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WORKERS’ COMPENSATION Workers’ compensation is a system whereby an employer must pay, or provide insurance to pay, the lost wages and medical expenses of an employee who is injured on th

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justice that dealt with common claims He held the position until 1880, when his reputation prompted President ULYSSES S.GRANT to appoint him a U.S district judge in the Fifth Circuit

Woods’s judicial conservatism began to develop during this period; however, he still took a somewhat tolerant view of federal power, especially with regard to the government’s power to protectCIVIL RIGHTS

In 1881 President Hayes nominated Woods

to the U.S Supreme Court Once in the Court’s conservative majority, his judicial priorities changed Following the Civil War, Congress had enacted new civil rights laws aimed at ending

RACIAL DISCRIMINATION; equally important to this end was the RATIFICATION of the FOURTEENTH AMENDMENT to the U.S Constitution in 1868

But the Supreme Court soon undermined these

efforts In 1883 it struck down provisions of the

CIVIL RIGHTS ACTof 1875; Woods joined in the 8 to

1 majority in the so-called CIVIL RIGHTS CASES,

109 U.S 3, 3 S Ct 18, 27 L Ed 835

Woods’s intolerance for federal reform efforts marked his last years on the Court Like the majority of the justices, he took a narrow view of the Fourteenth Amendment He wrote the majority opinion in United States v Harris,

106 U.S 629, 1 S Ct 601, 16 Otto 629, 27 L Ed

290 (1883), which held unconstitutional a federal law protecting African Americans from the terroristKU KLUX KLAN organization Woods stated that such powers properly belonged to states rather than the federal government He died on May 14, 1887, in Washington D.C

WORDS AND PHRASES®

A multivolume set of law books published by West Group containing thousands of judicial definitions

of words and phrases, arranged alphabetically, from 1658 to the present

Words and Phrases is a legal research and reference work that is aimed primarily at lawyers It was first published in 1940 and has been continuously updated since then It contains words and phrases that have taken on special meaning in the law

The interpretation or meaning attributed to a word or phrase in a statute, court rule, adminis-trative regulation, business document, or agree-ment often determines rights, duties, obligations, and liabilities of the parties Many court decisions are based on the meaning attributed by an appellate court to a single word or phrase Words and Phrases allows a person to hone in on pertinent cases by selecting key words or phrases contained in a document

William Burnham Woods 1824–1887

1824 Born, Newark, Ohio

1845 Graduated from Yale University

1856 Elected mayor of Newark, Ohio

1861–65 U.S Civil War

1868 14th Amendment ratified, gave citizenship rights to African Americans

1847 Admitted to Ohio bar

1857–61 Served in the Ohio General Assembly

1883 Wrote majority opinion in United

States v Harris; voted with the

majority in the Civil Rights Cases

1870 15th Amendment ratified, gave voting rights to African Americans 1812–14

War of 1812

1887 Died, Washington, D.C.

1881–87 Served as associate justice of the U.S Supreme Court

◆ ❖

1869–80 Served

on the U.S Circuit Court of Appeals for the Fifth Circuit

1868–69 Served as chancellor of the Middle District of Alabama

William B Woods.

PAINTING BY VIC

BOSWELL/ERIK GUIDE

HAUPT COLLECTION OF

THE SUPREME COURT OF

THE UNITED STATES.

448 WORDS AND PHRASES ®

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Prior to the introduction of online and

CD-ROM legal research tools, a work such as

Words and Phrases played a key role in legal

research by leading the researcher to a primary

authority, such as a case, statute, or

constitu-tional provision In 1996 WESTLAW® introduced

Words and Phrases as part of its online service

Whenever possible, Words and Phrases entries are

written in the exact language the court employed

WORDS OF ART

The vocabulary or terminology of a particular art,

science, or profession, particularly those

expres-sions that are peculiar to it

Though a society may share a common

language, there are many specialized uses of

words based on human activities An

examina-tion of any profession, for example, will yield

many expressions that are idiomatic or peculiar

to it For the person working within the

profession, these become words of art, which

usually convey a meaning much different from

the normal use of these words, or which may be

completely baffling to an outsider

Because the law is based on the expression of

language, it contains thousands of words of art

Many persons working outside the legal

profes-sion would recognize that “taking the Fifth”

means that a person is asserting his or her

protection against SELF-INCRIMINATION under the

FIFTH AMENDMENT to the U.S Constitution

However, very few persons would understand

that an appellant is the party bringing an appeal,

while a respondent is the party against whom the

appeal is taken Appellant and respondent are

words of art

CROSS REFERENCE

Term of Art.

