Award No. 2
co ~~\`~ ,Q~o Case No. 1
r9 PQIS,.
PUBLIC LAW BOARD N0. 269
S
PARTIES UNITED
TRANSPORTATION UNION
DISPUTE
(formerly Brotherhood of Railroad Trainmen)
and
THE ATCHISON.. TOPEKA
AND SANTA FE RAILWAY COMPANY
(Western Lines-Northern and Southern Divisions)
STATEMENT OF CLAIM Request that Brakeman G. C. Hampton's nakne be
placed on the Southern Division seniority
roster for Trainmen-Yardmen, District
No.
2;
and he be allowed pay for all time lost beginning July 24, 1967, and continuing until
returned to service, account being mishandled
by not being returned to the seniority roster
and allowed to take physical examination to
determine his physical qualifications for returning to service.
FINDINGS: The Claimant was severely injured on April 20,
1960 in the course of his employment by the
Carrier, incurring a herniated disc in his
lower spine and a muscular disability of his right leg commonly
called "drop foot". He sued the Carrier for $125,000.00 and on
September 19, 1961, the jury awarded him damages in the sum of
$100,000.00; on appeal the judgment was affirmed, and was paid on
December 3, 1962. with $$,32$.00 interest.
On May 7, 1965 at Claimant's request General
Chairman John
H.
Phillips informed Carrier's General Manager, 0. H.
Osborn, by letter that Claimant had recovered from his injuries and
asked to return to work. This request the general manager denied in
a letter in which he stated:
"Mr. G C. Hampton claimed injury in a derailment
on April 20, 1960. Subsequently, he filed suit
against this company for damages for permanent in-
uxy and obtained judgment in the amount of
100,000.00, which judgment together with interest
thereon in the amount of x$,328.00 was paid on
December 3, 1962.
"In his suit, Mr. Hampton presented evidence of
permanent injury sufficient to incapacitate him
from the performance of work as a brakeman or any
other kind of work requiring him to perform physical
service, all of which resulted in the payment to
Mr. Hampton for his loss of future ability to perform
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work for this company, and which now estops him
from claiming any right to perform service for this
company.
"You are, therefore, advised that since Mr. Hampton
has been paid for the loss of his future earning
capacity, his request for return to service is denied."
The general chairman then requested that Claimant
be given a physical examination by Carrierts chief physician "to determine if he has recovered sufficiently to permit him to return to
service as a Trainman". This request was denied on June $, 1965.
Claimant's name did not appear on the seniority
list of January 1, 1966, and much correspondence and numerous conferences followed on requests of General Chairman Phillips and VicePresident R. D. Jones of the Organization that Claimant's name be
restored to the seniority list and that he be given a physical examination to determine his fitness to return to service as a brakeman.
These requests were repeatedly denied, - finally by General Manager
Stuppi in a letter of August 29, 1967 to Vice-President Jones in
which he said:
"As stated during our discussion of this case, Mr.
Hampton alleged a back injury on April 20,1960, and
subsequently filed suit against this company for
damages for permanent injury, following which he
was accorded a $100,000 allowance, together with
interest thereon in the amount of $$,32$.60 based
upon his testimony of permanent disability, which
was corroborated by the testimony'of his doctor,
and urged upon the Court by his lawyer. Based upon
these representations of total disability to perform
the necessary service required in his normal occupation as a brakeman or any other kind of work requiring him to perform physical service, it is our
position he is no longer an employe of this Company
due to having estopped himself from his former employment status by the representations made sometime
ago.
"Since Mr. Hampton is no longer an employee in our
service, the Agreement providing for physical examination of employes by a three-doctor board is not
applicable to him. Furthermore, there can be no
dispute subject to adjudication by a Public Law Board
under the provisions of the Railway Labor Act, as Mr.
Hampton's present status is outside of and has no
reference to the Collective Bargaining Agreement.
"The two alternatives proposed by you are accordingly
declined."
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General Chairman Phillips suggested a further
conference, and the general manager replied on September
2, 1967:
"While I have no objection to a further discussion
of this item in conference with you and Vice
President Jones if you so desire, our position was
outlined in my letter to Mr. Jones of August
29,
1967.
"As to docketing this item on the next P.L. Board
along with a number of unsettled cases as mentioned
by you, our position in this request was also outlined in the last sentence of the penultimate paragraph of my letter of August
29, 1967."
This Public Law Board No.
