33 U.S.C. § 933 – Third-Party Remedies (LHWCA)

33 U.S.C. § 933 Summary

Please note: While the title of this article refers to “33 U.S.C. § 933 – Third-Party Remedies (LHWCA)”, the provided “Code Details” and “Exact Statute Text” specifically detail 30 U.S.C. § 933. This section of Title 30 pertains to the duties of coal mine operators regarding Black Lung benefits in states whose workmen’s compensation laws do not meet federal standards. This summary and subsequent sections will analyze 30 U.S.C. § 933 based on the provided text.

This statute, 30 U.S.C. § 933, mandates that coal mine operators in states whose workers’ compensation laws are deemed inadequate by the Secretary of Labor must secure the payment of Black Lung benefits for which they are liable under 30 U.S.C. § 932. Operators have two primary ways to fulfill this obligation: either by qualifying as a self-insurer through federal regulations or by purchasing and maintaining insurance from an authorized company. The law also specifies strict requirements for these insurance policies, ensuring they cover federal benefit levels regardless of state law, and that operator insolvency does not relieve the insurer of liability. Furthermore, the statute details cancellation procedures for insurance policies and imposes significant civil and criminal penalties on operators and their corporate officers who fail to secure these benefits or attempt to evade payments by disposing of assets.

Purpose of 33 U.S.C. § 933

The legislative purpose behind 30 U.S.C. § 933 is to establish a robust and enforceable system for ensuring that coal miners suffering from Black Lung disease, and their dependents, receive the federal benefits they are entitled to. This section of the Black Lung Benefits Act addresses a critical problem: the potential for miners to be left without financial support due to inadequate state workmen’s compensation laws or financially unstable employers. By mandating that operators secure these benefits through self-insurance or specific types of insurance, the law aims to create a safety net, protecting vulnerable miners. It serves as a deterrent against non-compliance, ensuring accountability for coal mine operators and their corporate leadership. This statute directly supports the broader goal of compensating workers for occupational illnesses, particularly in hazardous industries like coal mining, where the risks are well-documented.

Real-World Example of 33 U.S.C. § 933

Consider a scenario in “Coalville,” a hypothetical state where the state’s workmen’s compensation laws for occupational diseases, specifically Black Lung, are not on the Secretary’s approved list under 30 U.S.C. § 931(b). “Deep Earth Mining Co.” operates a coal mine in Coalville.

Under 30 U.S.C. § 933(a), Deep Earth Mining Co. is required to secure federal Black Lung benefits for its miners. It chooses to do so by purchasing an insurance policy from “MinerCare Insurance Corp.” This policy, as per § 933(b), must explicitly state that it will pay benefits required by 30 U.S.C. § 932, even if Coalville’s state law specifies lower amounts, and it must confirm that Deep Earth Mining Co.’s potential bankruptcy won’t negate MinerCare’s liability.

One of Deep Earth’s long-time miners, John Smith, is diagnosed with Black Lung disease and files a claim for federal benefits. Subsequently, Deep Earth Mining Co. experiences financial difficulties and ceases operations without paying benefits to John or other affected miners. If Deep Earth had *failed* to secure insurance or qualify as a self-insurer as mandated by § 933, the company would face a daily civil penalty of up to $1,000, and its president, secretary, and treasurer would be personally liable for these penalties and any unpaid benefits to John Smith and other miners under § 933(d)(1). Furthermore, if Deep Earth’s president, knowing John had a claim, tried to sell off company assets to avoid paying John’s benefits, they could face criminal charges, including fines and imprisonment, under § 933(d)(2). This statute ensures that even in states with inadequate compensation systems, miners like John have a federally mandated pathway to secure their due benefits.

Related Statutes

Several statutes are directly related to 30 U.S.C. § 933, providing context and defining the obligations and benefits referenced:

• 30 U.S.C. § 931(b) – List of States: This section is explicitly referenced in 30 U.S.C. § 933(a). It directs the Secretary of Labor to publish a list of states whose workmen’s compensation laws provide adequate coverage for pneumoconiosis (Black Lung disease) and meet federal standards. If a state is not on this list, then the duties outlined in 30 U.S.C. § 933 become active for coal mine operators within that state.
• 30 U.S.C. § 932 – Benefits for Which Operators Are Liable: This statute is central to 30 U.S.C. § 933, as it defines the specific Black Lung benefits that operators are legally obligated to provide. Section 933 ensures that the payment of *these* benefits is secured. The required provisions in insurance contracts under § 933(b)(1) specifically refer to ensuring benefits at the level mandated by § 932.
• Federal Mine Safety and Health Act of 1977 (30 U.S.C. § 801 et seq.): While broader, this foundational act governs mine safety and health standards. The Black Lung Benefits Act, of which 30 U.S.C. § 933 is a part, exists within this larger framework, aiming to protect miners not just through prevention but also through compensation for occupational diseases.

Case Law Interpreting 33 U.S.C. § 933

Regarding the provided text for 30 U.S.C. § 933, a notable case interpreting aspects of operator liability under the Black Lung Benefits Act, including the securing of benefits, is:

• Consolidation Coal Company v. Director, Office of Workers’ Compensation Programs – This and similar cases often delve into the specific requirements for operators to secure benefits, the nature of their liability, and the interplay between federal and state compensation schemes. While this specific case might cover broader aspects of Black Lung claims, it is representative of the kind of litigation that arises from the duties imposed by sections like 30 U.S.C. § 933, particularly concerning how operators are identified as responsible parties and whether they have met their obligations for securing benefits.

Why 33 U.S.C. § 933 Matters in Personal Injury Litigation

While the article’s H2 refers to “33 U.S.C. § 933”, the provided statute text (30 U.S.C. § 933) is highly relevant in personal injury litigation concerning occupational diseases, specifically Black Lung. This statute is crucial because it directly addresses the financial security of benefits for miners afflicted with this debilitating illness, profoundly impacting both plaintiff strategy and defense arguments.

For plaintiffs—miners and their families seeking Black Lung benefits—understanding this statute is paramount. It clarifies the specific obligations of coal mine operators to secure payment, providing a clear legal basis for claims. If an operator has failed to comply with 30 U.S.C. § 933, it strengthens the miner’s case, potentially allowing them to pursue claims not only against the operator but also against its corporate officers personally, as detailed in subsection (d). This can be a critical avenue for recovery if the corporate entity itself is insolvent or attempts to evade liability. Attorneys representing miners must investigate the operator’s compliance with these insurance or self-insurance requirements, as non-compliance can lead to severe penalties for the employer and additional leverage for the claimant.

For defense arguments, operators must demonstrate strict adherence to 30 U.S.C. § 933. Proof of proper self-insurance qualification or a valid, compliant insurance policy is essential to avoid penalties and to demonstrate good faith in meeting federal obligations. The statute’s detailed requirements for insurance contracts (e.g., covering federal benefit levels, protection against insolvency) mean that an operator’s defense hinges on the thoroughness and legality of their benefit-securing arrangements. Furthermore, the severe penalties for knowingly disposing of assets to avoid payment underscore the high stakes for employers and their executives, making robust compliance programs a necessity.

In essence, this statute establishes a non-negotiable floor for operator responsibility, providing a vital tool for securing benefits for victims of an occupational disease and holding employers accountable in the challenging landscape of federal Black Lung compensation.