WORDS OF LIMITATION

The words in a deed or will that indicate what

type of estate or rights the person being given land

receives

Words of limitation are used to indicate the

duration or terms of the conveyance of real

property There are many types of limitations

that can be expressed in a deed or a will For

example, a grantor might make a deed that

conveys a parcel of land“to A until B marries.”

A’s estate is restricted by these words of

limitation, since A is given the land for only a

specified length of time (the time before B marries)

A grantor may also place restrictions on who may receive property by employing words

of limitation For example, a grantor might convey property “to A and the heirs of her body.” The words heirs of her body limit the persons who can inherit the property and are, therefore, recognized as words of limitation

WORDS OF PURCHASE Language used in connection with a transfer of real property that identifies the grantees or designees who take the interest being conveyed by deed or will

The term words of purchase is a technical conveyancing expression, a TERM OF ART in real

PROPERTY LAW that has nothing to do with the ordinary meanings of the word purchase

The word purchase in the expression means that real property is being transferred by deed or will, not inherited through the laws ofDESCENT AND DISTRIBUTION Whether the property is bought or given away, if the transfer is by deed

or will, it is a purchase in this usage

The act or process of acquiring real property

by deed or will is called taking by purchase, even though it was a gift The person who acquires real property by deed or will is called a purchaser, even though this person may have paid nothing

Words of purchase are the words in a deed

or will that tell who takes an interest in real property The expression is contrasted with words of limitation, which are words in a deed

or will that tell how long that interest will last

For example, in a deed to Whiteacre “To A for life,” To A are words of purchase, for life are words of limitation

WORK PRODUCT RULE

A legal doctrine that provides that certain materials prepared by an attorney who is acting

on behalf of his or her client during preparation for litigation are privileged from discovery by the attorney for the opposition party

Under rules of civil andCRIMINAL PROCEDURE,

as well as some statutes, parties to a civil lawsuit

or a criminal prosecution must provide each other with information about the pending

LITIGATION If a party will not disclose informa-tion during the discovery process, a court may

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issue an order compelling the production of evidence

The work product rule is an exception to the concept of sharing information This rule is based on the attorney-client relationship, which includes maintaining the confidentiality of information given by the client However, it is broader in scope than the ATTORNEY-CLIENT PRIVILEGE, which only covers communication directly between the attorney and the client The general rule is that legal research, records, correspondence, reports, or memoranda are attorney work product to the extent that they contain the opinions, theories, strategies, men-tal impressions, or conclusions of the client, the attorney, or persons participating in the case with the attorney, such as a jury consultant

The U.S Supreme Court, in Hickman v

Taylor, 329 U.S 495, 67 S Ct 385, 91 L Ed 451 (1947), upheld the legitimacy of the work product rule contained in the Federal Rules of

CIVIL PROCEDURE Since the Hickman decision, there have been numerous cases in federal and state courts involving disputes over what constitutes non-discoverable work product

For example, in Bondy v Brophy, 124 F.R.D

517 (D Mass 1989), the federal district court ruled that the work product rule applied to information obtained by an investigator hired by the attorney for the administrator of a probate estate who had questions about a decedent’s property transfers The DEFENDANT (who was being sued by the PLAINTIFF) sought to obtain information from the investigator, including identities of persons investigated, identities of persons contacted, and copies of any and all written reports She argued that the work product rule only applied to information gathered for a trial or litigation and that, at the time of the investigation, no litigation was contemplated

The court rejected her argument, finding that the information collected was not in the ordinary course of business, nor was it typical for the administrator of an estate to hire an investigator

to look into property transfers of a decedent The only reasonable inference is that the investigator was hired because the plaintiff had questions about these transfers and was considering appropriate legal action if the inquiry turned up evidence of questionable conduct Under these circumstances, the investigator’s report and the names of persons he contacted enjoyed qualified protection under the work product rule

CROSS REFERENCE Attorney-Client Privilege.