269
was eventually
established, with Dr. Murray M. Rohman, Professor Industrial Relations at Texas Christian University, as procedural neutral. The
Carrier withdrew its contention that Claimant was not entitled to
a hearing by a board under the Railway Labor Act, but contended
that its issue of estoppel was not properly within the jurisdiction
of a Board under that Act. This objection was based upon federal court
decisions holding that the issue of a claimant's estoppel by suit
for and recovery of damages on a claim of permanent disability to
perform the duties of his railway employment was not a question of
right under a labor agreement, but a question of law paramount to
rights otherwise existing under the labor agreement. The Organization pointed out that the Carrier had not raised that contention
in NRAB cases. The Carrier repbed that when NRAB awards were enforceable only by resort to a federal court it was not necessary to
raise that objection before the Board, since it could be raised in
federal court; but that it is now necessary because of the
1966
amendment of Section 3 First (p) of the Railway Labor Act which
provided that in any federal court suit to enforce an award, "the
findings and order" of the Board "shall be conclusive on the parties".
It therefore moved to dismiss the matter upon the grounds that the
estoppel issue is a matter of law and not of contractual right under
the labor agreement and that under Section 3 First (i) of the Railway
Labor Act such boards, jurisdiction is limited to disputes "growing
out of grievances or out of the interpretation or application of
agreements concerning rates of pay, rules, or working condictions,"
etc.
The argument is that in claiming and recovering judgment for a
total and permanent loss of ability to perform his work for the
Carrier, the Claimant is virtually in the position of having voluntarily
resigned from its service and having relinquished any rights he might
have under the labor agreement.
In accord with awards of the procedural neutrals
of Public Law Boards Nos.
169
and
296
the procedural neutral of
this Board held the question of estoppel properly referable to this
Board, which therefore proceeded to hear the matter on its merits in
the Carrier's conference room at Fort Worth on November
26, 1969.
The
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proceedings were unofficially reported at the Carrier's expense, and
copies of the transcript were promptly delivered to the members of
the Board.
The current labor agreement as of July 24,
1967,
and the award of the procedural neutral herein were introduced as
joint exhibits.
The Carrierfs exhibits, which were annexed to
its submission, are as follows:
Exhibit "A": Pages 15 and 33 of the trial
transcript in Claimant's damage action against the Carrier, in which
he stated that his employment as head brakeman necessitated his
being out in all kinds of weather and required good physical condition, and in response to his attorneys' questions concerning the
effect of his injuries, testified as follows:
"It has crippled to an extent I cant do anything. What I say by anything is get around
freely like I used to. It has me crippled to
where I hurt constantly, and I have no use of
my right foot. I guess that about covers it."
Exhibit "B": A statement by Claimant's physician,
Rogers K. Coleman, M.D., dated April 20,
1961,
in which he said:
"It is my impression that Mr. Hamrton is completely,
totally, and permanently disabled from returning
to his former position as an operating employee of
the Santa Fe Railway Company."
Exhibit "C": Pages $0, 104 and
106
of the trial
transcript, which included the following questions and comments by
Claimant's attorney, and answers by Dr. Coleman:
"Will you tell this Court and the jurors here
whether or not, in your opinion, Mr. Hampton
will ever be able to return to that occupation
as a brakeman, or, for that matter, any occupation requiring manual labor, or lifting, twisting,
bending, sitting, for long periods of time?"
"I doubt very seriously that he ever will be able
to return to that occupation, either as a brakeman,
or any occupation that requires him to lift weights
of any appreciable size, or to do repeated bending
over and over all day long."
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"Now, Dr. Coleman, you stated awhile ago that while -I believe this is correct -- while no one could tell
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with any degree of certainty about this foot drop,
it still has a doubt, at least, and it was your
opinion that he could not return to any duties as
a brakeman or similar work, is that correct?"
"That's correct."
"You are not testifying, however, doctor, are you,
that there is nothing at all in the way of holding
a job or earning money that this man could not do.°
"That's correct. There is some things he will be
able to do."
"All right. Now, there are some things he will be
able to do to earn a livelihood in the future."
"That's correct."
"Is he physically able to do labor, manual labor,
the use of his legs and his back to make a living?"
"By the definition of the word I presume you mean
lifting things more than ten pounds in weight?"
"Yes, sir."
"Bending frequently during the day?"
"Yes, sir."
"Working an eight hour shift?"
"Yes, sir."
