Stachowski v. Sysco Food Services of Baltimore, Inc.

RAKER, J. We are called upon in this case to interpret a provision of the Workers’ Compensation Act, Maryland Code (1991, 1999 Repl.Vol., 2006 Cum.Supp.), §§ 9-101 to -1201 of the ⁵¹⁰ Labor and Employment Article. 1 We must decide whether a claimant who filed for modification of an award under § 9-736(b) met the statutory requirement of filing within five years of the “last compensation payment.” We shall hold that petitioner’s application to modify his award is timely because we find that the term “last compensation payment” is based on the date when the last payment by check was received by the claimant, either directly or by the claimant’s attorney or the claimant’s authorized agent. I. Petitioner, Michael Stachowski, sustained a work-related injury while employed with Sysco Food Services of Baltimore, Inc., in November 1988. He filed a timely workers’ compensation claim with the Maryland Workers’ Compensation Commission (the “Commission”) and was awarded compensation in an order dated October 12, 1998. The last payments pursuant to the award were in the form of checks from Sysco’s insurer, 2 one payable to Stachowski in the amount of $310.50 for additional lost wages, and the second payable to Stachowski’s counsel, Goldstein & Byrne, in the amount of $34.50 for attorney fees.

Both checks were mailed on October 21, 1998, to Terrence Byrne at the office of Goldstein & Byrne, and were received the next day, on October 22, 1998. Mr. Byrne then forwarded Stachowski’s check to him on October 26, and bank records indicate that the check cleared on November 2, 1998. No further action occurred in relation to the claim until October 22, 2003, when Mr. Stachowski filed for a modification of the original workers’ compensation award. He requested reimbursement for medical bills and additional temporary ⁵¹¹ disability benefits covering June 23, 2003 to September 21, 2003, as a result of a surgery arising out of his original injury.

The claim was filed exactly five years and one day from the date the last compensation check was mailed, and five years exactly from the date Stachowski’s counsel received the check. The Commission held a hearing on July 12, 2004, and determined that Sysco should reimburse Stachowski for the medical expenses of the surgery, but that Stachowski’s request for modification of the compensation award was time-barred by the limitations set forth in § 9-736(b). Stachowski’s rehearing request was denied. On September 9, 2004, Sysco appealed the part of the Commission’s decision that ordered payment of medical expenses.

On September 15, 2004, Stachowski appealed the Commission’s denial of benefits. Both parties cross-petitioned for partial summary judgment on the benefits issue in the Circuit Court for Howard County. 3 The Circuit Court granted Sysco’s motion and denied Stachowski’s cross-motion on August 16, 2005. The Circuit Court granted a joint motion to revise and issued an order certifying the rulings on the partial summary judgment motions as final judgments pursuant to Md. Rule 2-602(b), which allows a court to enter a final judgment as to fewer than all claims where there is no just reason for delay. Stachowski noted a timely appeal to the Court of Special Appeals.

In an unreported decision filed on January 18, 2007, the Court of Special Appeals affirmed the Circuit Court’s grant of partial summary judgment in favor of Sysco based on the limitations provision of § 9—736(b). We granted certiorari to decide whether the “last compensation payment” is the date when the check is mailed or when it is received.

II

Stachowski argues that the term “last compensation payment” in § 9-736(b) of the Workers’ Compensation Act should ⁵¹² be the date when the check is received by a claimant, either individually or through his attorney. He argues no deference should be given to the Commission’s construction, which bases the five-year statute of limitations on the date of mailing, because it is contrary to the plain language of the statute. Stachowski relies on the common sense understanding of the term payment, standard usage of the term in the commercial law context, select cases from our jurisprudence, and the definition of the term “payment” from Black’s Law Dictionary to conclude that payment is generally regarded as when the check is received. 4 Respondent argues that the interpretation of the “last compensation payment” as the date when the check is mailed is appropriate and that the Commission’s construction should be given deference. Sysco relates how the liberal construction generally afforded to the Workers’ Compensation Act does not apply to the limitations provision and contends, in any case, that the statute is unambiguous in its plain language.