WORKERS’ COMPENSATION Workers’ compensation is a system whereby an employer must pay, or provide insurance to pay, the lost wages and medical expenses of an employee who is injured on the job

Workers’ compensation law is governed by statutes in every state Federal employees are governed by the Federal Employees Compensa-tion Act (Pub.L 103-3 1993) Specific laws vary with each jurisdiction, but key features are consistent Any employee is automatically enti-tled to receive certain benefits when that person suffers an OCCUPATIONAL DISEASE or accidental

PERSONAL INJURYarising out of and in theCOURSE

OF EMPLOYMENT Such benefits may include cash

or wage-loss benefits, medical and career reha-bilitation benefits, and in the case of accidental death of an employee, benefits to dependents TheNEGLIGENCEand fault of either the employer

or the employee usually are immaterial Inde-pendent contractors are not entitled to workers’ compensation benefits, and in some states domestic workers and agricultural workers are excluded or only partially covered

It is the goal of workers’ compensation to return the injured employee quickly and eco-nomically to the status of productive worker without unduly harming the employer’s business

A worker whose injury is covered by the workers’ compensation statute loses the common-law right to sue the employer for that injury, but injured workers may still sue third parties whose negligence contributed to the work injury For example, a truck driver injured in a rear-end collision by an unemployedTHIRD PARTYwould be entitled to collect workers’ compensation and also to sue the third party for negligence In such cases a PLAINTIFF who recovers money from a third-party lawsuit must first repay the employer

or insurer that paid workers’ compensation benefits The plaintiff may keep any remaining money Many jurisdictions permit the employer

or its insurer to sue negligent third parties on the employee’s behalf to recover funds paid as workers’ compensation benefits

In most states parties to workers’ compensa-tion disputes resolve them in an administrative, rather than judicial, tribunal Courts usually relax the standard rules of procedure, evidence, and conflict of laws to allow for expediency and

450 WORKERS’ COMPENSATION

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simplicity in keeping with the goal of getting an

injured worker the benefits necessary to return to

work

Workers’ compensation statutes require most

employers to purchase private or state-funded

insurance, or to self-insure, to make certain that

injured workers receive proper benefits The cost

of insurance is reflected in the cost of goods or

services produced by the employer; thus the cost

of workers’ compensation liability is passed

ultimately to consumers

Workers’ compensation law is unusual in

that negligent acts of either the employer or the

injured employee generally are irrelevant to the

determination of compensability Victims of

injuries not related to work in most cases must

prove the negligence of another party before

recovering money in a lawsuit Conversely, a

DEFENDANTin a personal injury lawsuit may avoid

or mitigate liability to a plaintiff whose own

negligence caused or contributed to the personal

injury Yet workers’ compensation is a no-fault

law, and an employee’s negligence or an

employ-er’s lack of negligence is usually not a factor

The underlying social philosophy of this

no-fault system is evident when one considers what

would happen without workers’ compensation

For example, assume a responsible employer

encourages a safe workplace and implements a

rule requiring workers to obtain the assistance

of a coworker before climbing a tall ladder to a

storage area One employee, hurrying to get her

work done for the day, ignores this rule and

climbs the ladder without assistance When she

reaches the top of the ladder, it shifts and she

falls, injuring her spine and paralyzing her legs

Society could choose to treat this injured

worker in one of three basic ways It could

refuse to render any aid, instead forcing the

injured worker to seek help from friends or

family If the worker was without ties to persons

both willing and able to assist, this plan would

leave her destitute A second option would be to

give her government aid, or WELFARE, such as

MEDICAIDor food stamps This alternative would

be less speculative but still not ideal because it

would force local taxpayers to pay for the

worker’s benefits regardless of whether they had

any connection to the injury

The third solution is the workers’

compen-sation system This system preserves the injured

worker’s dignity and well-being by providing an

income and medical care and keeping her off

welfare The system passes the cost of compen-sating injured workers to consumers of pro-ducts that, through their manufacture, cause the workers to get injured Thus the social philoso-phy underlying workers’ compensation is the efficient and dignified provision of financial and medical benefits to those injured on the job and the allocation of the expense to an appropriate source: the consumer

Workers’ compensation is also distinguish-able from other personal injury laws where negligence is a factor because although the employer is liable for paying injured workers’

benefits, the purpose of workers’ compensation is not to punish or hurt the employer For this reason, an integral component of workers’

compensation is the requirement that employers purchase workers’ compensation insurance, or provide a self-insured fund, to pay the benefits

This way, the employer can pass along the cost of insurance to the purchasers of the employer’s product

History Workers’ compensation laws in the United States developed during the early 1900s as a result of the industrial age and growing numbers of industrial injuries Before these laws were devel-oped, workers injured on the job often found themselves without remedy against their employer

or their fellow workers

The law of VICARIOUS LIABILITY developed in England in approximately 1700 to make the master, or employer, liable for the acts of the servant, or employee In 1837, however, the English case Priestly v Fowler, 3 M & W 1, 150 Reprint 1030, created the fellow servant exception

to the general rule of a master’s vicarious liability;

no longer would the master be held liable for an employee’s negligence in causing injury to a coworker