"I don't think so."
"All right, sir. Now, of course, nobody is denying
that this man has gotten a whole lot better. For
example, the treatments rendered on him got him out
of bed and into a wheel chair, and then out of the
wheel chair, and on his feet where he can get
around with a cane and-braces on his back and legs?"
"That's correct."
"That is improvement, is it not?"
"Yes, sir."
"Heaven knows that everybody is grateful for everythat any doctor has done. What I am concerned about
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and with, what this jury is concerned about and
with, and particularly what Mr. Hampton is concerned with, what he has to look forward to in the
future,
T * *."
Exhibit I'D°: Pages 20 and 21 of the trial
transcript, which included the following arguments to the jury by
Claimantts attorney:
"The court then gives you the issue of the damages
which Mr. Hampton has suffered, the loss which he has
suffered, and he gives you there the legal element
which you should consider under the evidence in this
case in determining the amount of money which can in
some small way make this man whole, which is the purpose of the law, as poor as it is.
"Now, what is that? What is that, I ask you again?
What is the value of a personts health. You have only
two doctors who testified in this case, Dr. Coleman
from Brownwood, and Dr. Brindley from Temple. You
heard the testimony from both of these doctors. I
think Dr. Coleman was a very frank witness. I think
his testimony was very clear and concise and positive.
You have heard the testimony -- you know more about it
than I do. You know and I know, and everybody in this
courtroom knows, that Mr. Hampton is permanently
crippled. Whether his back got a good fusion or not,
and willing to hold there seems to be some question
about that. There seems to be some dispute about that.
Whether he got it or not all the evidence is that this
man's back is permanently crippled. They cannot, they
cannot any more than we can, make this man back into
the man he was before he was thrown from that car. How
about this paralysis of the foot; how about the loss
of the use of that foot, the wearing of the brace; how
does a man feel who is braced from almost his shoulders
down to his hips, and from his knees down to his foot;
how does it feel to have to carry around steel?
I believe that if those things are so great, if a man
can do so well with those things, the Lord would have
probably made us out of plastic and steel instead of
blood and muscle and bone. This man is ruined from a
physical standpoint as we all know. This man, and we
all hope and pray he will have some continued improvement, but you know that he will never improve to the
point that he can compete as a manual laborer at work
which he is trained with other men who are able-bodied.
Just as Dr. Coleman said, it is highly improbable that
he will ever again be able to do any type of work involving lifting over ten pounds, bending, or stooping,
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or such as that. I ask you,what can a man with a
tenth grade education who is thirty-four-years of
age, * * *.n
Exhibits E. F. and G consisted of two decisions
by United States Circuit Courts of Appeal and the Award of Public Law
Board No. 276 all of which will be referred to later in this Award.
The Carrier subsequently introduced as Exhibit
"H", Award No. 20023 of the First Division NRAB, which the Carrier
refused to pay and which in 220 F. Supp. 909, the United States
District Court for the Northern District of Georgia refused to enforce,
and its decision was affirmed by the United States Court of Appeals
for the Fifth Circuit in 331 F. 2d. 649 (Carrierts Exhibit "F").
The Organization submitted as its Exhibit "1",
a statement of August 1, 1966 by Fred W. Sanders, M.D... of the Fort
Worth Bone & Joint Clinic, stating that Claimant "walks without limp
or list and heel and toe walks satisfactorily"; that he has "a full
range of motion of the lumbar spine". The statement concludes:
"Status following back surgery with apparent
excellent result but with radiographic evidence
of pseudarthrosis."
However, the sole issue before this Board is
whether by reason of his claim of permanent disability to perform his
work as a brakeman, and his recovery of $100,000 on the jury's verdict
thereon, he is estopped to claim restoration to the seniority roster
for trainman-yardman in District No. 2 of the Carrier's Southern
Division, and pay for all time lost from July 24, 1967, until his
return to service. Therefore the question of his physical fitness for
service is not in issue before this Board.
For that reason Awards 12016, 1421$, 15655,
15$$$, 164$2, 17009, 17355, 1$466 and 203$9 of the First Division,
and Award 2500 of the Second Division, NRAB, cited by the Organization
on the question of the Carrier's right to remove an employee's name
from the roster and refuse him employment on the ground of physical
disability are not in point.
