Workers Compensation Story Archives - West Virginia Public Broadcasting

Justice Coal Company Ordered To Surrender Helicopter In 72 Hours

The sale of the 2009 Bell helicopter, valued at $1.5 million, would help to partially settle a $10 million debt Bluestone Resources owes to a Caribbean investment firm.

A federal judge in Virginia has ordered one of Gov. Jim Justice’s coal companies to surrender a helicopter to a third party in Texas.

The sale of the 2009 Bell helicopter, valued at $1.5 million, would help to partially settle a $10 million debt Bluestone Resources owes to a Caribbean investment firm.

In his Friday order, Judge Robert S. Ballou of the U.S. District Court for the Western District of Virginia, gave Bluestone 72 hours to turn over the helicopter to Heli-X of Colleyville, Texas.

If Bluestone fails to do so, U.S. Marshals would seize the helicopter.

Bluestone, based in Roanoke, Virginia, is one of numerous companies owned by the Justice family that owe vast sums of money to their creditors.

There are multiple cases involving Justice’s companies in the Western District of Virginia.

Last month, 1st Source Bank, of South Bend, Indiana, sued Bluestone in the court, charging breach of contract and seeking $4.5 million in damages.

The complaint accuses Bluestone of defaulting on loan agreements and also seeks attorney’s fees and possession of collateral.

According to the complaint, that collateral consists of “equipment owned by Bluestone Coal” and three properties that are part of the Wintergreen Ski Resort near Charlottesville, Virginia.

Another federal judge in Roanoke late last month held Southern Coal in civil contempt. That Justice company failed to reimburse a Charleston insurance company for more than $500,000 in workers’ compensation payments.

Judge Elizabeth Dillon gave Southern Coal seven days to repay BrickStreet Mutual Insurance. After that, the court will impose a $2,500 daily penalty on Southern Coal until it complies.

Justice is a Republican candidate for the U.S. Senate.

Judge Holds Justice Coal Company In Civil Contempt, Threatens Fine

Southern Coal did not comply with a September court order to repay a Charleston insurance company more than $500,000 in workers’ compensation claims.

A federal judge has held a coal company owned by the Justice family in civil contempt.

Southern Coal did not comply with a September court order to repay a Charleston insurance company more than $500,000 in workers’ compensation claims.

So Judge Elizabeth Dillon of the U.S. District Court for the Western District of Virginia, earlier this week gave Southern Coal seven days to repay BrickStreet Mutual Insurance.

After that, Southern Coal will have to pay a penalty of $2,500 for every day it does not comply.

“It is well-settled that the imposition of a daily fine to coerce a party into complying with a court’s order is within a district court’s civil contempt power,” Dillon’s ruling said. “As requested by BrickStreet, and there being no opposition by Southern Coal, the court will also order Southern Coal to pay BrickStreet’s reasonable attorneys’ fees and costs incurred in pursuing this remedy.”

Southern Coal is one of the numerous companies the Justice Family owns. Southern Coal argued that it was unable to comply with the court’s September order because the company is insolvent.

Dillon noted in her ruling that Southern Coal had provided no evidence that it had no ability to repay BrickStreet other than simply saying it couldn’t.

“Here, Southern Coal has not affirmatively produced evidence that it is presently unable to comply with the Final Order other than the conclusory assertion that it has ‘no present ability to pay and comply with the Court’s judgment order,’” Dillon’s ruling said.

Justice’s companies are involved in multiple active cases in the Western District of Virginia both as plaintiffs and defendants. The companies owe creditors tens of millions of dollars. The lenders have sought to seize property, including resorts and a helicopter.

Southern Coal and many other Justice family companies are headquartered in Roanoke, Virginia. Gov. Jim Justice is a Republican U.S. Senate candidate this year.

Justice-Owned Company Faces Workers Compensation Suit

LM Insurance, a subsidiary of Liberty Mutual, says Bluestone Resources and affiliated Justice companies owe $1.75 million in payments.

A company owned by the family of Gov. Jim Justice has been sued over workers compensation.

LM Insurance, a subsidiary of Liberty Mutual, says Bluestone Resources and affiliated Justice companies owe $1.75 million in premium payments.

The complaint, filed in U.S. District Court for the Western District of Virginia, says Bluestone filed an application in 2020 for a workers compensation insurance policy for its operations in Virginia and West Virginia.

In 2021, LM Insurance canceled the policy for non-payment of premiums.

