ERIC F. MELGREN, District Judge.
Plantiff Lindel Allen Goode filed this diversity action against Defendant Employers Mutual Casualty Company alleging that he was owed uninsured motorist benefits under his insurance policy with Defendant. The parties have settled their dispute. Plaintiff now moves for an order dismissing the case and holding that Plaintiff's employer, Exxon Mobil Corporation ("Exxon"), does not have a valid workers' compensation lien against the settlement proceeds (Doc. 46). Because there is no currently justiciable case or controversy between Goode and Exxon, the Court denies his motion.
Plaintiff was involved in a motor vehicle accident with another vehicle in March 2013. At the time of the accident he was working in the scope of his employment with Exxon. Plaintiff filed a workers' compensation claim against Exxon and its insurer, and that case settled in April 2018 for $187,557.94. Additionally, the other driver's insurance carrier paid its policy limits of $50,000 to Plaintiff.
Plaintiff had an insurance policy on his vehicle through Defendant, and on March 3, 2018, Plaintiff filed this lawsuit alleging that he was owed uninsured motorist benefits under the policy. On August 9, Exxon sent Defendant's counsel a letter informing it of Exxon's workers' compensation lien in the amount of $76,468.06 in medical expenses and $101,164.30 in indemnity and requesting notice of any third-party action.
In April of 2019, Plaintiff's counsel and Exxon's counsel exchanged several emails regarding Exxon's alleged workers' compensation lien, arguing whether such lien even exists and whether Plaintiff is required to protect it. In one email, Plaintiff's counsel informed Exxon that if it intended to assert its lien, it should intervene in this case. Exxon, however, never moved to intervene.
On June 11, 2019, Plaintiff and Defendant settled their dispute. Under the terms of the settlement, Plaintiff agreed to dismiss all claims against Defendant arising from the accident in exchange for payment of a confidential sum. Plaintiff now moves for an order dismissing this case with prejudice and holding that Exxon's alleged workers' compensation lien is invalid, void, and unenforceable, and does not attach to Plaintiff's settlement. Defendant does not oppose Plaintiff's motion. Plaintiff did not send a copy of his motion to Exxon's counsel, asserting that he has no obligation to do so under Kansas law.
Plaintiff asks this Court to issue an Order stating that Exxon's alleged workers' compensation lien is invalid and does not attach to Plaintiff's settlement proceeds even though Exxon is not a party to this lawsuit. According to Plaintiff, this Court has the authority to make such an order under the Kansas Supreme Court's decision in Smith v. Russell.
Plaintiff's reliance on Smith is entirely misplaced. Smith deals with the timeliness of filing a motion to intervene to assert a workers' compensation lien under K.S.A. § 44-504 (the statute governing workers' compensation liens). It does not stand for the proposition that a court may invalidate such lien when the employer is not a party to the lawsuit. Furthermore, unlike the workers' compensation insurer in Smith, Exxon has not moved to intervene in this case. In fact, other than sending its August 9, 2018, letter and several cursory emails to Plaintiff's counsel, Exxon has taken no action to file its lien against any insurance proceeds Plaintiff may receive.
More importantly, the Court cannot issue an order invalidating Exxon's alleged workers' compensation lien because it does not have subject matter jurisdiction to do so. Article III of the United States Constitution gives federal courts the power to exercise jurisdiction only over "[c]ases" and "[c]ontroversies."
Finally, Plaintiff also moves the Court for an order dismissing this case with prejudice. Plaintiff has submitted a proposed Order to the Court which states that the Court has reviewed and approved the parties' settlement. Plaintiff has not, however, provided the settlement agreement to the Court for review. Without reviewing this agreement, the Court cannot approve it. To avoid this issue, the Court directs Plaintiff to Federal Rule of Civil Procedure 41(a)(1). This rule allows a plaintiff to dismiss an action without court order by filing a stipulation of dismissal signed by all parties who have appeared in the case.