Form 1 NATIONAL RAILROAD ADJUSTMENT BOARD Award No. 28217
THIRD DIVISION Docket No. SG-27874
89-3-87-3-597
The Third Division consisted of the regular members and in
addition Referee Dana E. Eischen when award was rendered.

(Brotherhood of Railroad Signalmen
PARTIES TO DISPUTE:
(The Long Island Rail Road Company



On behalf of L. Saunders for restoration of his name to the Seniority Rosters on the Long Island Railroad as it was on October 1, 1986, account of Carrier violated the current Signalmen's Agreement, as amended, when it, without cause, removed his name from all of its applicable Seniority Rosters on the Long Island Railroad and thereby deprived him of rights and benefits under the current Agreement. Carrier file (L. Saunders)."

FINDINGS:

The Third Division of the Adjustment Board upon the whole record and all the evidence, finds that:

The carrier or carriers and the employe or employes involved in this dispute are respectively carrier and employes within the meaning of the Railway Labor Act as approved June 21, 1934.

This Division of the Adjustment Board has jurisdiction over the dispute involved herein.



Claimant was employed as a Cable Splicer by the Carrier in a craft or class of employees represented by the Organization. On December 14, 1982, while working in a manhole on Atlantic Avenue in the Borough of Brooklyn, Claimant was struck and severely injured by a Consolidated Edison Company (ConEd) vehicle. Claimant suffered a punctured lung in addition to multiple severe injuries to his head, neck, back, ribs, right eye and right knee.

The Carrier paid Claimant sick pay benefits and medical expenses for his lengthy hospitalization, surgery and convalescence. The record contains a document dated February 9, 1983, which Claimant apparently executed, under conditions not indicated on the record, purporting to assign to the Carrier any compensation for lost earnings and medical expenses recovered or recoverable in claims or lawsui Form 1 Award No. 28217
Page 2 Docket No. SO-27874
89-3-87-3-597

The jurisdiction of this arbitration board is limited to determination of disputes arising out of the interpretation and application of the Collective Bargaining Agreement between the Carrier and the Organization. Therefore, aside from mentioning its existence in this record, we neither express nor imply any findings regarding the validity, force or effect of the purported assignment document.

On March 18, 1983, Claimant commenced a personal injury lawsuit against ConEd and its truck driver, seeking $2 million in damages. ConEd impleaded Carrier as a thir May 17, 1984, Claimant filed an FELA complaint against Carrier and the Carrier impleaded ConEd as a third party in that FELA action. By order of the Supreme Court, County of Queens, the personal injury action and the FELA complaint were docketed for a single trial.

At the trial, an orthopedic surgeon, a neurosurgeon and a psychiatrist all testified as expert w a Cable Splicer and probably was not trainable for other work. The driver of the ConEd truck also testified regarding his role in the accident. While the case was still in trial, before ConEd or the Carrier had presented any evidence, ConEd made an offer attorney accepted the settlement from ConEd, and the FELA claim against the Carrier was dropped. On September 30, 1986, the Court approved the terms of the settlement under which ConEd, through its insurance companies, paid the entire $850,000 to Claimant and the Carrier paid nothing. As part of that stipulated settlement, the FELA complaint by Claimant against the Carrier was discontinued without interest, costs, disbursements or payments of any monies by one side to the other. The cross-impleader actions of ConEd and the Carrier also were withdrawn u from the $850,000 paid to Claimant by ConEd, the sum of $9,750 would be paid over to the Railroad Retirement Board and the sum of $115,427.34 (representing $104,712.15 for sick leave wage payments and $10,715.19 for medical benefits) would be held in escrow, pending prompt disposition of the Carrier's claim of lien or assignment.

Approximately one week after the settlement of the lawsuit, Carrier's Director of Personnel Relations wrote to Claimant on October 8, 1986, as follows:




Form 1 Award No. 28217
Page 3 Docket No. SG-27874
89-3-87-3-597
organization. However, it is the Carrier's position
that you are estopped from returning to service due
to this settlement under long-standing principles
enunciated by the National Railroad Adjustment Board
and Public Law Boards, including Public Law Board No.
3001, Award No. 2.
It is also my obligation to inform you that in
accordance with Section 21 of the Sick Leave Allow
ance Agreement, The Long Island Rail Road asserts a
lien for $104,712.15 for wage payments. Pursuant to
your assignment of February 9, 1983, The Long Island
Rail Road asserts the right to $10,715.19 for medical
benefits against your settlement. Your remittance in
the amount of $115,427.34 from the funds being held
in escrow by your attorney should be forwarded to me
immediately.
We are prepared to expedite the arbitration of
any issues which you may desire to contest."

