Kaiser Foundation Hospitals v. Workers' Comp. Appeals Bd

In Kaiser Foundation Hospitals v. Workers' Comp. Appeals Bd. (1985) 39 Cal.3d 57, the court concluded that "Reynolds stands for the proposition that when an employer fails to perform its statutory duty to notify an injured employee of his workers' compensation rights, and the injured employee is unaware of those rights from the date of injury through the date of the employer's breach, then the statute of limitations will be tolled until the employee receives actual knowledge that he may be entitled to benefits under the workers' compensation system." (Kaiser, at p. 63.) The court held that the remedy for the "breach of an employer's duty to notify of the employee's workers' compensation rights is a tolling of the statute of limitations if the employee, without that tolling, is prejudiced by that breach." (Id. at p. 64.) "If between the date of injury and the date the employer breaches, an employee gains the requisite actual knowledge of his or her workers' compensation rights, he or she will not be prejudiced by failure of the employer to notify him or her of those rights, and there is no reason to toll the statute of limitations even if the employer never advises him or her of his or her workers' compensation rights. If the employee remains ignorant of his or her rights past the time the employer breaches its duty to notify, the employee will be prejudiced from the date of breach until the employee gains actual knowledge that he or she may be entitled to benefits under the workers' compensation system." (Id. at pp. 64-65.) Moreover, the court held the burden of establishing the affirmative defense of statute of limitations is on the proponent of that defense. (Id. at p. 67, fn. 8.)