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Missouri Workers' Compensation Legal Library

Missouri Home Page   >   Missouri Regulations

287.882. Automatic stay of proceedings, when, duration. -

All proceedings in which an insolvent employer is a party, or is obligated to defend a party, in any court or before any quasi-judicial body or administrative board in this state shall be stayed for up to three months, or for such additional period from the date of an order of liquidation against the member employer with a finding of insolvency, entered by a court of competent jurisdiction or from the date the board of directors of the guaranty corporation determines that the member employer has fully expended all surety bonds, reinsurance, and all other available assets, and is not able to pay compensation benefits, as is deemed necessary by a court of competent jurisdiction to permit proper defense by the corporation of all pending causes of action as to any covered claims arising from a judgment under any decision, verdict, or finding based on the default of the insolvent member employer. The corporation, either on its own behalf or on behalf of the insolvent member employer, may apply to have such judgment, order, decision, verdict, or finding set aside by the same court or administrator that made such judgment, order, decision, verdict, or finding and shall be permitted to defend against such claim on the merits. If requested by the corporation, the stay of proceedings may be shortened or waived.

(L. 1992 H.B. 975)

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