In Award 12016 a suit for total and permanent
disability was settled for only $7,000, and the question of estoppel
was not raised. In Award 1421$, 81aimant had lost a leg as result
of an accident and filed a damage suit which was amicably settled for
an amount not stated. He was held entitled to a physical examination
to determine his fitness to work as a switchtender.
In Award 15655 there was no law suit, but
claimant had retired under 65 years of age for disability, and was
held entitled to return to work on proof of recovery from his disability.
In Award 15$$$, the Carrier conceded that suing and recovering judgment
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in an unstated amount for personal injuries, was not sufficient ground
for termination of services, but contended that the testimony of his
medical witness in court proved him unfit for service. In Award
164$2, claimant had been awarded judgment for $22,500 for permanent
disability, and settled for $21,500. He later proved his physical
fitness to return to service. In Award No. 17009 the claimant had
sued for "permanent loss of seventy-five percent of the use of his
right leg", but settled for $$,500. He then was denied his disability
annuity under the Railroad Retirement Act because found "not permanently
disabled for work in his regular occupation or for work in all regular
employment". In Award 17355 claimant had obtained judgment for
$30,000 in a damage suit for injuries claimed to be permanently and
totally disabling, but was retained on the roster and proved his
physical fitness to resume employment. In Award 1$466 there was no
law suit, but the employee presented a claim for injuries, which was
settled for $11,390. Three weeks'later he was examined by the
carrier's doctor and approved for return to work. In Award 203$9
claimant had filed suit for an amount not stated, and obtained judgment
for $22,005.2$ for a foot injury which resulted in the removal of part
of a toe. In Award 2500 of the Second Division the claimant had sued
for $100,000 for injuries which were not claimed or proved to have
caused permanent disability, and the jury awarded him only $10,000.
In each of these claims it was held that the claimant had proved, or
was entitled to a chance to prove, his physical fitness to return to
work. In none of them was the question of estoppel raised or decided.
On the question of estoppel the Organization
cites First Division Awards 16911, 17454, 17459, 17462, 17500, 17645,
18205, 19276, 19286, 19287, 19288, 19374, 20023, 21039 and 21145.
In Award 16911 claimant sued claiming permanent
disability while working as engine foreman, but continued to work for
the carrier for about eighteen months as a herder or yardmaster before
obtaining judgment for $'50,000. Since that fact was placed in evidence
the award rejected the carrier's argument that to render such a
verdict the jury must have considered the claimant totally disabled.
In Award 17454 the claimant had sued for permanent
disability and some evidence was submitted to that effect; but the case
was settled for about one-fourth of the amount sued for, by a document
prepared by the carrier and signed by the claimant, stating that it
was for an acc_dent "as a result of which I suffered many severe and
painful bodily injuries^.
On that showing the First Division rejected the
carrier's contention that the settlement was for permanent injury.
In Award 17459 the claimant had been injured in
a collision between his engine and a tank truck. He sued the truck
owner alleging in-juries which would incapacitate him "for varying
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periods of time". There was some medical evidence of permanent disability. But he did not sue the carrier. The award stated that the
carrier had an operating rule as follows:
"An injured employe who has been compensated on
the basis of claimed permanent or total disability
will not be returned to service until he has been
examined and qualified to return to service by the
Medical Director or Chief Surgeon of the Railway
Company."
The First Division held that claimant was not
estopped to claim his seniority right, and furthermore that by the
operating rule quoted the carrier had waived the right to claim
estoppel.
In Award 17462 the claimant sued the carrier
for $150,000 alleging in his complaint that "a substantial part" of
his injuries were permanent, but without claiming that they would
prevent his employment Without suit the carrier made a settlement
with him for $30,141.50 on a release which did not refer to permanent
disability. The award therefore rejected the carriers claim of
estoppel.
In Award 17500 the claimant sued the carrier
for $150,000 and was awarded $75,000 by verdict, which the judge
reduced to $50,000 on motion for new trial. Three years and eight
months later claimant asked to be restored to service and his request
was refused. His claim for return to service with seniority rights
unimpaired was sustained by the First Division. According to the
award he did not claim permanent loss of his working ability as a
trainman, but only that he had suffered certain permanent injuries
andassulting pain and "has been and at present is unable to perform
his regular occupation as a railroad flagman and brakeman"; that he
did not ask the jury to find him permanently disabled for his
employment, but only that they consider whether his injuries were
permanent in nature and "how far they are likely to disable him from
performing his regular duties"; that upon such a record it could not
be determined that the $50,000 judgment was intended to compensate
frfor disability of a 29 year old trainman for his entire lifetime
from return to his employment."
