If someone other than your employer caused your work injury, Arizona may give you a claim against that outside person or business. But the Arizona third party claim one year deadline can transfer control of that claim to the workers’ compensation carrier before the usual personal injury deadline arrives. You should have the injury date reviewed promptly, even when your workers’ compensation claim is already open.
Two clocks can apply after one work injury
A work injury can create two separate matters. Your workers’ compensation claim concerns benefits connected with your employment. A third-party claim may be available when a negligent person or business that is not your employer caused the injury.
For example, an outside driver, property owner, contractor, or product manufacturer may be a third party depending on the facts. The important point is that a third-party case is not the same as the workers’ compensation claim. It has a separate deadline structure under A.R.S. § 23-1023.
The ordinary Arizona personal injury statute of limitations is commonly described as a two-year period. That familiar two-year calendar can create a serious problem in a work-injury referral. Under the workers’ compensation third-party rule, you must pursue the third-party claim within one year of the injury. If you do not, the right to pursue the claim is automatically assigned to the workers’ compensation carrier.
This is the particular trap for a personal injury firm: a familiar two-year limitation calendar may be relevant, but it cannot replace the earlier work-injury review. A staff member or lawyer may correctly identify the two-year period and still miss the separate one-year issue. The one-year mark requires its own calendar entry, review, and plan. It is especially important when another party caused a third-party work injury claim.
Why this difference matters in practice
The one-year deadline is not merely an earlier reminder date. It can change who owns the right to move the third-party case forward. Waiting until the ordinary two-year deadline to decide what to do can leave the worker without control of the claim.
A workers’ compensation case also does not pause this concern simply because medical treatment continues, benefits are being paid, or the claim has not reached a settlement. When an injury involves a possible third party, treat the one-year date as an early, separate issue from the start.
What it means when the claim is assigned to the carrier
If the worker does not pursue the third-party claim within one year of the injury, A.R.S. § 23-1023 automatically assigns the right to pursue it to the workers’ compensation carrier. The carrier may then pursue the claim.
Assignment is a change in control, not a harmless technicality. The worker should not assume that the carrier will pursue the case in the same way the worker would, or that the worker can simply file later under the ordinary personal injury timeline. The carrier has its own interests and may decide whether and how to act on the assigned claim.
There may still be a way to restore the worker’s ability to pursue the case. As the one-year mark approaches, the worker or the worker’s counsel can ask the carrier for a written reassignment. A written reassignment restores the right to the worker and preserves the additional year. Carriers often prefer to sign a reassignment rather than litigate the third-party case themselves.
Do not rely on a conversation, an assumption, or an informal indication that the carrier will cooperate. The reassignment needs to be in writing. Our page about written reassignment of an Arizona third-party claim explains why that document matters.
When does day one start for this deadline?
The one-year period runs from the injury. For calendaring purposes, identify and record the date of injury immediately. Do not replace that date with the date you first speak with a lawyer, the date a workers’ compensation claim is accepted, the date medical care begins, or the date you learn all the details of the possible third-party claim.
This is particularly important where the accident report, initial medical records, referral materials, and workers’ compensation documents may use different dates or describe a range of events. Resolve any date question early rather than building the case plan around an unverified assumption.
If you are a worker, bring the earliest available records and information about the incident to a consultation. If you are referring a matter, provide the injury date and any potential third-party facts with the referral. An early review gives the legal team time to assess whether a third-party claim exists and whether written reassignment should be requested.
What if the one-year deadline is missed?
Once the one-year period passes without the worker pursuing the third-party claim, the right is automatically assigned to the workers’ compensation carrier. That is why the deadline deserves attention even when the third-party case is still being investigated.
It is not wise to assume a missed date can be fixed later. The worker may ask the carrier about a written reassignment, but the result depends on whether the carrier provides one. The safer course is to address the issue before the one-year mark, when the worker or counsel can request written reassignment as the deadline approaches.
A prompt review also helps avoid confusing the third-party deadline with workers’ compensation benefit issues. Benefits may be vital, but keeping a workers’ compensation claim open does not by itself keep the worker in control of the third-party claim. Arizona’s Work Injury Firm handles workers’ compensation cases only and can explain how the two matters fit together.
