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If Walmart did not recoup, the employee would get a windfall. The medical expenses were paid by walmart and the employee got reimbursed for the expenses by the trucking company.
This is standard in all insurance contracts. If you get in an accident and your car damage is paid by your insurance, and you go and sue the other driver and win, do you think you should be able to keep the money? If you could keep the money, you would have a repaired car and cash in your pocket intended to pay for repairing your car.
Courts are there to make you whole, not to give you a windfall.
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You're reading Wal-Mart Sues Disabled Ex-Employee: She suffered severe brain damage after a traffic accident . The Wal-Mart employee received $470,000 from health plan for medical expenses, Wal-Mart has sued to get payout back. What do you think? News link in my answer
Comments
Hi Anon I just saw this on AOL news.
Reversing itself, Wal-Mart has given up its fight against Debbie Shank, a former employee who suffered severe brain damage after a traffic accident. Shank, 52, received about $470,000 from the retailer's health plan for medical expenses, and the the company had sued to get the payout back after she won money in a settlement.
by Cognition aka Cog on April 3rd, 2008
This was probably a wise decision on Walmarts part. They probably would have suffered more than half a million dollars in bad publicity if they continued the fight. However, it doesn't make the suit (or more accurately, the defense) any less frivolous.
by Anonymous on April 3rd, 2008
Agreed!
by Cognition aka Cog on April 3rd, 2008