In Award 17645 claimant sued for $$100,000 on
the ground that he was informed and believed that he would be permanently incapacitated to work as a railroad man; but the jury awarded
him only 430,000. The First Division said:
"If claimant, as carrier asserts, has been paid
by this judgment for the full value of his services
for any particular time or tbr the full period of
his life expectancy, then he had no right to return
to service.
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n* * * We think carrier has failed to show that
claimant has been paid for permanent disability.
"We think the essential elements of estoppel do
not appear.". Claimantts pleading and testimony
as to future disability. were not assertions of
fact but of opinion based on information and
belief?
In Award 1$205 the claimant sued for $75,000.
Several months before the trial the carrier's physician examined him
and certified that he was physically able to return toservice. The
jury awarded him $5,000.
The First Division ruled that the case did not
contain the essential and primary elements of equitable estoppel.
In Award 19276 claimant sued the carrier for an
amount not stated and obtained a judgment for $16,000. The First
Division said:
"We find that the doctrine of estoppel does not
apply in this case because (1) there is no evidence
that the jury awarded claimant damages for total
and permanent disability and, (2) because we sit as
an administrative body to interpret the provisions
of the agreement between the Brotherhood and the
carrier and to apply those provisions to the facts
in the case and render our decisions accordingly.n
Thus it sustained the claim partly because there
was no evidence that the $16,000 was awarded for total and permanent
disability, and partly on the ground that the Board had no jurisdiction
except to interpret the labor agreement; in other words, that the
issue of estoppel was beyond its jurisdiction, which has been decided
to the contrary by the procedural neutral of this Board.
In Awards 192$6, 192$7 and 192$8, all with the
same referee, the First Division said:
'tIt has been said, and properly so, in many of
the awards of this Board that our consideration
of a case must be limited to the rules of the
agreement and their application to the facts in
the case as presented in the docket, which is
supplemented by briefs and oral argument."
"It has been held that the same rules of res
judicata and collateral estoppel apply in an
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administrative proceeding following a court
judgment that would apply in a second court
action between the parties, but only as to
the parties to the record in the court proceeding.
"Let us keep in mind that when an employe
brings a cause of action against a carrier he
does so under the Federal 'Employer's Liability
Act and the parties to that cause of action are
the employe and the carrier. When a claim is
presented to this Board it is under the Railway
Labor Act and the parties to the claim are the
petitioner (the union) and the carrier. Therefore,the parties in the case before us are not
the same as the parties in the court case."
In other words, estoppel was not considered because it was beyond the Board's jurisdiction and also because the
Organization was not a party to the damage suit in federal court.
In Award 19374 the amount sued for is not shown,
but the judgment was for $30,000. The Board ruled that the carrier had
waived the objection of estoppel by making the claimant three conditional
offers of reinstatement.
In Award 21039 the claimant had obtained a judgment against this Carrier for X2$,750. The award does not state the
nature of his injuries or the amount sued for. The First Division said:
"The Carrier's defense against the claim is on
the ground that the claimant is estopped from seeking restoration to service after having declared
himself permanently injured.
"Within the context of estoppel, the question would
be not whether the claimant represented himself to
be permanently injured -- for a permanent injury may
still be of a minor nature--but whether he represented
himself to be permanently incapacitated from performing his railroad occupation. The record before the
Division is not persuasive that the latter representation was probative.
"Without establishing aprecedent regarding estoppel
as it may or may not apply in other cases, and confined strictly to the particular facts and circumstances of this case, we hold that the claimant's
name should be restored, in accordance with his claim,
to the seniority roster."
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In Award
21145
the nature of the injuries and
the amounts sued for and received in settlement are not stated. The
Board said:
ttCarrier contends that claimant is estopped from
asserting a right to resume active service because
of representations made by him or in his behalf
concerning the nature and extent of his injuries.
Carrier takes the position that such representations
were the equivalent of declarations and an offer of
proof that claimant was permanently incapacitated
from performing his railroad occupation, and that
such representations formed the basis for the settlement. We are not persuaded by the record before us
that such is the case here. For, while representations were made which strongly indicate the existence
of a permanent injury, there is a distinction between
a permanent injury and an injury which permanently
incapacitates one from performing his occupation.
See Award
21039.