Following an appeal hearing requested for Claimant by the Organization's General Chairman, Carrier's Director-Labor Relations announced his decision in the following detailed letter of November 25, 1986, (emphasis in original):




Form 1 Award No. 28217
Page 4 Docket No. SG-27874
89-3-87-3-597





















'Rule 32

Disabled Employee -

Placement of And Restrictions from Bidding



Form 1 Award No. 28217
Page 5 Docket No. SG-27874
89-3-87-3-597
(b) A permanently disabled employee placed in
accordance with paragraph (a) above shall be com
pensated at the rate of the position to which as
signed and may not exercise seniority to advertised
positions or vacancies.'

'RULE 34

Temporarily Disabled Employee -

Placement Of, Restriction From Bidding,

Displacement Of






        The above-cited rules refer to an employee 'temporarily disabled,' however, as stated in Dr. Kelban's testimony and other supporting medical evidence, Claimant's condition most definitely is that of a permanent nature.


        Dr. Kleban testified further that claimant was not a prospect for rehabilitation even to the extent of working in an office job. Pages 44 and 45 of the trial transcript state:


          'Mr. Weitz to Dr. Kleban:


        Q. And Doctor, these cognitive deficits, in your

        opinion, would they constitute a vocational

        impediment for this man in retraining?

        A. Retraining for?


        Q. Let's say office work, somebody wanted to give

        him an office Job?

        A. Yes in my opinion, they would.

Form 1 Award No. 28217
Page 6 Docket No. SC-27874
89-3-87-3-597

        Q. Doctor --


          MR. LEONARD: Your Honor, I didn't hear the last

          answer.

          THE COURT: I can't hear you.

          MR. LEONARD: I didn't hear the last questions and

          last answer.

          THE COURT: I believe the answer was that he

          suffers from cognitive deficits to preclude him

          from being trained for other work, is that what

          you said, Doctor?


          THE WITNESS: Yes.'


                                (Our Emphasis)


        Additional testimony of Dr. Kleban points out the 'permanent' nature of Claimant's disability. Note the pertinent testimony on pages 47-48 of the September 24, 1986 court proceedings:


            'Mr. Weitz to Dr. Kleban:


          Q. One last question, Doctor. The organic, the

          brain injury that he suffered you told us

          defined by this word cerebral concussion is

          that permanent in nature, is that injury for

          the rest of his life?

          A. I may have to ask you for a clarification.

          The deficits that he suffered as a result

          of that injury, many of them are still there.

          There is no knowing, but they have been there

          for what is it almost four years which in

          terms of predictive value makes one think

          they're going to stay there if the haven't

          cleared up by now. Sometimes these things

          clear up quickly within weeks or months

          they're still there.


          Q. What is, in this case, the reasonable

          expectation medically?

          A. Based on what I just said the reasonable

          expectation that it's not going to get any

          better.


          Q. He'll have it for the rest of his life? A. Yes.'


                              (Our Emphasis)

Form 1 Award No. 28217
Page 7 Docket No. SG-27874
89-3-87-3-597
Concurring medical opinion was supplied by
several other doctors. On numerous occasions, Dr.
Milford Blackwell, M.D., P.C. examined Claimant and
determined that he was permanently disabled. In his
reports to the Carrier, Dr. Blackwell stated the
following:
'DISABILITY: In my opinion, the patient is
totally disabled. He is unable to sustain any
substantial, gainful employment.'
(Our Emphasis)

        Dr. Fred Mantas, M.D., F.A.C.S., also treated Claimant on various dates and stated the following in his April 25, 1985 memo to Carrier:


            'Mr. Larry Saunders is being treated for multiple injuries sustained in a job related accident. He sustained a fracture of the Right clavicle, internal derangement of the right knee, a cerebral concussion fracture of the right humerus, Hemopeumo thorax, sprain of the Lumbosacral spine and Cervical spine.