After Priestly, courts in the 1800s continued

to develop employer defenses to liability for injured workers One such defense, assumption

of the risk, allowed employers to escape liability with the questionable logic that employees could avoid or decline dangerous work duties

Another defense, contributory negligence, allowed employers to escape liability, notwith-standing the employer’s negligence, where the employee was also negligent Therefore, during

a century of burgeoning industry and its inherent risk of work-related accidents, workers

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faced nonexistent or inadequate remedies for their injuries

At the end of the nineteenth century, state lawmakers recognized the problem and began studying the compensation system developed in Germany in 1884 Rooted largely in its socialistic tradition, Germany’s compensation system man-dated that employers and employees share in the cost of paying benefits to workers disabled by sickness, accident, or old age Britain followed suit in 1897 with the British Compensation Act, which later became the model for many state workers’ compensation laws in the United States

In 1910 representatives of various state commissions met at a conference in Chicago and drafted the Uniform Workmen’s Compen-sation Law Although not overwhelmingly adopted, this uniform law became the blueprint for state workers’ compensation statutes All but eight states had adopted a workers’ compensa-tion law by 1920, and, in 1963, Hawaii became the last state to do so

Accident and Injury Workers’ compensation benefits are most com-monly provided to workers who are injured by a specific accident on the job, such as the worker who trips and falls down the employer’s staircase

or the worker who gets a hand caught in factory machinery But a compensable accidental injury might also include an occupational disease, such

as lung disease that resulted from an employee’s exposure to asbestos in the workplace Cumula-tive trauma associated with work duties, such as carpal tunnel syndrome caused by repetitive keyboard work, also can be compensable

Jurisdictions differ as to whether work-related mental illness is compensable In the majority of states, mental illness caused by work, such as stress, anxiety, or depression, is not compensable

A common exception to this rule exists when a specific accident or injury at work leads to mental illness For example, an employee who suffers from panic attacks upon hearing the phone ring

at work generally will not be entitled to workers’ compensation benefits But an employee who witnesses a viciousASSAULT AND BATTERY at work, and who then develops anxiety and panic attacks

as a result, would be entitled to compensation in most jurisdictions

Requirements for Benefits

An injured worker is entitled to workers’ compensation benefits only if the injury arose

out of and in the course of employment The first part of this requirement, “arising out of employment,” ensures that there is a causal connection between the work and the injury Usually the employee has the burden of proving that the injury was caused by exposure to an increased risk from employment

In determining whether an injury is compen-sable, it is helpful to categorize the risk causing the injury in one of three ways First, there is the risk that is associated distinctly with the employ-ment An example would be a house painter injured in a fall from a scaffold; the house painter would not have been on the scaffold but for his employment This type of injury is always compensable as arising out of employment The second category of risk is risk that is personal to the claimant An example is a worker who develops lung cancer due to years of smoking Assuming this cancer was not caused

by carcinogens in the workplace and would have developed notwithstanding employment, the disease would be considered personal and not arising out of employment Injuries from purely personal risks are never compensable

The third category of risk, neutral risk, is the most problematic in determining the compensa-bility of a work injury Neutral risks are neither distinct to the employment nor distinctly personal Examples would include a teacher shot

in a drive-by shooting while standing in his classroom; an auto mechanic bitten by a stray dog while dumping oil into an outdoor recepta-cle; and an executive struck by lightning when walking to his car after a meeting

Whether an injury resulting from a neutral risk is compensable is difficult to predict and often depends on the jurisdiction of the tribunal, the nature of the injury, and the precise facts surrounding the accident For example, injuries caused by lightning are usually compensable if the claimant can show that the work conditions increased the risk of being struck An employee struck while working atop a metal electric pole likely would receive workers’ compensation benefits for a lightning injury or death, whereas

an employee struck while walking to her car after her work shift would have a more difficult time collecting benefits In Reich v A Reich & Sons Gardens, Inc., 485 S.W 2d 133 (Mo Ct App 1972), the employee was killed by lightning while standing next to several vehicles in a wheat field The court deemed the death compensable, citing

