“Very thankful for everything they did for us. Always responsive, reassured us every step of the way and obtained a great result.”
Miguel Orellana
✦ Certified Specialist in Workers’ Compensation Law — Certified by the State Bar of California, Board of Legal Specialization ✦
Serving injured workers across California. Board-certified specialist; no fee unless we win.
By Eman Yazdchi, Esq. · Certified Specialist in Workers' Compensation Law, State Bar of California Board of Legal Specialization
In California, a Compromise & Release (C&R) is a lump-sum workers' compensation settlement that closes the claim including future medical care, while Stipulations with Request for Award keeps future medical care open and pays permanent disability over time. Yazdchi Law handles both settlement structures statewide.
A California Compromise & Release (C&R) is a lump-sum settlement that pays the worker the value of permanent disability under California Labor Code §4660 plus a negotiated cash value for future medical care, and closes the claim — including the right to future medical treatment under California Labor Code §4600. A Stipulations with Request for Award (Stipulated Award) pays permanent disability indemnity over time under California Labor Code §4658 but keeps future medical care open.
A California C&R is a lump-sum check that pays the worker the present value of permanent disability under California Labor Code §4660, the value of future medical care under California Labor Code §4600, the Supplemental Job Displacement Benefit voucher value under California Labor Code §4658.7, and any disputed back temporary disability or penalty claims under California Labor Code §5814. The C&R closes the claim — no future treatment is paid by the insurer once the C&R is approved by the WCAB judge under California Labor Code §4906.
A Stipulations with Request for Award pays permanent disability indemnity on the §4658 schedule — typically biweekly checks at the California Labor Code §4660 rating rate — and leaves future medical care open under California Labor Code §4600. The worker continues to receive treatment through the assigned Medical Provider Network for life, subject to Utilization Review under California Labor Code §4610. The trade-off is smaller upfront cash for an ongoing medical safety net.
The choice turns on the value of future medical care, the worker's age, and the worker's appetite for ongoing dealing with the insurer. A young worker with a serious orthopedic injury likely to need future surgery typically benefits from the Stipulated Award structure under California Labor Code §4600. An older worker with a stable injury and alternate health coverage may prefer the lump-sum certainty of a C&R closing the claim.
Under California Labor Code §4906, the WCAB judge approves every California settlement on the record before payment. The judge reviews the California Labor Code §4660 permanent disability rating supporting the dollar value, the future medical care valuation (for a C&R), the California Labor Code §4658.7 SJDB voucher treatment, the §4906 attorney fee, and the overall fairness of the structure.
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Tap to call →Last reviewed by Eman Yazdchi, Esq., May 2026.
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