            He is under Psycriatric care and has multiple limb and joint pains, respirator difficulties.


            He is totally disabled for work.'


                                (Our Emphasis)


        On May 15, 1984 Claimant was seen by Dr. Morton Marks, M.D. for a comprehensive neurological evaluation. Dr. Mark's June 5, 1984 report states:


            'Evaluation and Opinion


            . . . He is completely disabled from carrying out his normal occupational activity.'


                                (Our Emphasis)


        Based on the fact that numerous medical doctors have determined that Claimant could never perform the duties of his former position nor be rehabilitated for other employment, Claimant received an $850,000 settlement prior to the conclusion of the presentation of his case, and prior to Con E Carrier presenting their defense.

Form 1 Award No. 28217
Page 8 Docket No. SG-27874
89-3-87-3-597
Having succeeded through sworn testimony in
establishing an inability to ever again perform
cable splicer duties or any other work, Claimant is
estopped from now or in the future claiming that he
is capable of performing those same duties. In this
respect note the opinion of the United States Court
of Appeals, Third Circuit, in Scarano vs. Central
Rail Road of New Jersey, 203 F2d 510 (1953), wherein
a case almost identical to Claimant's was litigated.
The Court stated, in pertinent part, the following:
'The particular facts and circumstances we
rely on here are these. Plaintiff asserted in a
judicial proceeding, and introduced evidence
tending to prove, that he was not able and would
not be able to work. He claimed damages for this
lost ability to earn wages. As a result of that
claim, and by the aid of that judicial proceed
ing, plaintiff obtained from defendant a sum of
money which by its size considering plaintiff's
age and earning record, indicates that it was
intended to recompense him for his loss of abil
ity to earn wages for at least a substantial
future period. Now he asks the same court to
hear him on a claim that less than a month after
this compensatory recovery he was physically
rehabilitated and entitled to be restored to duty
and pay status by the defendant on peril of a new
compensatory recovery for loss of wages from the
date of requested reemployment. Not only does
plaintiff find successive claims on inconsistent
facts, but he now seeks a duplicating recover
if we are to respect the legal theory of the
earlier claim in settlement of which he received
a substantial sum. In these circumstances we
think it was proper for the District Court to
refuse to allow plaintiff to litigate a claim in
contradiction of his earlier position.'
(Our Emphasis)
Form 1 Award No. 28217
Page 9 Docket No. SC-27874
89-3-87-3-597
In a claim that was adjudicated on this property
and with your Organization which is.similar in fact,
Public Law Board No. 3001, in Award No. 2, stated the
following:
'Referee J. Seidenberg observed in a similar
case that "A jury does not award a verdict of a
quarter of a million dollars to plaintiffs who
are temporarily or casually injured" (Public Law
Board 1660, Award No. 21, Case No. 18 involving
BRAC and The Long Island Rail Road). Also see
Public Law Board No. 1735, Award No. 1, in which
Referee A.T. Van Wart, dealing with a pre-trial
settlement for $160,000, observed that "The size
of the pre-trial settlement was of such substan
tial nature as to deem that it included therein
Claimant's prospective loss of earning capabil
ity, with Carrier, for many years to come." So
much more compelling is a $670,000 settlement.
Therefore, from the nature of the Jury's
action and size of the verdict this Board con
cludes that Claimant is estopped from seeking
restoration of employment with Carrier.'
(Our Emphasis)

        Likewise, in another award rendered on this property, Public Law Board No. 3543 (SMWIA vs. LIRR) in Award No. 7 ruled on the administrative termination of a Sheet Metal Worker who was injured on Carrier's property and determined to be unable to perform his duties. The jury, in his FELA suit, returned an award in favor of Claimant in the amount of $450,000, which was reduced to $225,000 due to contributory negligence by the employee. Referee Fletcher ruled in the following manner:


          'There are a number of decisions and awards of various Railway Labor Act tribunals that have concluded that an injured employee is collaterally estopped from urging that he has been wrongfully discharged by a carrier when he was not allowed to return to service following receipt of a monetary verdict in an FELA case wherein the employee through his attorney and expert medical testimony, persuaded the court and/or Jury that he was entitled to compensation because he was permanently incapacitated from performing his regular duties