In so doing, Sysco relies on an interpretation of select case law that contradicts petitioner’s interpretation. In addition, respondent analogizes to Md. Rule l-321(a) 5 and one of the Commission’s promulgated regulations, COMAR 14.09.01.04, to demonstrate that the definition of payment as the date of mailing is not novel or inconsistent with the purpose of the limitations clause. Ultimately at issue in this case is whether § 9-736(b) limits the modification of a prior workers’ compensation award where the petition to modify is filed five years exactly from the date when the check was received. Section 9-736(b) provides as follows: ⁵¹³ “(b)(1) The Commission has continuing powers and jurisdiction over each claim under this title. “(2) Subject to paragraph (3) of this subsection, the Commission may modify any finding or order as the Commission considers justified. “(3) Except as provided in subsection (c) of this section, the Commission may not modify an award unless the modification is applied for within 5 years after the latter of: (1) the date of the accident; (ii) the date of disablement; or (iii) the last compensation payment.” Petitioner and respondent agree that subsection (b)(3)(iii), “the last compensation payment,” controls in this case.

III

The Workers’ Compensation Act (the “Act”) was enacted in 1914. 1914 Md. Laws, Chap. 800 (codified at Md.Code (1914), Art. 101 §§ 1-64). We have summarized the purpose of the Workers’ Compensation Act as follows: “[T]he overall purpose of the Act ... is to protect workers and their families from hardships inflicted by work-related injuries by providing workers with compensation for loss of earning capacity resulting from accidental injury arising out of and in the course of employment.” Howard Co. Ass’n for Retard. Cit. v. Walls, 288 Md. 526 , 531, 418 A.2d 1210 , 1214 (1980). In light of this purpose, we have often repeated that the statute “should be construed as liberally in favor of injured employees as its provisions will permit in order to effectuate its benevolent purposes.

Any uncertainty in the law should be resolved in favor of the claimant.” Design Kitchen v. Lagos, 388 Md. 718, 724 , 882 A.2d 817, 821 (2005) (quoting Harris v. Board of Education, 375 Md. 21, 57 , 825 A.2d 365, 387 (2003)). This Court has long recognized, however, that “[t]he general rule of liberal construction of the Workers’ Compensation Act is not applicable to the limitations provision of § 9-736.” Stevens v. Rite-Aid, 340 Md. 555, 568 , 667 A.2d 642, 649 (1995). ⁵¹⁴ In the original act, the Commission’s power to modify an award was unrestricted: “Section 54 of the Workmen’s Compensation Act, prior to the passage of chapter 342 of the Acts of 1931, provided that: ‘The powers and jurisdiction of the Commission over each case shall be continuing and it may from time to time make such modifications or change with respect to former findings or orders with respect thereto as in its opinion may be justified.’ Under the law as it then stood there was no stated limitation upon the time within which the commission might reopen a case for the purpose of modifying an award.” Ireland v. Shipley, 165 Md. 90, 96 , 166 A. 593, 596 (1933) (internal citation omitted). See also Md.Code (1914), Art. 101 § 54. In 1931, the Act was amended to provide a time limit for reopening a final award.

As explained by Judge Offutt, writing for this Court: “[Cjhapter 342 of the Acts of 1931 repealed and re-enacted section 54, amending it by adding these words ‘provided, however, that no modification or change of any final award of compensation shall be made by the Commission unless application therefor shall be made to the Commission within one year next following the final award of compensation.’ ” Ireland v. Shipley, 165 Md. at 96 , 166 A. at 596 . Thus the original language of the statute limited the time for modifying an award to one year from “the final award of compensation.” 1931 Md. Laws, Chap. 342. The date of the final award of compensation was the date of the Commission’s order granting a final award. Ireland v. Shipley, 165 Md. at 100-01 , 166 A. at 598 .