How the second year works after assignment
People often refer to a two-year personal injury period. In a work-injury third-party matter, the crucial distinction is who has the right to pursue the claim after the first year. After the worker does not pursue the claim within one year, the claim is assigned to the carrier, and the carrier may pursue it.
The worker therefore should not treat the second year as an automatic extension of the worker’s own control. The statute gives the carrier the assigned right unless it is restored to the worker through a written reassignment. When the carrier signs that reassignment, it restores the right to the worker and preserves the additional year.
This is a planning issue, not a reason to wait. Requesting reassignment close to the deadline can require coordination with the carrier and its representatives. Starting early leaves time to identify the proper party, discuss the request, and document the result in writing.
A workplace road collision is one setting where the timing issue can arise. If a vehicle collision happened while you were working, our Arizona work-related motor vehicle accident information may help you identify questions to raise. The key here is the work-injury third-party deadline, not the general subject of road accidents.
A practical calendaring checklist for firms
A personal injury firm, workers’ compensation practice, or referral source can reduce avoidable uncertainty by using a focused intake and calendar process:
- Record the injury date at intake. Put the date in the matter record and identify it as the potential A.R.S. § 23-1023 one-year deadline trigger.
- Screen for a non-employer cause. Ask whether an outside person or business may have caused the injury. Do not assume every work injury is limited to workers’ compensation.
- Create a separate one-year review. Do not rely solely on a standard two-year personal injury deadline. Calendar an early review well before the one-year mark.
- Confirm who is pursuing the claim. Document whether the worker is pursuing the third-party matter or whether the carrier’s assigned rights need to be addressed.
- Request reassignment in writing when appropriate. If the one-year date is approaching and the worker needs to retain the right to proceed, seek a written reassignment from the carrier.
- Save the written response. Keep the reassignment or other carrier response with the deadline record. Do not rely on a verbal understanding.
- Review lien issues before resolution. A third-party recovery can involve a workers’ compensation lien. Review Arizona workers’ compensation liens before finalizing a third-party resolution.
This checklist does not decide whether a third party is legally responsible. It does make sure the early deadline question is identified before it changes who can pursue the claim.
Frequently Asked Questions
Is the third-party deadline really one year if I was hurt at work?
If your work injury was caused by a negligent third party that was not your employer, A.R.S. § 23-1023 requires you to pursue the third-party claim within one year of the injury. This can apply even though people often think of Arizona personal injury claims as having a two-year period.
What happens if I do nothing for a year after my work injury?
The right to pursue the third-party claim is automatically assigned to the workers’ compensation carrier. The carrier may then pursue the claim. You should seek advice as soon as you see a possible third-party issue rather than waiting to see whether the carrier acts.
Can the carrier give my third-party claim back to me?
Yes, the worker or counsel can request a written reassignment as the one-year mark approaches. Written reassignment restores the right to the worker and preserves the additional year. Get the result in writing.
Does my workers’ compensation claim keep the third-party deadline open?
Do not assume that it does. The workers’ compensation claim and third-party claim are separate matters, and the third-party rule has its own one-year requirement. An open workers’ compensation claim does not eliminate the need to address the third-party deadline.
I am a personal injury firm. What date should I calendar first?
Calendar the date one year from the injury as a distinct A.R.S. § 23-1023 review point. Also track the ordinary personal injury timing, but do not let that later calendar replace the early work-injury deadline analysis.
Does a workers’ compensation lien change the one-year deadline?
A lien and the one-year assignment rule are different issues, but both can affect a third-party recovery. The carrier has a statutory lien against a third-party recovery to the extent of compensation and medical benefits it paid. Address the deadline first and evaluate lien questions before a settlement is finalized.
Speak with an Arizona workers’ compensation lawyer
If an outside person or business may have caused your work injury, do not wait to sort out the deadline on your own. Arizona’s Work Injury Firm, Snow Carpio & Weekley, PLC, practices workers’ compensation law only and serves injured workers in Phoenix, Tucson, Yuma, Flagstaff, Mesa, Glendale, Scottsdale, Mohave County, and Lake Havasu. Call (877) 370-5788 for a free consultation. There is no fee unless benefits are secured.
For a free consultation, contact the firm.