TERRY McCALL, Justice.
This is an appeal from a summary judgment in a suit arising from the processing of a workers' compensation claim. We affirm.
Craig Carpenter suffered an on-the-job injury on November 30, 2007. Liberty Insurance Corporation (Liberty) was the workers' compensation carrier providing coverage for Carpenter's claim. In January 2008, Liberty denied Carpenter's request for knee surgery based on its determination that the requested surgery would be treating a preexisting condition. Liberty subsequently requested the Texas Department of Insurance, Division of Workers' Compensation, (the Division) to name a "designated doctor" to examine Carpenter. See TEX. LAB.CODE ANN. § 408.0041 (West Supp.2011).
Southwest Medical Examination Services, Inc. (Southwest) is a company that provides various administrative services to companies and physicians involved in the
Following Dr. Stumhoffer's examination of Carpenter on May 9, 2008, representatives of Liberty and Carpenter participated in a Benefit Review Conference (BRC) on May 20, 2008.
Carpenter filed suit against Liberty, Dr. Stumhoffer, and Southwest on March 12, 2009. He alleged that the defendants were liable to him under theories of common-law bad faith, statutory bad faith, and fraud for the damages he allegedly incurred from Liberty's delay in paying benefits to him for five months. Carpenter subsequently amended his pleadings to include alleged violations of the Insurance Code and the Deceptive Trade Practices-Consumer Protection Act.
We review the trial court's summary judgment de novo. Valence Operating Co. v. Dorsett, 164 S.W.3d 656, 661 (Tex.2005); Provident Life & Accident Ins. Co. v. Knott, 128 S.W.3d 211, 215 (Tex.2003). A trial court must grant a traditional motion for summary judgment if the moving party establishes that no genuine issue of material fact exists and that the movant is entitled to judgment as a matter of law. TEX.R. CIV. P. 166a(c); Lear Siegler, Inc. v. Perez, 819 S.W.2d 470, 471 (Tex.1991). Once the movant establishes a right to summary judgment, the nonmovant must come forward with evidence or law that precludes summary judgment. City of Houston v. Clear Creek Basin Auth., 589 S.W.2d 671, 678-79 (Tex.1979). When reviewing a traditional summary judgment, the appellate court considers all the evidence and takes as true evidence favorable to the nonmovant. Nixon v. Mr. Prop. Mgmt. Co., 690 S.W.2d 546, 548-49 (Tex. 1985). The appellate court "must consider whether reasonable and fair-minded jurors could differ in their conclusions in light of all of the evidence presented" and may not ignore "undisputed evidence in the record that cannot be disregarded." Goodyear Tire & Rubber Co. v. Mayes, 236 S.W.3d 754, 755, 757 (Tex.2007).
The basis of Carpenter's causes of action is that Southwest should have disclosed its relationship with both Liberty and Dr. Stumhoffer when the Division named Dr. Stumhoffer as the designated doctor to examine him at Liberty's request. Carpenter contends that Southwest committed fraud and breached a duty of good faith and fair dealing by failing to disclose the relationship. He contends that Southwest had a duty to disclose the relationship under the Division's administrative rules, the Labor Code, the Insurance Code, and the DTPA. In this regard, 28 TEX. ADMIN. CODE § 180.21(m)(9) (2006) (Tex. Dep't of Ins., Div. of Workers' Comp., Div. Designated Doctor List) requires a designated doctor to notify the Division of a "disqualifying association" after his or her appointment.