Form 1 Award No. 28217
Page 10 Docket No. SG-27874
89-3-87-3-597
. . . weight of authority, both arbitral and
Federal Court decisions, support a conclusion that it
is not an Agreement violation to deny an employee
permission to return to service after he has pre
vailed in an FELA action wherein it was contended
that he was permanently disabled as a result of an
on-duty injury. What remains to be examined then is
whether or not it is an Agreement violation to effect
an administrative termination, which constitutes
removal of an individuals name from the seniority
roster, as was done in the Bates grievance . . . .
,t

          From all of the foregoing it is clear that Adjustment Board and Federal Court decision uniformly hold that an employee is estopped from asserting a right to return to work when the fact circumstances match those of Bates, our Claimant here. Accordingly, when an employee is demonstrably estopped from asserting a right to return to work it is our view that administrative termination is not inappropriate and does not breach just cause standards as contained in the Agreement. The administrative termination of Mr. Bates will not be disturbed.'


                                (Our Emphasis)


        In a recent case adjudicated before the United States District Court, in Barnard Morawa v. Consolidated Rail Corporation and The Brotherh Maintenance of Way Employees, /i84 - CV - 05194 - DT, 5/30/86, the plaintiff in FELA action was awarded $400,000, reduced by his contributory negligence to $200,000. He subsequently asserted that he was able to work, a position inconsistent with his FELA allegations that he was permanently disabled. The Cou said:


          'The first issue before this Court is whether the doctrine of judicial estoppel should be applied in a subsequent proceeding when a party has previously asserted an inconsistent position in a previous litigation. The doctrine of Judicial estoppel is designed to protect the integrity of the judicial process. Allen v. Zurich Ins. Co., 667 F.2d 1162, 1166 (4th Cir. 1982); Scarano v. Central RR. Co., 203 F.2d 510, 512-13 (3rd Cir.

Form 1 Award No. 28217
Page 11 Docket No. SG-27874
89-3-87-3-597
1953). The doctrine applies to a party who has
successfully asserted a position in a prior pro
ceeding and estops that person from asserting an
inconsistent position in a subsequent proceeding.
Smith v. Montgomery Ward 5 Co., 388 F2d 291, 292
(6th Cir. 1968), _cert. denied, 393 U.S. 871
(1968). See also Edwards v. Aetna Life Ins. Co.,
690 F.2d 595 (6th Ti-r.1982). As the Supreme
Court stated, "Where a party assumes a certain
position in a legal proceeding, and succeeds in
maintaining that position, he may not thereafter,
simply because his interests have changed, assume
a contrary position, especially if it be to the
prejudice of the party who has acquiesced in the
position formerly taken by him." Davis v. Wake
lee, 156 U.S. 680, 689, (1895).'
You also argued that a Board of Doctors should be
established in accordance with Rule 57 of the Agree
ment. Rule 57 provides for the establishment of such
a board when there is a question as to the medical
condition of the employee. In this case, there is no
question. Claimant's own doctors said that he is
permanently disabled and the Carrier does not disa
gree. Therefore, the establishment of such a Board
would be unnecessary. It is clear from the sworn
testimony of Dr. Kleban and the reports of other
doctors, that Claimant suffered a permanent disa
bility as a result of which he would not be able to
perform his job duties, or any other work.
In Public Law Board No. 1660, Award No. 21 (BRAC
vs. LIRR), Referee Seidenberg ruled:
'The difficulty in complying with the
Claimant's request for a Board of Physicians is
that there was a full blown court proceeding on
the issue of the Claimant's disability and a jury
found after hearing competent and substantial
medical evidence that the Claimant was substan
tially disabled. A jury does not award a verdict
of a quarter of a million dollars to plaintiffs
who are temporarily or casually injured.
The Board finds it fatuous for the Organ
ization to contend that medical opinion offered
under oath at a legal court proceeding is not
valid proof. .
Form 1 Award No. 28217
Page 12 Docket No. SG-27874
89-3-87-3-597
The Board is constrained to note that while
the Organization contends on page 13 of its
Submission that "medical opinions do not estab
lish permanent disability," it seeks the estab
lishment of a medical board to determine the
physical condition of the Claimant. If medical
opinions have no evidenciary value then it is
difficult to appreciate the need for a medical
board. .
The Board finds that there is adequate com
petent medical evidence, which has been evaluated
and assessed by a jury empanelled to make such a
judgment, to find that the Claimant was disabled
to the extent that he could not execute the
normal duties and functions of his assigned job.
The Carrier was not arbitrary or capricious in
removing him after a duly noticed hearing that
produced credible evidence to this effect.'
(Our Emphasis)

        In Claimant's case, the medical evidence presented by Claimant's own physicians was so overwhelm before it went to the jury.


