Linda M. Goetz, Ryan Craig Goetz, Robert Stephen Goetz v. Aetna Casualty and Surety Company, Aetna Life and Casualty, and Casualty and Surety Division

Plaintiffs appeal the dismissal of their action seeking damages for defendant Aet-na Casualty and Surety Company’s refusal to pay and delay in paying workers’ compensation benefits. The district court dismissed for lack of subject matter jurisdiction. We affirm.

FACTS

The essential facts are not disputed. Greg R. Goetz, plaintiffs’ husband and father, died in a plane crash in May 1979 while working within the course and scope of his employment. His employer filed a report with Aetna, its workers’ compensation insurer, which then requested further documentation from Goetz and her children. After receiving the requested documents, Aetna still refused to pay the benefits. Aetna stated it would honor the claim only if the Goetzes agreed to discount the total by fifteen percent. Aetna sought the discount as reimbursement for the cost of retaining subrogation counsel to intervene in the Goetzes’ action against American Airlines and McDonnell Douglas for negligently having caused the death of the insured. The Goetzes refused.

When Aetna failed to pay the accrued benefits claimed by plaintiffs, they filed an action with the Industrial Accident Commission. The Workers’ Compensation…