Can injured employees recover attorney fees from uninsured employers? Farman-Rava v. Blu Auto Transport Explained

Background and Facts

Yasser Farman-Rava lost part of his finger in a workplace accident when his supervisor activated equipment he was handling. Because his employer, Blu Auto Transport LLC, had not purchased workers’ compensation insurance, Farman-Rava was able to sue in district court rather than being limited to the workers’ compensation administrative process. He brought claims for negligence and intentional infliction of emotional distress (IIED). The court found in his favor on negligence but ruled against him on the IIED claim, awarding damages for medical bills and pain and suffering.

Key Legal Issues

The central issue was whether Utah Code section 34A-2-207(4) entitled Farman-Rava to attorney fees for his successful negligence claim against his uninsured employer. The district court denied the fee request, concluding that this statute did not apply to negligence claims and requiring Farman-Rava to identify a different statutory basis for fees.

Court’s Analysis and Holding

The Utah Court of Appeals reversed, applying a correctness standard of review to the legal question of attorney fee entitlement. The court explained that while the Workers’ Compensation Act typically provides the exclusive remedy for workplace injuries, section 34A-2-207 creates an exception when employers fail to secure workers’ compensation insurance. This provision explicitly authorizes “civil actions” for workplace injuries caused by employer negligence and mandates attorney fee awards under subsection (4). The court emphasized that negligence claims against uninsured employers are paradigmatic examples of civil actions permitted under this statute.

Practice Implications

This decision clarifies that attorney fees are mandatory under section 34A-2-207(4) for successful negligence claims against uninsured employers, regardless of whether other claims in the same lawsuit fail. Practitioners should ensure fee motions explicitly reference that the negligence claim constitutes a civil action permitted under this statute, and carefully document time spent on successful versus unsuccessful claims when seeking fee awards.