452 WORKERS’ COMPENSATION

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testimony that the employee’s risk of being hit by

lightning was greater than that of other people in

the vicinity, who were sheltered in cars and

buildings and were not standing in an open field

Using the same logic, injuries from sunstroke,

freezing, and other effects of heat and cold

exposure arise out of the course of employment if

the employee can show that such exposure was

greater than that to which the general public was

exposed Workers who contract contagious

diseases at work will receive benefits upon a

showing that the workplace offered an increased

risk of exposure

Another type of neutral-risk injury isASSAULT

Most courts will deem an assault as arising out of

the course of employment if the nature or setting

of the work increased the risk of assault or if a

quarrel that led to the assault originated at work

In Bryan v Best Western/Coachman’s Inn, 885 S

W.2d 28 (Ark 1994), the claimant worked as a

security guard at a motel The claimant and the

motel night clerk were involved in a personal

dispute, which led to a fight between the

claimant and the night clerk’s boyfriend, injuring

the claimant The court held that even though

the dispute was personal and not related to work,

the claimant, because of his job, faced an

increased risk of assault His injuries therefore

were compensable

Even idiopathic injuries, or injuries resulting

from risks personal to the employee as opposed

to risks associated with the job, may be

compensable if the job contributes to the risk

or aggravates the injury An employee who misses

breakfast and suffers a fainting spell ordinarily

will not be entitled to workers’ compensation,

because the fainting spell does not arise out of

employment But if the same worker faints and in

so doing hits her head on her desk and fractures

her skull, her injury will be compensable In

Silverman v Roth, 9 A.D 2d 591, 189 N.Y.S.2d

311 (1959), the employee died of heart failure

after suffering a heart attack and falling from a

ladder The precise sequence of events was

impossible to determine Nevertheless, the court

awarded benefits, citing evidence that even if the

heart attack occurred before the fall from the

ladder, the heart condition would have been

aggravated by the shock of the fall, and thus the

fall from the ladder was a contributing factor in

the employee’s death

In addition to the requirement that an

injury arise out of employment, the employee

seeking workers’ compensation also must show that the injury arose“in the course of employ-ment.” To arise in the course of employment, the injury must take place within the employ-ment period, in a location where it is reasonable for the employee to be, and while the employee

is fulfilling work duties This does not mean that the employee must actually be doing his job, or doing it within the precise work hours, when the injury occurs for it to be compensable

Distinguishing between injuries that do or do not arise out of the course of employment is often a difficult and confusing task

One common issue arises when an employee

is injured going to or from work Clearly, employment necessitates that an employee travel

to work and home again Yet it is not the purpose of workers’ compensation to protect the employee from the risk of travel Courts have, through the years, reached a compromise: An employee with fixed hours and work locale going

to or coming from work generally is covered by workers’ compensation if the injury occurs on the employer’s premises

This rule can lead to rather harsh results, as

in Heim v Longview Fibre Co., 41 Wash App

745, 707 P.2d 689 (1985) There, the claimant was driving his motorcycle through the usual exit from his employer’s premises when a coworker turning into the premises hit the claimant, killing him The precise location of the crash was fewer than five feet from the employer’s property, on a public access road to the plant used by company personnel Nevertheless, the court held that the injury did not arise in the course of employment and denied death benefits Employees injured off work premises may still recover damages in tort against any persons whose negligence caused them harm

Some courts, recognizing the harshness of the premises rule, have attempted to extend the premises rule to include injuries that occur within

a reasonable distance of the employer’s premises

And most courts recognize the compensability of

an injury that occurs off the employer’s premises when an employee is going to or coming from work, where the trip itself is a substantial part of the employee’s service to the employer In Urban

v Industrial Commission, 34 Ill 2d 159, 214 N.E.2d 737 (Ill App Ct 1966), the employee, a traveling salesperson, was killed in a car accident while driving in the direction of his home, although the evidence was not clear that he was

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actually returning home The court ruled the death to be compensable

Benefits Workers’ compensation provides two general categories of benefits to injured workers: INDEM-NITY benefits and medical benefits Indemnity benefits compensate for the worker’s loss of income or earning capacity resulting from the work-related injury Depending on the employ-ee’s medical status and ability to work following the injury, she may be entitled to different types

of indemnity benefits A worker whose injury is only temporary and does not preclude her ability

to work her normal job duties and hours typically will not receive indemnity benefits because her injury has no effect on her ability

to earn a living A worker whose injury temporarily causes him to miss time from work will be entitled to payment of all or a portion of his lost wages, known as temporary partial disability benefits A worker whose injury temporarily renders him unable to work at all may receive temporary total disability, which is usually a portion of the worker’s average wage A worker who is able to work at least part time but who has a work-related permanent disability may

be entitled to permanent partial disability bene-fits The formula for permanent partial disability benefits varies from jurisdiction to jurisdiction but usually considers the employee’s average weekly wage combined with the degree of permanent disability Finally, a worker who is permanently disabled from working at all may be entitled to permanent total disability benefits