In 1935, the time limit was increased from one to three years, and the limitation for modification was extended to apply to non-final awards as well. The provision then limited modification to “within three years next following the last final award of compensation” for final awards, and “within three years next following the last payment of compensation” for ⁵¹⁵ awards not designated final. 1935 Md. Laws, Chap. 236 (codified as amended at Md.Code (1924, 1935 Cum.Supp.), Art. 101 § 54) (emphasis added). In 1957, the provision was recodified as § 40(c), the predecessor to § 7-936(b). 1957 Md. Laws, Chap. 814 (codified as amended at Md.Code (1957), Art. 101 § 40(c)). Section 40(c) omitted the previous distinction between final and nonfinal awards, and adopted the limitation of three years “following the last payment of compensation” for all awards, irrespective of their finality.

Id. (emphasis added). Thus the date of payment became controlling for final awards as well, rather than the date of the Commission’s order. The provision was amended again in 1969, with the result of increasing the time limit for modifications from three to five years in its final version. 6 1969 Md. Laws, Chap. 116 (codified as amended at Md.Code (1957, 1969 Cum.Supp.), Art. 101 § 40(c)).

Subsequent amendments have not affected the substance of the five year limitations provision dating from the “last compensation payment.” 7 IV. We review a grant of summary judgment de novo. Salamon v. Progressive, 379 Md. 301, 307 , 841 A.2d 858, 862 (2004). “When reviewing a grant of summary judgment, we must make the threshold determination as to whether a genuine dispute of material fact exists, and only where such ⁵¹⁶ dispute is absent will we proceed to review determinations of law.” Remsburg v. Montgomery, 376 Md. 568, 579 , 831 A.2d 18, 24 (2003). Here, the parties stipulate to the relevant facts, and so we review the lower court’s interpretation of the statute to see if it is legally correct.

Salamon, 379 Md. at 307 , 841 A.2d at 862 . In order to determine the meaning of the “last payment of compensation” in § 7-936(b), we look to the principles of statutory construction. The primary goal of statutory construction is to ascertain the intent of the Legislature. Clipper Windpower v. Sprenger, 399 Md. 539, 553 , 924 A.2d 1160, 1168 (2007).

Our inquiry begins with the plain language of the statute. Casey v. Mayor and City Council of Rockville, 400 Md. 259, 288 , 929 A.2d 74, 92 (2007). Ordinary, popular understanding of the English language dictates interpretation of the plain language of the text of a statute. Chow v. State, 393 Md. 431, 443 , 903 A.2d 388, 395 (2006).

If the statutory language is clear and unambiguous, we need not look beyond the statute to determine the Legislature’s intent. Casey, 400 Md. at 288 , 929 A.2d at 92 . We have said that “[i]n construing the plain language, ‘[a] court may neither add nor delete language so as to reflect an intent not evidenced in the plain and unambiguous language of the statute; nor may it construe the statute with forced or subtle interpretations that limit or extend its application.’ ” Kushell v. DNR, 385 Md. 563, 576-77 , 870 A.2d 186, 193 (2005) (quoting Price v. State, 378 Md. 378, 387 , 835 A.2d 1221, 1226 (2003)). Statutory text should be read so that no word, clause, sentence or phrase is rendered superfluous or nugatory.

Patterson Park Public Charter School v. Baltimore Teachers Union, 399 Md. 174, 197 , 923 A.2d 60, 74 (2007). To determine legislative intent, the plain language should not be interpreted in isolation, but “[r]ather, we analyze the statutory scheme as a whole and attempt to harmonize provisions dealing with the same subject so that each may be given effect.” Clipper Windpower, 399 Md. at 554 , 924 ⁵¹⁷ A.2d at 1168 (quoting Kushell v. DNR, 385 Md. at 577 , 870 A.2d at 193 ). A statute is ambiguous where two or more reasonable interpretations exist. Chow v. State, 393 Md. at 444 , 903 A.2d at 395 .