        Your Organization further maintains that there exists no lien against Claimant's settlement. Carrier disagrees. Section 21 of the Sick Leave Agreem


            'In the event that an employee commences any action or proceeding against the Carrier, on the basis of an alleged injury received in the performance of duty for which sick leave allowance hereunder has been paid by this Company then the Carrier shall have a lien against and is entitled to deduct from any recovery or settlement resulting from such action or proceeding up to the extent


                                (Our Emphasis)


        In accordance with Section 21 of the Sick Leave Agreement, Carrier asserts a lien for $104,712.15 for wage payments. Section 21 provides that the Carrier has a lien against sick leave payments against 'any recovery or settlement' where the employee has commenced any action or proceeding as a result of his injuries. Pursuant to Claimant's assignment of

Form 1 Award No. 28217
Page 13 Docket No. SG-27874
89-3-87-3-597

          February 9, 1983, Carrier asserts the right to $10,715.19 for medical benefits against the settlement. Claimant's remittance in the amount of $115,427.34 from the funds being held in escrow by Claimant's attorney is payable to Carrier imme


          Based on the aforementioned reasons, this is to advise that your appeal is denied in its entirety."


The Claim was not resolved on the property and eventually was bifurcated on appeal to this Board notice of intent only on the question of Claimant's asserted right to return to service under Rules 32, 34 and 57 of the Agreement. That Claim is now before us for determination.

        The other issue of Carrier's claim of lien or recoupment under Rule

76 was not appealed to the Board by the Organization. However, through his
private attorney, Claimant as an individual did bring that aspect of the case
to the Board on his own behalf via a separate timely and proper ex parts
submission. See Stevens v. Teamsters Local 707, 504 F.Supp. 332 (W. D.
Washington, 1980); Patterson v. Chicago and is-in Company, 50 F.Supp. 334 ( I11, 1943). The latter claim is decided by us in a separate companion deci
sion.

In this Award, we deal only with the Claim for reinstatement to the seniority roster under Rules 32, 34 and 57:

          "Rule No. 32 - Disabled Employe, Placement of and

          Restrictions From Bidding


          (a) By written agreement between the General Chairman and the Carrier a permanently disabled employe holding seniority rights in the Communication and Signal Department may be assigned to any position covered by this Agreement, provided he is capable of performing the service. An employe removed to permit such placement shall exercise seniority, within 10 days from the date removed, in accordance with Rule No. 61.


          (b) A permanently disabled employe placed in accordance with paragraph (a) above shall be compensated at the rate of the position to which assign positions or vacancies."