"Without establishing a precedent regarding estoppel
as it may or may not apply in other cases, and confined strictly to the particular facts and circumstances in this case, we hold in regard to Claim (a)
that claimants name should be restored to the roster
with seniority date as last shown thereon.4
In Award
20023
also the nature of the injuries
and the amounts sued for and recovered are not stated. This was prior
to the
1966
amendment of the Railroad Labor Act. The Board said:
"We have now before us the question of whether there
is any merit in carrier's contention that claimant
istestopped't by the record in his suit for damages
under the FFLA and this, too, is an issue well settled
by a substantial line of prior awards.
(15888, 164$2,
17355, 17454 17459, 17462, 17500, 18205, 18486, 19276,
19286, 7.9374.1
We must follow the opinion expressed in
these awards that seniority rights and the right to
work in accordance with them are matters of contract
which are unaffected by the civil action in suing for
damages under the FELA, absent a positive contrary
showing proving the carrier has obtained, in settlement
thereof, a right to terminate seniority, or to withhold
a man from service. No proof is offered in this record
that would bar consideration of this claim.
"On the record presented to us we must find that the
claimant was unjustly withheld from service on and
after May
12, 1959,
and order that he be restored to
service, sen:o^ity unimpaired, with payment for all
time lost."
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The carrier refusing to comply with the award,
claimant Jones filed suit in the United States District Court for
the Northern District of Georgia to enforce it. That court entered
judgment of dismissal (200 F. Supp. 909), and the claimant appealed
to the United States Court of Appeals for the Fifth Circuit, which in
a unanimous three judge decision (331 F. 2d 649) held the award void
and affirmed the district court judgment. The facts stated in the
Court of Appeals decision outline the case.
Claimant Jones was injured while working as a
switchman and filed suit against the carrier for an amount not stated
in the decision, claiming that he was permanently disabled as result
of the injuries and would be unable in the future to perform railroad
work as a switchman or to perform any other type of railroad work. At
the trial he submitted proof of these allegations. The jury brought
in a general verdict in his favor for $21,850. The carrier then
removed his name from the seniority list without notice to him. About
two years later the claimant had a surgical operation, after which his
claim was filed for reinstatement to the service with seniority unimpaired and pay for all time lost after that date.
In its decision the United States Court of
Appeals said:
*The respondent (carrier) contends that the petitioner is estopped from pursuing his claim for
reinstatement and pay for lost time, and from
showing that he is now physically able to resume
work as a switchman. In support of its contentions
the respondent points to the complaint, trial, jury
verdict, judgment, and payment by it of the amount
of the jury verdict in the Superior Court of Fulton
County, Georgia, wherein the petitioner alleged,
proved and collected for injuries which he claimed
permanently disabled him from performing railroad
work as a switchman or any other manual work. It
is contended that to require respondent to re-employ
petitioner with back pay would be unconscionable and
that petitioner, under the law, may not take such
inconsistent and contradictory positions with the
respondent;
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"The question presented to us is whether the District
Judge committed error in refusing to enter judgment
enforcing the award of the NRAB and in sustaining the
respondent's contention of estoppel by granting
motion of respondent for summary judgment and denying
the petitioner's cross-motion for summary judgment.
The opinion of the District Court is reported in 200
F. Supp. 909. We affirm."
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"The Trial Court did conclude that when an
employee alleges and successfully proves in
such a suit that he is permanently injured
and disabled, rendering him unable in the
future to perform the work of a switchman, or
to do other manual labor,and is compensated
for lost wages tpast, present and futuret and the
railroad company pays the full judgment pursuant
to such a lawsuit, the railroad is not bound as a
matter of law to retain the employee in its
services with back pay. The Court grounded its
decision on collateral estoppel. In our opinion
the reasoning of the Trial Court is sound from a
moral and a legal point of view in the circumstances
of this case. Davis v. Wakelee, 156 U.S. 6$0, 6$9,
15 S.Ct. 555, 39 L.Ed. 57$; Scarano v. Central R.
Co. of New Jersey, 203 F.2d 510, affirming, D.C.Pa.,
107 F.Supp. 622; Wallace v. Southern Pacific R.
Co., D.C., 106 F.Supp. 742; Buberl v. Southern
Pacific R. Co., D.C., 94 F. Supp. 11; Ellerd v.
Southern Pacific R. Co., et al., D.C., 191 F.Supp.
716, Restatement, Judgments, Sections 45 & 6$ (1942),
19 Am. Jur. Section 74, page 712.
The judgment is affirmed.'