In 2022, Bluestone made a payment toward the premiums of $50,000, the court filing says.

LM Insurance asked Bluestone to pay the remaining balance of $1.75 million, but Bluestone has not done so, the filing says.

LM sued Bluestone for breach of contract and unjust enrichment. It seeks compensatory damages, interest, court costs and further relief if the court sees fit.

Neither Justice nor any of his family members are named in the suit. Bluestone is based in Roanoke, Virginia.

Another company has sued Bluestone in the same Virginia court. Caroleng Investments, an offshore company based in the British Virgin Islands, says Bluestone owes it $13 million.

Last month, Caroleng’s attorneys sought a court order for the U.S. Marshals to seize a helicopter belonging to Bluestone that was housed at the Roanoke-Blacksburg Regional Airport.

Bluestone and another of its creditors, an Indiana bank, asked the court to stay the order. Meanwhile, the helicopter was moved from Roanoke to Burlington, North Carolina.

A judge issued the stay. A hearing will be held Friday to work toward settling the dispute.

Understanding Proposed Changes To PEIA

On this episode of The Legislature Today, Chris Schulz speaks with Fred Albert, president of AFT-WV, and Del. Matthew Rohrbach, R-Cabell, the deputy speaker of the House, about proposed changes to PEIA.

On this episode of The Legislature Today, the Senate passed a bill over the weekend making changes to the Public Employees Insurance Agency (PEIA). Like health insurance everywhere, expenses keep increasing, but the state program hasn’t kept up, causing some state hospitals to declare that they would no longer accept the program.

The bill that has headed to the House of Delegates includes premium increases, which Gov. Jim Justice has previously said he would not accept. Reporter Chris Schulz speaks with Fred Albert, president of AFT-WV, and Del. Matthew Rohrbach, R-Cabell, the deputy speaker of the House, to understand the bill.

Also, a public hearing in the House chamber Tuesday morning focused on a bill that would enhance oversight of the West Virginia Fusion Center.

A bill that changes how candidates for office across the state announce their intent drew close to an hour of discussion on the Senate floor. Chris Schulz has more.

The House of Delegates approved House Bill 3270, which would amend the deliberate intent statute to limit non-economic damages to $500,000 in these kinds of cases.

There was also spirited debate in the House chamber on House Bill 2953, a locality pay study bill meant to retain in-state employees now crossing the borders – but it failed by vote of 42 to 56.

Finally, Tuesday was E Day, or Environmental Day, at the state legislature. Various statewide and local organizations came to lobby lawmakers on a variety of issues. Some came as individuals representing concerns specific to communities. A few lawmakers stood with them. Energy and Environment Reporter Curtis Tate brings us this story.

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The Legislature Today is West Virginia’s only television/radio simulcast devoted to covering the state’s 60-day regular legislative session.

Watch or listen to new episodes Monday through Friday at 6 p.m. on West Virginia Public Broadcasting.

Worker’s Compensation ‘Deliberate Intent’ Bill Narrowly Passes House

The House of Delegates approved a bill Tuesday that would limit how much compensation a worker can receive if he or she is injured on the job and can prove their employer deliberately made the work environment unsafe.

An example would be an incident like the Upper Big Branch Mine Disaster in 2010 where 29 miners died in an explosion after safety violations were repeatedly ignored.

House Bill 3270 would amend the deliberate intent statute to limit non-economic damages to $500,000 in these kinds of cases.

While debate on the issue lasted for only about 10 minutes, some lawmakers, such as Del. Shawn Fluharty, D-Ohio, spoke heatedly against the bill.

“Upper Big Branch, we had willful violations of safety standards. That’s what’s required for these types of situations,” Fluharty said. “It’s not like you just go file a case all willy nilly, and you can easily meet the burden that’s necessary. It’s an extremely high burden. And we’re gonna allow the bad actors, not accidents, the bad actors who intentionally allow these things to happen, because they don’t want to follow the rules and people die. And we’re gonna say, $500,000.”

The bill’s lead sponsor, Del. John Hott, R-Grant, was the only lawmaker to speak in favor of the bill. The original version of the bill limited the damages to $250,000 but was changed in committee.

“The bill before you, certainly as a committee substitute, was not my original desire,” Hott said. “But I believe it to be a step in the right direction. I believe it to be a bill that we can move forward, and I ask for your support.”

The bill passed narrowly 52-45 and now goes to the Senate for consideration.

The United Mine Workers of America has come out in opposition to the bill.