“The Appeals Board is a constitutional court vested with judicial powers.”
(DiFusco, supra, at p. 7, citing Lab. Code, §§ 111(a), 52, 5300, 5301, 5302; McHugh v. Santa Monica Rent Control Bd. (1989) 49 Cal.3d 348, 355–356; Bankers Indemnity Ins. Co. v. Industrial Acc. Com. (Merzoian) (1935) 4 Cal.2d 89, 97.)
“For over 100 years, it has been repeatedly held that the Appeals Board (and its predecessor, the Industrial Accident Commission), exercises a portion of the judicial powers of the State of California and is, in legal effect, a court.”
(DiFusco, supra, at p. 7, citing Bankers Indemnity Ins. Co. v. Industrial Acc. Com. (Merzoian) (1935) 4 Cal.2d 89, 97; Western Metal Supply Co. v. Pillsbury (Mason) (1916) 172 Cal. 407, 411–412; Kaiser Co. v. Industrial Acc. Com. (Baskin) (1952) 109 Cal.App.2d 54, 58–59.)
“Thus, the Appeals Board must follow a statute in the Labor Code as written and enacted by the Legislature, unless or until the Legislature changes a statute or a higher court issues an opinion as to its application.”
(DiFusco, supra, at p. 11.)
“In comparison, regulations are enacted by state agencies under statutory authority granted by an enabling statute, to implement and enforce a statute, after public notice and an opportunity for public comment.”
(DiFusco, supra, at p. 11, citing Tidewater Marine Western, Inc. v. Bradshaw (1996) 14 Cal.4th 557, 568; Department of Corrections & Rehabilitation v. Workers’ Comp. Appeals Bd. (2008) 166 Cal.App.4th 911, 917.)
“Section 5708 authorizes the Appeals Board to promulgate regulations regarding the adjudicatory process, and section 5307 describes the mandatory procedures for adopting, amending or rescinding regulations, including the requirement for a public hearing.”
(DiFusco, supra, at p. 12, citing Lab. Code, §§ 5307, 5708.)
“The WCAB falls within a statutory exclusion because its adjudicative proceedings are expressly governed by the Labor Code and by its own rules of practice and procedures and because it is not bound by any other statutory rules of procedure.”
(DiFusco, supra, at p. 11, fn. 8, citing Lab. Code, §§ 5708, 5307.)
“While the WCAB is empowered to enact rules or procedures under the proper circumstances, it may not change legislation that is within the plenary power of the Legislature under article XIV, section 4 of the California Constitution.”
(Rea v. Workers’ Comp. Appeals Bd. (Milbauer) (2005) 127 Cal.App.4th 625, 644, as quoted in DiFusco, supra, at p. 11.)
“(a) The appeals board shall establish uniform district office procedures, uniform forms, and uniform time of court settings for all district offices of the appeals board. No district office of the appeals board or workers’ compensation administrative law judge shall require forms or procedures other than as established by the appeals board. A workers’ compensation administrative law judge who violates this section may be subject to disciplinary proceedings. (b) The appeals board shall establish uniform court procedures and uniform forms for all other proceedings of the appeals board.”
(Lab. Code, § 5500.3, as quoted in DiFusco, supra, at p. 11.)
“While a regulation enacted by the Appeals Board may become invalid when an appellate court determines that it contradicts a statute, if the Appeals Board determines that a regulation is no longer valid or is no longer applicable as written, the Appeals Board must follow the same procedures used to enact the regulation, including the public hearing requirement, prior to the amendment or repeal of the regulation.”
(DiFusco, supra, at p. 12, citing Lab. Code, § 5307; Milbauer, supra, 127 Cal.App.4th 625.)
“The Administrative Procedures Act (APA) applies to all state “agencies” (see Gov. Code, § 11500), except as otherwise expressly provided by statute.”
(DiFusco, supra, at p. 11, fn. 8, citing Gov. Code, §§ 11410.20(a), 11415.10(a).)
“The Appeals Board has a constitutional mandate to “ensure substantial justice in all cases.””
