment of error is overruled.


III. Validity of Transfer of Liabilities


A. Jurisdiction Over Glatfelter


In the first argument contained in Glatfelter's second assignment of error, Glatfelter, citing (1) its inquiries and dealings with DOI in selling the Ecusta Division, (2) the subsequent notification to the Commission, and (3) RFS' payment of plaintiff's compensation benefits after the sale, asserts that " nder such circumstances, the combined actions of and the [Commission] served to strip the [Commission] of jurisdiction over Glatfelter in this matter,

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