2021 Oregon Revised Statutes
Chapter 656 - Workers’ Compensation
Section 656.580 - Payment of compensation notwithstanding cause of action for damages; lien on cause of action for compensation paid.


(2) The paying agency has a lien against the cause of action as provided by ORS 656.591 or 656.593, which lien shall be preferred to all claims except the cost of recovering such damages. [Formerly 656.314]

Structure 2021 Oregon Revised Statutes

2021 Oregon Revised Statutes

Volume : 16 - Trade Practices, Labor and Employment

Chapter 656 - Workers’ Compensation

Section 656.005 - Definitions.

Section 656.012 - Findings and policy.

Section 656.017 - Employer required to pay compensation and perform other duties; state not authorized to be direct responsibility employer.

Section 656.018 - Effect of providing coverage; exclusive remedy.

Section 656.019 - Civil negligence action for claim denied on basis of failure to meet major contributing cause standard; statute of limitations.

Section 656.020 - Damage actions by workers against noncomplying employers; defenses outlawed.

Section 656.021 - Coverage exception for laborers under contracts with construction and landscape contractor licensees.

Section 656.025 - Individuals engaged in commuter ridesharing not subject workers; conditions.

Section 656.027 - Who are subject workers.

Section 656.029 - Obligation of person awarding contract to provide coverage for workers under contract; exceptions; effect of failure to provide coverage.

Section 656.031 - Coverage for municipal volunteer personnel.

Section 656.033 - Coverage for participants in work experience or school directed professional training programs.

Section 656.039 - Election of coverage for workers not subject to law; procedure; cancellation; election of coverage for home care workers and personal support workers.

Section 656.041 - City or county may elect to provide coverage for adults in custody.

Section 656.044 - State Accident Insurance Fund Corporation may insure liability under Longshoremen’s and Harbor Workers’ Compensation Act; procedure; cancellation.

Section 656.046 - Coverage of persons in college work experience and professional education programs.

Section 656.052 - Prohibition against employment without coverage; proposed order declaring noncomplying employer; effect of failure to comply.

Section 656.054 - Claim of injured worker of noncomplying employer; procedure for disputing acceptance of claim; recovery of costs from noncomplying employer; restrictions.

Section 656.056 - Subject employers must post notice of manner of compliance.

Section 656.070 - Definitions for ORS 656.027, 656.070 and 656.075.

Section 656.075 - Exemption from coverage for newspaper carriers; casualty insurance and other requirements.

Section 656.126 - Coverage while temporarily in or out of state; judicial notice of other state’s laws; agreements between states relating to conflicts of jurisdiction; limitation on compensation for claims in this state and other jurisdictions.

Section 656.128 - Sole proprietors, limited liability company members, partners, independent contractors may elect coverage by insurer; cancellation.

Section 656.132 - Coverage of minors.

Section 656.135 - Coverage of deaf school work experience trainees.

Section 656.138 - Coverage of apprentices, trainees participating in related instruction classes.

Section 656.140 - Coverage of persons operating equipment for hire.

Section 656.156 - Intentional injuries.

Section 656.160 - Effect of incarceration on receipt of compensation.

Section 656.170 - Validity of provisions of certain collective bargaining agreements; alternative dispute resolution systems; exclusive medical service provider lists; authority of director.

Section 656.172 - Applicability of and criteria for establishing program under ORS 656.170.

Section 656.174 - Rules.

Section 656.202 - Compensation payable to subject worker in accordance with law in effect at time of injury; exceptions; notice regarding payment.

Section 656.204 - Death.

Section 656.206 - Permanent total disability.

Section 656.209 - Offsetting permanent total disability benefits against Social Security benefits.

Section 656.210 - Temporary total disability; payment during medical treatment; election; rules.

Section 656.212 - Temporary partial disability.

Section 656.214 - Permanent partial disability.

Section 656.216 - Permanent partial disability; method of payment; effect of prior receipt of temporary disability payments.