We note at the outset that the Texas Supreme Court recently issued an opinion in Texas Mutual Insurance Co. v. Ruttiger, 381 S.W.3d 430 (Tex.2012), that affects this appeal. Ruttiger involved a lawsuit by an injured employee filed against his employer's workers' compensation carrier. 381 S.W.3d at 433. The carrier initially delayed paying benefits to the employee based upon its contention that his alleged injury did not occur at work. Id. at 434. Within a few months of the carrier's denial, the employee requested a Benefit Review Conference. Id. The employee and the carrier entered into a benefit dispute agreement at the conference wherein they agreed that the employee suffered a compensable injury. Id. The employee filed suit against the carrier while the workers'
The supreme court held that the regulatory scheme set out in the Workers' Compensation Act (the Act), as amended in 1989, precluded the injured employee's causes of action regarding the manner in which the carrier had handled the processing of his workers' compensation claim. Ruttiger, 381 S.W.3d 430; see TEX. LAB. CODE ANN. tit. 5 (West 2006 & Supp.2011). The court began its analysis by noting that the 1989 amendments to the Act contained significant changes, including reforms to the dispute resolution process. Ruttiger, 381 S.W.3d at 440. The court recognized:
Id. at 443 (internal citations omitted).
The court concluded that a separate cause of action under the Insurance Code alleging the untimely processing of a claim by a workers' compensation carrier would be inconsistent with the Act. Id. at 442. In this regard, the court acknowledged that the Act contained comprehensive guidelines for the timely resolution of claims. The court additionally noted that permitting a cause of action independent of the Act would undermine the Act's goal of promptly resolving claims because the employee would have an incentive to delay seeking redress in the administrative system in order to increase his damages. Id. at 442-43.
The holding in Ruttiger applies to the causes of action asserted by Carpenter. As was the case in Ruttiger, Carpenter is asserting a common-law cause of action for breach of the duty of good faith and fair dealing against Southwest by virtue of its relationship with Liberty. Under Ruttiger, this cause of action would not be viable against Liberty. Given the derivative nature of Carpenter's claim, we conclude that Ruttiger precludes a common-law claim for breach of the duty of good faith and fair dealing against an entity sued as a result of its affiliation with a workers' compensation carrier.
Ruttiger also establishes that Carpenter's other claims are precluded by the Act. The basis of his complaints is that Southwest had a duty to disclose the relationship. He relies on provisions of the administrative regulations and statutes governing the disclosure requirements of a designated doctor to contend that Southwest had a duty to disclose. As was the case in Ruttiger where the Act and its attendant regulations contained extensive guidelines and penalties for the prompt investigation of claims, the Act and regulations contain comprehensive measures regulating the applicable disclosure requirements. The Act also provides various administrative sanctions for the failure to comply with the disclosure requirements. See 28 TEX. ADMIN. CODE § 180.26 (2011) (Tex. Dep't of Ins., Div. of Workers' Comp., Criteria for Imposing, Recommending and Determining Sanctions; Other Remedies). Furthermore, the Act provides for the prompt resolution for disputes of this type. Carpenter presented his complaint concerning a perceived conflict of interest within two weeks after Dr. Stumhoffer examined him. Carpenter successfully obtained the disputed benefits within roughly the same time frame as the claimant in Ruttiger. Accordingly, we hold that the Act provides the exclusive dispute procedures for the claims asserted by Carpenter.
Moreover, Southwest's liability to Carpenter is precluded because Southwest had no contractual relationship with Carpenter. Southwest's relationship with Carpenter is quite similar to that of an independent adjuster. The Texas Supreme Court held in Natividad v. Alexsis, Inc., 875 S.W.2d 695, 698 (Tex.1994), that an independent adjusting firm does not owe an insured a duty of good faith and fair dealing. Citing Natividad, the court in Dear v. Scottsdale Ins. Co., 947 S.W.2d 908, 916-17 (Tex.App.-Dallas 1997, writ den'd), disapproved of on other grounds by Apex Towing Co. v. Tolin, 41 S.W.3d 118, 122-23 (Tex.2001), held that an independent adjusting firm cannot be liable to an insured for improper investigation and settlement advice regardless of whether the insured phrased his allegations as negligence, bad faith, breach of contract, tortious interference, or DTPA. See Crocker v. Am. Nat'l Gen. Ins. Co., 211 S.W.3d 928,
The judgment of the trial court is affirmed.