Workers’ Compensation · Primary-source case analysis

Pallas: Voluntary Longshore Payments Did Not Assign the Worker’s Third-Party Claim

By Aneeta Mishra and Timothy Chan

Published September 4, 2026

Pallas Shipping Agency, Ltd. v. Duris arose after a longshoreman accepted voluntary benefits and later sued the vessel charterer for negligence.

The employer paid without contesting liability

The employer filed Labor Department forms documenting voluntary payments, but no administrative hearing or compensation order occurred.

Section 33(b) used formal language

The assignment provision required acceptance under an award in a compensation order, not merely receipt of benefits.

The formal-order requirement protected an informed choice

Congress preserved time for a worker to assess third-party remedies before an irrevocable assignment.

The appellate judgment was affirmed

Because there was no formal award, the worker retained his claim and the case could proceed.

Key takeaways

• Obtain every payment form and compensation order.
• Calendar third-party deadlines independently.
• Distinguish voluntary payments from an award.
• Preserve evidence against potentially responsible third parties.