Section 656.218 - Continuance of permanent partial disability payments to survivors; effect of death prior to final claim disposition.

Section 656.225 - Compensability of certain preexisting conditions.

Section 656.228 - Payments directly to beneficiary or custodian.

Section 656.230 - Lump sum award payments.

Section 656.232 - Payments to aliens residing outside of United States.

Section 656.234 - Compensation not assignable nor to pass by operation of law; certain benefits subject to support obligations.

Section 656.236 - Compromise and release of claim matters except for medical benefits; approval by Administrative Law Judge or board; approval by director for certain reserve reimbursements; restriction on charging costs to workers; restriction on jo...

Section 656.245 - Medical services to be provided; services by providers not members of managed care organizations; authorizing temporary disability compensation and making finding of impairment for disability rating purposes by certain providers; re...

Section 656.247 - Payment for medical services prior to claim acceptance or denial; review of disputed services; duty of health benefit plan to pay for certain medical services in denied claim.

Section 656.248 - Medical service fee schedules; basis of fees; application to service provided by managed care organization; resolution of fee disputes; rules.

Section 656.252 - Medical report regulation; rules; duties of attending physician or nurse practitioner; disclosure of information; notice of changing attending physician or nurse practitioner; copies of medical service billings to be furnished to wo...

Section 656.254 - Medical report forms; penalties and other sanctions; procedure for declaring health care practitioner ineligible for workers’ compensation reimbursement.

Section 656.260 - Certification procedure for managed health care provider; peer review, quality assurance, service utilization and contract review; confidentiality of certain information; immunity from liability; rules; medical service dispute resol...

Section 656.262 - Processing of claims and payment of compensation; payment by employer; acceptance and denial of claim; penalties and attorney fees; cooperation by worker and attorney in claim investigation; rules.

Section 656.264 - Compensable injury, denied claim and other reports.

Section 656.265 - Notice of accident from worker.

Section 656.266 - Burden of proving compensability and nature and extent of disability.

Section 656.267 - Claims for new and omitted medical conditions.

Section 656.268 - Claim closure; termination of temporary total disability benefits; reconsideration of closure; medical arbiter to make findings of impairment for reconsideration; credit or offset for fraudulently obtained or overpaid benefits; rule...

Section 656.273 - Aggravation for worsened conditions; procedure; limitations; additional compensation.

Section 656.277 - Request for reclassification of nondisabling claim; nondisabling claim procedure; attorney fees.

Section 656.278 - Board has continuing authority to alter earlier action on claim; limitations.

Section 656.283 - Hearing rights and procedure; rules; impeachment evidence; use of standards for evaluation of disability.

Section 656.287 - Use of vocational reports in determining loss of earning capacity at hearing; rules.

Section 656.289 - Orders of Administrative Law Judge; review; disposition of claim when compensability disputed; approval of director required for reimbursement of certain expenditures.

Section 656.291 - Expedited Claim Service; jurisdiction; procedure; representation; rules.

Section 656.295 - Board review of Administrative Law Judge orders; application of standards for evaluation of disability.

Section 656.298 - Judicial review of board orders; settlement during pendency of petition for review.

Section 656.307 - Determination of issues regarding responsibility for compensation payment; mediation or arbitration procedure; rules.

Section 656.308 - Responsibility for payment of claims; effect of new injury; denial of responsibility; procedure for joining employers and insurers; attorney fees; limitation on filing claims subject to settlement agreement.

Section 656.310 - Presumption concerning notice of injury and self-inflicted injuries; reports as evidence.

Section 656.313 - Stay of compensation pending request for hearing or review; procedure for denial of claim for medical services; reimbursement.

Section 656.319 - Time within which hearing must be requested.

Section 656.325 - Required medical examination; worker-requested examination; qualified physicians; claimant’s duty to reduce disability; suspension or reduction of benefits; cessation or reduction of temporary total disability benefits; rules; penal...

Section 656.327 - Review of medical treatment of worker; findings; review; costs.