The payment of medical benefits is usually not controversial However, disputes do arise when a worker requests payments for services provided by a family member For example,

in Carbajal v Industrial Com’n of Arizona,

P.3d 2009 WL 1650428 (2009), the Arizona Supreme Court ruled that employer must pay for the home healthcare services provided by the spouse of an injured worker, even though the spouse was not a licensed home healthcare provider

A frequently disputed issue between an employer and an injured employee is the degree that the employee’s injury restricts her from returning to suitable employment, mitigating the need for indemnity benefits Some state statutes permit or require the employer to provide an injured employee with vocational rehabilitation, job search assistance, or job retraining if the

injury would otherwise prevent the employee from returning to gainful work

In the case of a compensable work-related death, the decedent’s spouse, dependent chil-dren, or both spouse and children may be entitled to dependency benefits Most jurisdic-tions pay death benefits to a spouse until the spouse dies or remarries and to children until they reach age 18 Other jurisdictions place limits on benefit amount or duration

Employees injured on the job may also receive reasonable and necessary medical ben-efits that are related to the work injury Such benefits are compensable if they serve to cure the injury or, if the injury is incurable, relieve its effects These benefits may include medical treatments such as sutures, casts, or surgery; psychiatric or psychological treatments; hospi-tal, nursing, and physical therapy treatments; chiropractic or podiatric treatments; prescrip-tion medicaprescrip-tions; supplies such as wheelchairs

or wrist braces; orthopedic mattresses; or attendant care services Most workers’ compen-sation statutes also provide for the reimburse-ment of the employee’s travel expenses incurred

in obtaining medical services

The System in the Early 2000s Workers’ compensation has been criticized as an expensive component of doing business and a system made more expensive by undetected

FRAUD What was intended to provide the employer and the injured worker with an amicable and humane resolution of a work injury often results in contentious disputes and costly

LITIGATION Some employees feign injury to receive wage-loss benefits, and some employers balk at providing benefits to legitimately injured workers for fear that insurance premiums will rise But the system has been effective in keeping injured employees employed and promoting the impor-tance of a safe workplace

FURTHER READINGS Bevans, Neil 2008 Workers’ Compensation Law Florence, Ky.: Delmar Cengage Learning.

Hood, Jack, Benjamin Hardy, and Harold Lewis 2004 Workers’ Compensation and Employee Protection Laws in

a Nutshell 4th ed St Paul Minn.: Thomson West Moore, Sandy 2008 Understanding Workers’ Compensation Insurance Florence, Ky.: Delmar Cengage Learning CROSS REFERENCES

Employment Law; Labor Law; Master and Servant.

454 WORKERS’ COMPENSATION

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WORLD BANK

The International Bank for Reconstruction and

Development, commonly referred to as the

WORLD BANK, is an international financial

insti-tution whose purposes include assisting the

development of its member nations’ territories,

promoting and supplementing private foreign

investment, and promoting long-range balanced

growth in international trade

The World Bank was established in July

1944 at the United Nations Monetary and

Financial Conference in Bretton Woods, New

Hampshire It opened for business in June 1946

and helped in the reconstruction of nations

devastated byWORLD WAR II Since the 1960s the

World Bank has shifted its focus from the

advanced industrialized nations to developing

third-world countries

The World Bank consists of a number of

separate institutions The three major institutions

are the International Bank for Reconstruction

and Development (IBRD), the International

Development Association (IDA), and the

Inter-national Finance Corporation (IFC) The IBRD,

the bank’s most important component, lends

funds directly, guarantees loans made by others,

or participates in these loans The IDA,

estab-lished in 1960, lends to low-income countries on

more favorable terms, charging a small service

fee but no interest It gets its funds from more

affluent member countries The IFC, established

in 1956, provides loans to private business in

developing countries

Twenty-nine nations joined the World Bank

in 1945 As of 2009 the bank had 185 members

The bank is governed by an executive board and

a managing director Voting in the bank is

weighted according to the initial contributions

to the bank’s capital, which historically has

given the U.S government a dominant voice in

the bank’s affairs

In 1996 almost one-third of the bank’s loans

went to the world’s poorest countries However,

the bank has moved away from financing

large-scale infrastructure projects, such as roads,

rail-ways, and power facilities Since the 1970s, the

bank has provided an increasing number of loans

to developing countries for agricultural,

educa-tional, and population programs The goals of

these loan programs have been to raise the

standard of living and to increase self-sufficiency

The World Bank offers advisory services to

countries seeking to reform their banking and

finance systems It also launched InfoDev, an initiative to secure resources from corporations, foundations, and governments to promote reform and investment in the developing world through improved access to information tech-nology

