In the world of workers' compensation laws, when an injured worker is paid medical and lost wage benefits by his/her employer [or] insurer, and the injury is caused by negligence or statutory liability of some person(s) OTHER THAN THE EMPLOYER who is paying benefits, the injured worker has a right of "action over" against the "third party." The injured workers is barred from suing his/her employer by exclusive remedy clauses in States' laws, but he can sue a "third party." Employer A Worker B Jerk C B and C are in an auto accident. B is paid workers compensation benefits by A (or its insurer). In addition, B has a right to sue C. If B gets money from C, workers' compensation laws require a pro-rated reimbursement by B to A, to the extent B has received workers' compensation benefits, a principal called a "lien." If B is paid $5,000 in workers' compensation benefits and brings an "action over" against C, and recovers $15,000, B will have to reimburse A a pro-rated amount of the $5,000 he received in workers' compensation benefits.
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