When a statute is ambiguous, we consider the common meaning and effect of statutory language in light of the objectives and purpose of the statute and Legislative intent. Stoddard v. State, 395 Md. 653, 662 , 911 A.2d 1245, 1250 (2006). We give deference to a consistent and long-standing construction given a statute by an agency charged with administering it. Marriott Employees v. MVA, 346 Md. 437, 445 , 697 A.2d 455, 459 (1997). “Manifestly, agency regulations must be reasonable and consistent with the letter and spirit of the law under which the agency acts.” Falik v. Prince George’s Hosp., 322 Md. 409, 417 , 588 A.2d 324, 328 (1991).

In determining whether an agency interpretation shall be given deference, we have said as follows: “The weight given an agency’s construction of a statute depends on several factors—the duration and consistency of the administrative practice, the degree to which the agency’s construction was made known to the public, and the degree to which the Legislature was aware of the administrative construction when it reenacted the relevant statutory language. Other important considerations include ‘the extent to which the agency engaged in a process of reasoned elaboration in formulating its interpretation’ and ‘the nature of the process through which the agency arrived at its interpretation,’ with greater weight placed on those agency interpretations that are the product of adversarial proceedings or formal rules promulgation. An administrative agency’s construction of the statute is not entitled to deference, however, when it conflicts with the unambiguous statutory language.” Marriott, 346 Md. at 446 , 697 A.2d at 459 (internal citations omitted). ⁵¹⁸ V. Following these principles, we turn first to whether the phrase “last compensation payment” is ambiguous as used in the Workers’ Compensation Act. The phrase does not appear elsewhere in the Maryland Code, and the term “payment” is not defined within the Act.

Our search has uncovered no legislative history concerning its intended meaning. 8 There are at least two competing interpretations of the statutory language in this case. One interpretation is that by using the word “payment” rather than “receipt,” the Legislature did not intend to require that the claimant actually receive payment for the limitations provision to run, but instead desired to give the Workers’ Compensation Commission broad authority to determine the date payment is made under the statute. Another interpretation is that the use of the word payment merely directs the Commission to apply the common understanding of the term. An examination of our case law supports the existence of ambiguity among these conflicting constructions.

While this Court has never had a case that turns on the interpretation of the exact day on which the “last compensation payment” was made, we have addressed indirectly the matter in several instances. We have said in the past that the limitations provision “by its terms is plain and unambiguous, and leaves no room for interpretation.” Adkins v. Weisner, 238 Md. 411, 414 , 209 A.2d 255, 256 (1965). This was an accurate statement based on the facts at issue in Adkins , where a claimant filed a petition for modification over five months after the statute of limitations had passed. The petition to modify the award was filed on October 2,1963, and “[i]t was stipulated by the parties ⁵¹⁹ that as of April 20, 1960, all payments were made that were due.” Id. at 413 , 209 A.2d at 256 . 9 The claimant in Adkins asserted that the proper date for the last compensation payment was when his last payment would have been made had he not requested a lump sum award, rather than the date when the last award in fact was made.

Based on the stipulation that the award “was made on or before April 20, 1960,” the question of whether a payment was made when it was mailed or when it was received was not before the Court, and our statement about the clear and unambiguous language of the limitations provision did not anticipate this issue. We held an application to modify an award time-barred in Vigneri v. Mid City Sales, 235 Md. 361 , 201 A.2d 861 (1964). In Vigneri , the claimant filed for modification on December 28, 1958, for a claim where it was “clear that the last payment of compensation to the claimant was made on or before November 5, 1954.” Id. at 364 , 201 A.2d at 862 . This Court focused on the dates when the claimant had received payments, noting that he “received payments through March 13, 1954....

He was again paid compensation ... through October 30, 1954. On November 5, 1954, the employee signed and filed with the commission a ‘settlement receipt’ indicating the duration and amount of the temporary total benefits he had received.” Id. at 363, 201 A.2d at 861 (emphasis added). The date relied upon for the running of the statute of limitations was the date the settlement receipt was filed with the Commission, though we noted that the last payment might have been made “on or before” this date. Again, the petition to modify the award was barred by several months, and so the conservative date of the settlement receipt did not affect the outcome.