In the late 1990s several coalitions of organizations and individuals formed Jubilee

2000 to campaign for debt-forgiveness for poor countries that found themselves unable to pay back the bank’s loans The World Bank and the

INTERNATIONAL MONETARY FUND responded by establishing the Heavily Indebted Poor Coun-tries Initiative (HIPC) that sought to provide relief for the world’s most heavily indebted countries In April 2000 World Bank President James D Wolfensohn stated that he welcomed Jubilee 2000 and continuing public involvement for their contributions toward getting creditor countries to support HIPC

The IDA provides core funding upon which many of the poorest developing countries rely

In 2007, 45 countries pledged a total of $25.1 billion in U.S dollars for aid that went into the IDA fund The IDA in turn distributed gifts to

80 poorer countries The United States pledged

$3.7 billion in 2007, about $500 million less than Great Britain

Robert B Zoellick became the World Bank’s eleventh president on July 1, 2007 Zoellick previously served as Deputy Secretary of the U.S.STATE DEPARTMENT He was also an executive with the Goldman Sachs Group

FURTHER READINGS Howarth, David, and Peter Loedel 2003 The European Central Bank: The New European Leviathan? New York:

Palgrave Macmillan.

Smith, Roy C., and Ingo Walter, eds 2003 Global Banking.

2d ed New York: Oxford Univ Press.

World Bank Website Available online at http://www.

worldbank.org/ (accessed June 7, 2009).

CROSS REFERENCE International Monetary Fund.

WORLD COURT See INTERNATIONAL COURT OF JUSTICE

WORLD WAR I World War I was an international conflict primarily involving European nations that was fought between 1914 and 1918 The United States did not enter the conflict until April 1917,

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but its entry was the decisive event of the war, enabling the Allies (Great Britain, France, Italy, and Russia) to defeat the Central Powers (Germany, Austria-Hungary, Turkey, and Bul-garia) The leadership of President WOODROW WILSON led to both the conclusion of hostilities and the creation of the LEAGUE OF NATIONS, an international organization dedicated to resolv-ing disputes without war

Several factors contributed to the war The underlying causes dated back to the unification

of Germany in 1871 Resentment between nations grew during the late nineteenth and early twentieth centuries, sparked in part by Germany’s desire to become an equal with the likes of Great Britain and France European nations had negotiated military alliances with each other that called for mutual protection

The most significant event to lead to the actual war was the ASSASSINATION of Franz Ferdinand, heir to the throne of the Austro-Hungarian Empire A young Bosnian Serb killed Ferdinand for political reasons Austria-Hungary retaliated immediately against the Kingdom of Serbia by declaring war on July

28, 1914, setting off a chain reaction where nations declared war on one another based on alliance commitments

Two major alliances fought the war The Entente Powers consisted of France, Great Britain, and Russia Italy (1915) and the United States (1917) later joined this alliance The Central Powers consisted of Germany, Austria-Hungary, and the Ottoman Empire Bulgaria joined this alliance in 1915 The war was fought primarily on three fronts and on the Atlantic

Ocean The western front was in France, where Germany was opposed by France, Great Britain, and eventually the United States The eastern front was in Russia, where Germany and Austria-Hungary opposed Russia The southern front was in Serbia and involved Austria-Hungary and Serbia

In August 1914 Germany invaded Belgium and then moved into France German forces were unable to achieve a decisive victory, however, and the war soon became a conflict

of fixed battle lines French, British, and German soldiers lived and fought in trenches, breastworks, and fortifications that stretched

475 miles (600 kilometers) Each side periodi-cally made assaults on the enemy by entering the “no man’s land” between two sets of trenches The use of machine guns, tanks, gas warfare, and artillery in these confined battle-fields generated unprecedented human carnage

on the western front

Though Germany had more success on the eastern front, neither side had sufficient eco-nomic and military strength to achieve victory

In 1916 and early 1917, Wilson sought to bring about negotiations between the Allies and Central Powers that would lead, in his words,

to “peace without victory.” Wilson’s efforts at first appeared promising, but German military successes convinced the Central Powers that they could win the war

Germany’s use of submarine warfare proved

to be the key element in provoking the United States’ entry into the war In 1915 a German submarine torpedoed without warning the British passenger steamship Lusitania off the southern coast of Ireland Nearly 1,200 people died, including 128 U.S citizens Popular feeling in the United States against Germany was intense, leading to calls for declaring war on Germany Wilson, however, sought a diplo-matic solution Though Germany rebuked his call for assuming responsibility for the tragedy,

it did not sink any more passenger liners without warning

Wilson abandoned his peacemaking efforts when Germany announced that unrestricted submarine warfare would begin on February 1,

1917 This meant that U.S merchant ships were

in peril, despite the fact that the United States was a neutral in the war Wilson broke diplomatic relations with Germany on February

3 and asked Congress later that month for

American soldiers

man a trench in

France in 1918 The

entry of the United

States in World War I

tipped the scales in

favor of the Allies,

and they soon won

the war against the

Central Powers.

