The employer and insurer petition this court to discontinue payment of permanent total disability benefits on the basis that the employee has reached the age of 67 years and is presumed retired under Minn. Stat. § 176.101, subd. 4.  Concluding the employer and insurer may properly discontinue permanent total disability benefits, the petition is granted.

Robert L. Finn, the employee, sustained a personal injury on March 3, 1999, arising out of his employment with Homecrest Industries, Inc., the employer, then insured by SFM Mutual Insurance Company.  The employer and insurer admitted liability for the employee’s personal injury.

Thereafter, the parties entered into a settlement of the employee’s claims in which they stipulated the employee was permanently and totally disabled as of November 9, 2000.  The employer and insurer agreed to pay certain workers’ compensation benefits to the employee, including permanent total disability benefits commencing on November 9, 2000, and continuing.  In the stipulation for settlement, the parties agreed that “nothing in this Stipulation for Settlement is an admission by the employer and insurer that benefits extend beyond age 67.  That it is the position of the employer and insurer that permanent and total disability benefits end at age 67, or July 10, 2010, pursuant to the presumptive retirement provisions of Minn. Stat. § 176.101, subd. 4.”  (Stip. for Settlement, ¶ XI.)  An Award on Stipulation was served and filed on April 24, 2002.

On August 13, 2010, the employer and insurer filed with this court a petition to discontinue permanent total disability benefits on the basis that the employee had reached age 67 in July 2010 and was presumed retired.  The petitioners assert the employee was born on July 7, 1943, and reached the age of 67 years on July 7, 2010.  The petitioners maintain they have no further liability for permanent total disability benefits from and after July 2010, pursuant to Minn. Stat. § 176.101, subd. 4.^[1]  The employee filed an objection to the petition.

In cases in which the presumptive retirement provision of Minn. Stat. § 176.101, subd. 4, applies, an employer or insurer may discontinue payment of permanent total disability benefits to an employee who has been adjudicated or administratively determined to be permanently and totally disabled without filing with this court a petition to discontinue benefits.  In such cases, an employer and insurer have no continuing liability for permanent total disability benefits after the employee attains the age of 67 years.  If the employee claims entitlement to permanent total disability benefits after attaining the age of 67 years, he or she may file a petition pursuant to Minn. Stat. § 176.291.  An employer and insurer may, however, be liable for penalties under Minn. Stat. § 176.225 if an employee’s permanent total disability benefits are improperly discontinued.  In any case in which the employer or insurer is uncertain whether the statutory presumption applies, an employer or insurer may file with this court a petition to discontinue permanent total disability benefits.  See Olson v. 3M Co., No. WC10-5054 (W.C.C.A. June 29, 2010).

In this case, the parties stipulated the employee was entitled to permanent total disability benefits by reason of his personal injury and an award on stipulation was served and filed.^[2]  The settlement agreement specifically allows the employer and insurer to discontinue permanent total disability benefits when the employee reaches 67 years of age.  The employee reached the age of 67 in July 2010.  The petitioner’s request to discontinue permanent total disability benefits, effective July 10, 2010, is granted.