Section 656.328 - List of authorized providers and standards of professional conduct for providers of independent medical examinations; exclusion; complaints; rules.

Section 656.331 - Contact, medical examination of worker represented by attorney prohibited without written notice; rules.

Section 656.340 - Vocational assistance procedure; eligibility criteria; service providers; resolution of vocational assistance disputes; rules.

Section 656.360 - Confidentiality of worker medical and vocational claim records.

Section 656.362 - Liability for disclosure of worker medical and vocational claim records.

Section 656.382 - Penalties and attorney fees payable by insurer or employer in processing claim.

Section 656.383 - Attorney fees in cases prior to decision or after request for hearing.

Section 656.385 - Attorney fees in cases regarding certain medical service or vocational rehabilitation matters; rules; limitation; penalties.

Section 656.386 - Recovery of attorney fees, expenses and costs in appeal on denied claim; attorney fees in other cases.

Section 656.388 - Approval of attorney fees required; lien for fees; fee schedule; adjustment; report of legal service costs.

Section 656.390 - Frivolous appeals, hearing requests or motions; expenses and attorney fee.

Section 656.403 - Obligations of self-insured employer.

Section 656.407 - Qualifications of insured employers.

Section 656.419 - Workers’ compensation insurance contracts.

Section 656.423 - Cancellation of coverage by employer; notice required.

Section 656.427 - Termination of workers’ compensation insurance contract or surety bond liability by insurer.

Section 656.430 - Certification of self-insured employer; employer groups; insurance policy requirements; revocation of certification; rules.

Section 656.434 - Certification effective until canceled or revoked; revocation of certificate.

Section 656.440 - Notice of certificate revocation; appeal; effective date.

Section 656.441 - Advancement of funds from Workers’ Benefit Fund for compensation due workers insured by certain decertified self-insured employer groups.

Section 656.443 - Procedure upon default by employer or self-insured employer group; rules.

Section 656.445 - Advancement of funds from Workers’ Benefit Fund for compensation due workers insured by insurer in default; limitations; rules.

Section 656.447 - Sanctions against insurer for failure to comply with contracts, orders or rules.

Section 656.455 - Self-insured employers to process claims and make records available at authorized locations; disposal of records; expenses for out-of-state audits; rules.

Section 656.504 - Rates, charges, fees and reports by employers insured by State Accident Insurance Fund Corporation.

Section 656.505 - Estimate of payroll when employer fails to file payroll report; demand for and recovery of premiums and assessments.

Section 656.506 - Assessments for programs; setting assessment amount; determination by director of benefit level.

Section 656.508 - Authority to fix premium rates for employers.

Section 656.526 - Distribution of dividends from surplus in Industrial Accident Fund.

Section 656.536 - Premium charges for coverage of reforestation cooperative workers based on prevailing wage; manner of determining prevailing wage.

Section 656.552 - Deposit of cash, bond or letter of credit to secure payment of employer’s premiums.

Section 656.554 - Injunction against employer failing to comply with deposit requirements.

Section 656.560 - Default in payment of premiums, fees, assessments or deposit; remedies.

Section 656.562 - Moneys due Industrial Accident Fund as preferred claims; moneys due department as taxes due state.

Section 656.564 - Lien for amounts due from employer on real property, improvements and equipment on or with which labor is performed by workers of employer.

Section 656.566 - Lien on property of employer for amounts due.

Section 656.580 - Payment of compensation notwithstanding cause of action for damages; lien on cause of action for compensation paid.

Section 656.583 - Paying agency may compel election and prompt action.

Section 656.591 - Election not to bring action operates as assignment of cause of action; repayments to department by paying agency.

Section 656.593 - Procedure when worker or beneficiary elects to bring action; release of liability and lien of paying agency in certain cases.

Section 656.595 - Precedence of cause of action; compensation paid or payable not to be an issue.

Section 656.596 - Damage recovery as offset against compensation; recovery procedure; notice to paying agency.