The second case cited above, Scarano v. Central
R. Co. of New Jersey, is the other United States Court of Appeals
case cited by the Carrier as its Exhibit ttF°. It also cited as
Exhibit ^Gn the award of Public Law Board No. 276, in which the
claimant had sued the carrier for $115,360.09 and recovered judgment for $47,000, which was paid with interest. The board ordered
the claim dismissed in its award, in which it said:
"Despite Petitionerts contrary contention, the
real party in interest herein is the claimant
even though Petitioner has processed the instant
claim on his behalf. Consequently, the Petitioner
is acting in a representative capacity, and the
parties are in reality the same as those involved
in the previous civil court action.
"Although the civil court action filed by claimant
was based upon a charge of negligence, the questions
considered by the court necessitated consideration
of credible medical evidence, including prognosis
as to claimant's permanent injury and total disability
to perform the duties of his former position with
Carrier, to determine whether or not he was entitled
to recover for loss of future earnings and for future
suffering likely or probably to be incurred as a
proximate result of injuries suffered by him. Even
though the final ;judgment rendered was less than
-14-
X13
ar,
9 - ,,-,- ).
claimant initially sought in the civil court action,
the amount was substantial and far in excess of his
loss of earnings and expenses incurred at the time
of trial.. Despite the fact that the jury did not
render specific allocations as to the various items
for which compensation was sought, the verdict in the
amount of
$$47,000.00
clearly reflects compensation for
both past loss of earnings and diminished prospective
earnings resulting from claimant's total disability
to perform his former duties as a Switchman as opposed
to less physically strenuous work.
"In summary, the record in this case convinces this
Board that claimant or his representative introduced
evidence during the civil court action calculated to
convince the jury that claimant was permanently incapacitated from performing his regular duties with
Carrier, and that the resulting judgment reflects an
award by the jury for permanent loss of opportunity to
work as a Switchman. Carrier's conclusions as to
claimants physical disqualifications were predicated
on the credible representations offered in evidence
during the court action concerning the extent of claimant's
physical impairment, and Carrier's refusal to reinstate
claimant under these circumstances was neither arbitrary
or capricious.
"Careful analysis of various precedents relied on by
both parties requires us to conclude that the particular
facts involved herein are most comparable to those found
in Jones v. Central Geor is Railwa Com an , 220 F. Supp.
9093), 1n w is t e court a tat t e claimant
was estopped from seeking reinstatement and back pay for
time lost under similar circumstances. This decision was
affirmed by the Fifth Circuit Court of Appeals in Jones
v. Central Georgia Railwa Com any, 220 F. 2d,
649
(Fit ir., . Accor ing y, we must conclude that
claimant herein is estopped from now urging that he was
wrongfully discharged by Carrier in violation of his contractual rights, and the claim will be dismissed."
This case also is most comparable to the Jones
case and is governed by the principle there declared by the United
States Court of Appeals; in fact that principle is even more impelling
under the facts of this case. Claimant sued for $125,000 and was
awarded $100,000ry$0% of the amount sued for, over four times the verdict in the Jones case, more than double the amount involved in the
above award of Public Law Board No. 276, and much more strongly indicative of the jury's intent to compensate for the loss of future
earnings in railroad employment.
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It is suggested that ,$100,000 cannot properly
be considered as compensation for the loss of wages at 919,000
per year for the 32 years which claimant might have been able to
work before retirement under the Railway Retirement Act. But
ordinary computations show that at 5% interest, even without
compounding, the 0100,000 judgment would be nearly three-fifths,
and at
6%
nearly two-thirds of the amount necessary to pay the
wages for the entire period; and the compounding of 5% or 6,%
interest over a period of 32 years would considerably increase
the effect. It must also be borne in mind that not all earning
power was claimed to have been lost, but only the ability to perform usual railroad services and other manual or physical labor.
Certainly the judgment was adequate to finance training for other
work, if necessary.
It is therefore our. conclusion that the claim
must be denied. As the various cited awards point out, each case
is dependent upon its own facts, and this conclusion is not in
conflict with them except for those which hold, contrary to pronouncement by the courts, that the carrier is not in general entitled to raise the estoppel issue.
AWARD: Claim denied.
howar A. nson, airman
J. R. Jones, arrier em er - . Jones, Employee iem er
Dated Fort Worth, Texas.~, 1970.