The ambiguity as to the exact date continued in Chanticleer Skyline Rm. v. Greer, 271 Md. 693 , 319 A.2d 802 (1974). The issue in that case was whether a payment of attorney fees to a ⁵²⁰ claimant’s attorney constituted a last compensation payment under the statute. We found that it did, noting that “the counsel fee ... was paid by the insurer to the attorney on June 15, 1970,” and thus fell -within the statute of limitations. Id. at 696 , 319 A.2d at 803 .

A finding that the fee “was paid” on a certain date provides no guidance as to whether the payment was mailed, received, or delivered in person to the attorney on the date listed. The most relevant case, for purposes of understanding the date when the last compensation payment is made, is Vest v. Giant Food Stores, Inc., 329 Md. 461 , 620 A.2d 340 (1993). In Vest , the claimant sought review of the Commission’s refusal to reopen an award. We affirmed the lower court ruling that the award was time-barred because it was filed over seven years after the last compensation payment.

In reaching this conclusion, however, we noted that “[i]n Vigneri , the claimant had last received a payment of compensation on November 5.” Id. at 474 , 620 A.2d at 346 . We concluded that Vigneri “supports our holding that it is the date of the last payment of compensation ... that determines when the limitations period commences.... We simply looked to the date that the claimant last received compensation to determine when the limitations period commenced.” Id. at 477 , 620 A.2d at 347-48 (emphasis added). This Court has never, before or since, so explicitly indicated the proper method for searching for the date of the last compensation payment, and our language concerning the date of receipt should be considered very persuasive.

By contrast, in Porter v. Bayliner, 349 Md. 609 , 709 A.2d 1205 (1998), we noted when reciting the facts that “[b]y check dated August 22, 1989 ... the appellees paid” the claimant. Id. at 612 , 709 A.2d at 1206 . This Court then referred to the August 29, 1994, filing to reopen the award as occurring “more than five years after the lump sum payment of August 22, 1989.” Id. Thus from the recitation of the facts, this Court noted the date of issuance of the check as the time from which the limitations provision ran.

The issue in Porter , however, dealt with whether a Commission award of requiring periodic ⁵²¹ payments could be satisfied in a single lump sum payment. Since we held that a lump sum payment unauthorized by the Commission does not serve to implicate the limitations provision of § 7-936(b), the reference to when the last compensation payment was made was not relevant to the outcome of the case, and should be weighed accordingly. Similarly, in Mona Electric v. Shelton, 377 Md. 320 , 833 A.2d 527 (2003), we affirmed the decision of the intermediate appellate court that payments made by an employer in the absence of any Commission award did not serve to implicate the limitations provision of § 7-936(b). While ultimately finding the statute inapplicable because a voluntary payment did not constitute a “compensation payment” under the statute, we noted in the facts that “the last check sent ... was dated October 3, 1994.” Id. at 323, 833 A.2d at 529 .

Whether that date was the relevant point at which we believed the limitations provision began to run is indeterminable, because the only further guidance provided is that the insurer argued that since “the last payment of compensation to Shelton was in October, 1994, the request for modification, filed in November, 1999, was outside the limitations period and was therefore barred.” Id. at 324 , 833 A.2d at 529 . While mentioning the date of mailing, the language provides no further guidance as to whether that specific date controlled when holding the last payment was in “October, 1994.” The references to the dates when the check was drawn in Porter and mailed in Mona are useful only as indication of ambiguity in the phrase “last compensation payment.” When contrasted with the clear language focusing on when the checks were received in Vest and Vigneri , complete with the directive on how to find the date of the last compensation payment in Vest that has never been overruled, we find that at the very least, no clear rule has emerged from our case law. We note that similar confusion is reflected in the Court of Special Appeals. In Seal v. Giant, 116 Md.App. 87, 94 , 695 A.2d 597, 600 (1997), the Court of Special Appeals refers only to the date the last payment “was made,” but the record ⁵²² indicates the date used was the date on the check as submitted by the insurer.

This stands in contrast to the Court of Special Appeal’s later characterization of that decision in Mona Electrical v. Shelton, 148 Md.App. 1 , 810 A.2d 1022 (2002), where the intermediate appellate court noted the