PUBLIC DOMAIN

456 WORLD WAR I

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authority to arm merchant ships and take other

protective measures In mid-March German

submarines sank three U.S merchant ships,

with heavy loss of life Wilson called a special

session of Congress for April 2 and asked for a

declaration of war on Germany Congress

obliged, and on April 6, 1917, Wilson signed

the declaration

The United States immediately moved to

raise a large military force by instituting a

military draft It took months to raise, train, and

dispatch troops to Europe The first 85,000

members of the American Expeditionary Force

(AEF), under the command of General John J

Pershing, arrived in France in June 1917 By the

end of the war in November 1918, there were

2 million soldiers in the AEF

Germany realized that U.S war production

and financial strength reduced Germany’s

chances of victory In March 1918 Germany

launched its last great offensive on the western

front U.S troops saw their first extended action

in the Battle of the Marne, halting the German

advance on June 4 During the second Battle of

the Marne, U.S and French troops again

stopped the German advance and successfully

counterattacked The Allies began pushing back

the German army all along the western front,

signaling the beginning of the end of German

resistance

Wilson renewed his peace efforts by

proposing a framework for negotiations On

January 8, 1918, he delivered an address to

Congress that named Fourteen Points to be

used as the guide for a peace settlement The

fourteenth point called for a general

associa-tion of naassocia-tions that would guarantee political

independence and territorial integrity for all

countries In October 1918 Germany asked

Wilson to arrange a generalARMISTICEbased on

the Fourteen Points and the immediate start of

peace negotiations Germany finally

capitu-lated and signed an armistice on November 11,

1918

The cost of World War I was enormous

More than 60 million European soldiers were

mobilized between 1914 and 1918 The war

caused more than 40 million casualties,

includ-ing an estimated 20 million military and civilian

deaths related to non-combat aspects of war

such as famine and disease

The 1919TREATY OF VERSAILLES ended World

War I and imposed disarmament, reparations,

and territorial changes on Germany The treaty also established the LEAGUE OF NATIONS, an international organization dedicated to resolv-ing world conflicts peacefully Wilson was unable to convince the U.S Senate to ratify the treaty because it was opposed to U.S

membership in the League of Nations

World War I saw the 1917 Bolshevik revolution in Russia The specter of a worldwide Communist movement generated fears in the United States that socialists, anarchists, and Communists were undermining democratic institutions During the war, socialist opponents

of the war were convicted of SEDITION and imprisoned In 1920 the federal government rounded up 6,000 ALIENS it considered to be politically subversive These “Palmer Raids,”

named after Attorney General A MITCHELL PALMER, violated basic civil liberties Agents entered and searched homes without warrants, held persons without specific charges for long periods of time, and denied them legal counsel

Hundreds of aliens were deported

FURTHER READINGS Hall, Kermit L., and Peter Karsten 2009 The Magic Mirror:

Law in American History New York: Oxford University Press.

Macmillan, Margaret Olwen 2002 Paris 1919: Six Months that Changed the World New York: Random House.

May, Christopher N 1989 In the Name of War: Judicial Review and the War Powers Since 1918 Cambridge, MA:

Harvard Univ Press Murphy, Paul L 1979 World War I and the Origin of Civil Liberties in the United States New York: Norton.

CROSS REFERENCES Abrams v United States; Armistice; Communism; “Four-teen Points ” (Appendix, Primary Document); Socialism.

WORLD WAR II World War II began in 1939 when Germany invaded Poland as part of Germany’s effort to expand its empire in Eastern and Western Europe The war escalated quickly as a conflict between Germany and the combined forces of France and Great Britain and eventually in-cluded most of the nations of the world before it ended in August 1945 It caused the greatest loss

of life and material destruction of any war in history, killing 25 million military personnel and 30 million civilians By the end of the war, the United States had become the most powerful nation in the world, the possessor and user of atomic weapons The war also

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