Section 656.605 - Workers’ Benefit Fund; uses and limitations.

Section 656.612 - Assessments for department activities; amount; collection procedure.

Section 656.614 - Self-Insured Employer Adjustment Reserve; Self-Insured Employer Group Adjustment Reserve.

Section 656.622 - Reemployment Assistance Program; claim data not to be used for insurance rating; rules.

Section 656.625 - Reopened Claims Program; rules.

Section 656.628 - Workers with Disabilities Program; use of funds; conditions and limitations; rules.

Section 656.630 - Oregon Institute of Occupational Health Sciences funding; report of activities.

Section 656.632 - Industrial Accident Fund.

Section 656.634 - Trust fund status of Industrial Accident Fund.

Section 656.635 - Reserve accounts in Industrial Accident Fund.

Section 656.642 - Emergency Fund.

Section 656.702 - Disclosure of records of corporation, department and insurers.

Section 656.704 - Actions and orders regarding matters concerning claim and matters other than matters concerning claim; authority of director and board; administrative and judicial review; rules.

Section 656.709 - Ombudsman for injured workers; ombudsman for small business; duties.

Section 656.712 - Workers’ Compensation Board; members; qualifications; chairperson; confirmation; term; vacancies.

Section 656.714 - Removal of board member.

Section 656.716 - Board members not to engage in political or business activity that interferes with duties as board member; oath and bond required.

Section 656.718 - Chairperson; quorum; panels.

Section 656.724 - Administrative Law Judges; appointment; qualifications; term; performance survey; removal procedure.

Section 656.725 - Duties and status of Administrative Law Judges.

Section 656.726 - Duties and powers to carry out workers’ compensation and occupational safety laws; rules.

Section 656.727 - Rules for administration of benefit offset.

Section 656.730 - Assigned risk plan.

Section 656.735 - Civil penalty for noncomplying employers; amount; liability of partners and of corporate and limited liability company officers; effect of final order; penalty as preferred claim; disposition of moneys collected.

Section 656.740 - Review of proposed order declaring noncomplying employer or nonsubjectivity determination; review of proposed assessment or civil penalty; insurer as party; hearing.

Section 656.745 - Civil penalty for inducing failure to report claims; limits on penalty amounts; failure to pay assessments; failure to comply with statutes, rules or orders; amount; procedure.

Section 656.751 - State Accident Insurance Fund Corporation created; board; members’ qualifications; terms; compensation; expenses; function; report.

Section 656.752 - State Accident Insurance Fund Corporation; purpose and functions.

Section 656.753 - State Accident Insurance Fund Corporation exempt from certain financial administration laws; contracts with state agencies for services.

Section 656.754 - Manager; appointment; functions.

Section 656.758 - Inspection of books, records and payrolls; statement of employment data; civil penalty for misrepresentation; failure to submit books for inspection and refusal to keep correct payroll.

Section 656.772 - Annual audit of State Accident Insurance Fund Corporation by Secretary of State; scope of review; report of audit.

Section 656.774 - Annual report by State Accident Insurance Fund Corporation to Secretary of State; contents.

Section 656.780 - Certification and training of claims examiners; records of certification and training of examiners; department inspection of records; penalties; rules.

Section 656.790 - Workers’ Compensation Management-Labor Advisory Committee; membership; duties; expenses.

Section 656.795 - Informational materials for nurse practitioners.

Section 656.797 - Certification by nurse practitioner of review of required materials.

Section 656.798 - Duty of insurer, self-insured employer and self-insured employer group to provide information to director.

Section 656.799 - Informational materials for other health care professionals; certification of review of materials.

Section 656.802 - Occupational disease; mental disorder; presumptions as to stress disorders; proof.

Section 656.807 - Time for filing of claims for occupational disease; procedure.

Section 656.850 - License; compliance with workers’ compensation and safety laws.

Section 656.855 - Licensing system for worker leasing companies; rules; fees; dedication of moneys received.

Section 656.990 - Penalties.