(Kuykendall, supra, 79 Cal.App.4th at p. 403, as quoted in Perez v. Chicago Dogs (2025) ADJ16597333 (Appeals Bd. en banc), at p. 8.)
“Only the Appeals Board has statutory authority to establish procedures in workers’ compensation proceedings and to promulgate rules.”
(Perez, supra, at p. 6.)
“In addition to this statutory authority granted only to the Appeals Board, the Appeals Board has statutory authority under sections 5307 and 5708 to promulgate regulations regarding the adjudicatory process.”
(Perez, supra, at p. 6, citing Lab. Code, §§ 5307, 5708.)
“The Legislature is hereby expressly vested with plenary power, unlimited by any provision of this Constitution, to create, and enforce a complete system of workers’ compensation, by appropriate legislation, and in that behalf to create and enforce a liability on the part of any or all persons to compensate any or all of their workers for injury or disability, and their dependents for death incurred or sustained by the said workers in the course of their employment, irrespective of the fault of any party … * * * The Legislature is vested with plenary powers, to provide for the settlement of any disputes arising under such legislation by arbitration, or by an industrial accident commission, by the courts, or by either, any, or all of these agencies, either separately or in combination, and may fix and control the method and manner of trial of any such dispute, the rules of evidence and the manner of review of decisions rendered by the tribunal or tribunals designated by it; provided, that all decisions of any such tribunal shall be subject to review by the appellate courts of this State. … * * * Nothing contained herein shall be taken or construed to impair or render ineffectual in any measure the creation and existence of the industrial accident commission of this State or the state compensation insurance fund, the creation and existence of which, with all the functions vested in them, are hereby ratified and confirmed.”
(Cal. Const., art. XIV, § 4, as quoted in Dennis v. State of California (2020) 85 Cal.Comp.Cases 389, 396 (Appeals Bd. en banc), as quoted in Vazquez, supra, at p. 7.)
“Under this constitutional grant of plenary power to the Legislature, the California Workers’ Compensation Act (§ 3200 et seq.) was enacted “to establish a complete and exclusive system of workers’ compensation including ‘full provision for vesting power, authority and jurisdiction in an administrative body with all the requisite governmental functions to determine any dispute or matter arising under such legislation, to the end that the administration of such legislation shall accomplish substantial justice in all cases expeditiously, inexpensively, and without incumbrance of any character; all of which matters are expressly declared to be the social public policy of this State … .’””
(Dennis, supra, 85 Cal.Comp.Cases at p. 396 (Appeals Bd. en banc), as quoted in Vazquez, supra, at p. 8.)
“Thus, under the grant of authority in the California Constitution, the Appeals Board operates as an appellate court of limited jurisdiction that reviews and decides appeals from decisions issued by workers’ compensation administrative law judges.”
(Dennis, supra, as quoted in Vazquez, supra, at p. 8.)
“The Workers’ Compensation Act is found in Divisions 4 and 4.5 of the Labor Code, as administered and enforced by the Division of Workers’ Compensation under the control of the Administrative Director, “except as to those duties, powers, jurisdiction, responsibilities, and purposes as are specifically vested in” the Appeals Board.”
(Dennis, supra, as quoted in Vazquez, supra, at p. 8, quoting Lab. Code, § 111.)
“The Appeals Board exercises all judicial powers vested in it by the Labor Code and may do all things necessary or convenient in the exercise of any power or jurisdiction conferred upon it by the Labor Code.”
(Dennis, supra, as quoted in Vazquez, supra, at p. 8, citing Lab. Code, §§ 111, 133.)
“the major function of the Appeals Board is regulation of the adjudication process by adopting rules of practice and procedure and issuing en banc opinions”
(Dennis, supra, as quoted in Vazquez, supra, at p. 8, citing Lab. Code, §§ 5307, 115.)
“The Administrative Director “exercise[s] the powers of the head of a department … [including] supervision of, and responsibility for, personnel, and the coordination of the work of the division. …””
(Dennis, supra, as quoted in Vazquez, supra, at p. 8, quoting Lab. Code, § 111; see Lab. Code, §§ 123, 127, 133.)
Cross-references: § 1.2 (en banc precedent); § 16.2 (identification requirements in practice).
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