Settlement Approval

(1) In any case where the parties reach a full settlement, the settlement will not become effective until it has been signed by all parties and approved by a judge. (2) Unless the settlement is of a disputed claim as provided by T.C.A. § 50-6-240, the settlement agreement must contain language stating that the employee is receiving substantially the benefits provided by the Workers’ Compensation Law. (3) If the settlement is of a disputed claim under T.C.A. § 50-6-240, the settlement agreement must contain language stating that the settlement is in the best interest of the employee. (4) If the parties agree to close future medicals, the settlement must contain a statement advising the employee of the consequences of the settlement, if any, with respect to Medicare and TennCare benefits and liabilities. (5) When the parties reach an agreement, they must file a petition for benefit determination for settlement approval. Before the settlement approval, they must prepare and sign a settlement agreement, statistical data form, and an explanation of benefits form. They must also prepare an order approving workers’ compensation settlement agreement for the judge to sign. The required documents must be prepared using the most recent templates on the court’s webpage. (6) In addition to the required forms, the parties must attach a copy of the impairment rating as an exhibit to the settlement agreement, except in disputed claims settled under T.C.A. § 50- 6-240. The parties must attach any other documents requested by the local bureau office or judge. In cases where the parties agree to close future medical benefits, the parties may attach a written statement from the treating physician stating that no further medical COURT OF WORKERS’ COMPENSATION CLAIMS AND CHAPTER 0800-02-21 ALTERNATIVE DISPUTE RESOLUTION treatment is anticipated, documentation of the anticipated cost of future medical treatment, and/or medical documentation supporting the requested closure of future medical benefits. (7) Settlements by affidavit are permitted for good cause as determined by the judge. (a) Good cause may include but is not limited to distance from the judge’s office or adverse health of the parties or their counsel. Settlement approvals by affidavit in cases involving closure of future medical benefits are unlikely to be granted absent proof of exceptional circumstances. (b) Requests for approvals by affidavit must be made in writing to the local bureau office two (2) business days in advance of the requested approval and must include a copy of the proposed settlement documents. The assigned judge may require appearance of the party or counsel by telephone. (8) Any settlement that is denied by a judge may not be presented for approval before another judge. (9) Absent good cause as determined by the judge, settlements must be presented in the bureau office closest to the employee’s residence. (10) If the parties reach a settlement before a scheduled hearing, the parties must immediately notify the judge’s staff and schedule a settlement approval. (11) At the settlement approval, the employer is required to pay the filing fee. A party may record a settlement approval, upon notice to all parties and request to the judge to do so, in the discretion of the presiding judge. (12) If the case for which the parties are seeking settlement approval has been appealed, the parties must comply with Appeals Board or Supreme Court rules, and the case must be remanded before the parties present the settlement to the workers’ compensation judge.