What is the Difference between a Statutory Claim and a Common Law Claim
Often when people contact Kare Lawyers to discuss their legal rights in relation to a work related accident, they do not appreciate the different avenues available to them through the workers’ compensation system.
In particular what the difference is between a statutory claim for benefits and a common law claim for damages. So what is the difference?
In Queensland, if you sustain an injury at work you are entitled to make an application for compensation (compo). This is referred to as a statutory claim as it is governed by legislation. The insurer (WorkCover Queensland or self insurer) is required to make a decision to accept or reject the application within 20 business days. If the application is accepted the worker is entitled to payment of weekly benefits (lost wages); medical expenses; hospital costs; rehabilitation costs; travel costs and lump sum payment for permanent impairment. To be entitled to payment of such compensation the injured worker does not need to prove that the employer was negligent and that such negligence caused the accident and injuries. For that reason the statutory scheme is what is referred to as a “no fault scheme”. A statutory claim will be closed when the medical evidence determines that the worker’s condition is stable and stationary. At that time there is no further entitlement to compensation.
In comparison, a common law claim is one in which the worker must prove that their employer was negligent (at fault) and that such negligence caused the accident and injuries that flowed from it. The damages that the injured worker can recover includes a component for pain and suffering; past and future loss of wages; treatment costs and other medical, hospital and rehabilitation expenses. Unlike a statutory claim, in a common law claim, potential future losses can be claimed such as future treatment costs and most significantly future loss of wages. For that reason a common law claim is one in which the worker’s future position is protected and they are fully compensated for their losses. If there are reasonable grounds for arguing that the employer was negligent, then a common law claim can be lodged when the statutory claim has been finalised.
We are happy to discuss your legal rights if you have suffered a work related injury. Always keep in mind that there are strict time limits for pursuing statutory and common law claims.