Form 1 Award No. 28217
Page 14 Docket No. SG-27874
89-3-87-3-597
"Rule No. 34 - Temporary Disabled Employe, Placement
of, Restriction From Bidding, Dis
placement Of
The provisions of Rule Mos. 32 and 33 shall also
be applicable to employes who by reason of temporary
disability are unable to perform their regular duties
and shall continue as such employes only so long as
such disabling inability continues. By agreement
between the General Chairman and the Carrier the
disabling condition may be found to be ended, or at
the request of either of them, if they do not agree,
the provisions of Rule No. 57 shall be invoked to
determine whether the employe's temporary disability
has terminated."
"Rule No. 57 - Physical Fitness - Determination of -
Board of Doctors
(a) When an employe covered by this Agreement has
been removed from his position on account of his
physical condition and the General Chairman desires
the question of his physical fitness to be decided
finally before he is permanently removed from his
position, the case shall be handled in the following
manner:
(1) The General Chairman shall bring the case to
the attention of the Carrier. The Carrier
and the General Chairman shall each select a
doctor to represent them, each notifying the
other of the name and address of the doctor
selected. The two doctors thus selected
shall confer and appoint a third doctor.
(2) Such Board of Doctors shall then fix a time
and place for the employe to meet them. Af
ter completion of the examination they shall
make a full report in duplicate, one copy to
be sent to the Carrier and the General Chair
man.
(3) The decisions of the Board of Doctors on the
physical fitness of the employe to continue
in his regular occupation shall be final, but
this does not mean that a change in physical
condition shall preclude a re-examination at
a later time.
Form 1 Award No. 28217
Page 15 Docket No. SG-27874
89-3-87-3-597
(4) The doctors selected for such Board shall be
experts in a disease or injury from which the
employe is alleged to be suffering, and they
shall be located at a convenient point so
that it will be necessary for the employe to
travel on a minimum distance and, if poss
ible, not to be away from home for a longer
period than one day.
(5) The Carrier and the Brotherhood of Railroad
Signalmen of America shall each defray the
expense of their respective appointees. At
the time the report of the Board of Doctors
is made, a bill for the fee and traveling
expenses if there are any, of the third
appointee shall be made in duplicate, one
copy to be sent to the Carrier and one copy
to the General Chairman. The Carrier and the
Brotherhood of Railroad Signalmen Local 56
shall each pay one-half of the fee and tra
veling expenses of the third appointee.
(b) When as a result of examination by a Board of
Doctors established under the provisions of this
Rule, an employe is restored to service, such report
of the Board of Doctors shall not constitute a basis
for compensation claims for the period during which
such employe was held out of service. In such case,
however, the employe shall be returned to service
with reasonable promptness after the report of the
Board of Doctors is received."

We have studied the voluminous record in this case with care and conclude that the Claim must be denied. Less than nine (9) months after the trial, the Organization, in support of its position, offered notes from the same physicians who testified at the trial as to Claimant's permanent disability, that Claimant had our considered judgment, the doctrine of estoppel plainly bars this Claim. See Award 21 of PLB 1660; First Division Award 6479; Second Division Award 9921; Third Division Awards 6215 and 23830. See also Scavano v. Central Railroad of New Jersey, 203 F.2d 510 (Burns, 1953) and -Davis _v. Wakelee, 156 US 680, 689 (1895). Of particular significance is the decision in PLB 3001, Award No. 2, involving these same two Parties in a relatively similar dispute:

          "It has long been established in many forums that having recovered a verdict for loss of future earnings due to permanent injury a Claimant cannot later take an inconsistent position seeking reemployment. He is estopped from so doing, his recovery having acted to end his employment.

Form 1 Award No. 28217
Page 16 Docket No. SG-27874
89-3-87-3-597

          Scarano vs. Central RailRoad of New Jersey, 203 Fed.2nd 510 (1953) and the numerous awards since relying thereon. In determining whether this type of estoppel applies to the instant matter two factors must be considered: a) the nature of the claim upon which the verdict was rendered

          and b) the size of the verdict. * * *"


With this record it cannot be disputed that the thrust of Claimant's entire personal injury case and plea to the jury was for permanent disability. Perhaps the magic word "permanent" was not mentioned by Claimant's attorney, but we need not rely here on any single word when the Claimant's position focused with such unalloyed clarity on the end of his employment with the railroad.

Further support for this conclusion is found in the measure of damages. As a guide, Claimant's a damages over the years to be considered stated that the jury could come up with a figure of "a million, four, or a million, or $850,000."

        The Majority in Award 21 of PLB 1660 observed in a similar case that

...A jury does not award a verdict of a quarter of a million dollars to plaintiffs who are tempo No. 1735, Award No. 1, Case No. 1, dealing with a pre-trial settlement for $160,000, wherein it was observed "...that 'The size of the pre-trial settlement was of such substan come.' So much more compelling is a $670,000 settlement."

Therefore, from the nature of the jury's action and the size of the verdict this Board concludes that Claimant is estopped from seeking restoration of employment with C
                        A W A R D


        Claim denied.


                          NATIONAL RAILROAD ADJUSTMENT BOARD

                          By Order of Third Division


Attest:
        Nancy J. D -Executive Secretary


Dated at Chicago, Illinois, this 4th day of December 1989.