PUBLIC LAW BOARD N0.
3543
t_,Z~
SHEET METAL WORKERS' INTERNATIONAL ASSOCIf:DI1aw
UNITED_STATES DISTRICT COUNCIL FOR RAILROADS
and
THE LONG ISLAND RAIL ROAD COMPANY
Statement of Claim:
AWARD N0. 7
Bates Administrativ
Termination
"l. That, the Carrier violated the Current Agreement, when
Carrier '.administratively terminated Sheet Metal Worker
J. Bates, effective, April
15, 1985,
without benefit of a
trial or hearing, ;Tamely Rule 51, Entitled: Discipline.
"2. Carrier violated Appendix "F" Section 22 which provides
the inalienable right to due process; before deprivation
of his vested interest.
"3. That accordingly, the Carrier be ordered to make the
aforementioned J. Bates whole by restoring him to Carriers'
Service, with all seniority rights unimpaired, make whole
for all vacation right, holiday, sick leave benefits and
all other benefits that are a condition of employment unimpaired, and comp sated for all lost tine plus ten (10%)
percent interest annually on all lost wages, also reimbursement for all losses sustained account of coverage
under Health and Welfare and life insurance agreements
during the time he has been held out of service."
Background:
On December 2,
1981,
while working as a pipefitter in Carrier 's
Electric Car Shop, the herein Claimant, Mr. John H. Bates, fell
from a Ballymore Hydraulic Scoffold and sustained injuries to his
left ankle and left wrist. He was taken, by ambulance, to Queens
General Hospital where the ankle and the wrist mere placed in casts.
The casts remained on for about nine weeks. Following the accident
Sates was placed in a "disabled/accident" status by the Carrier
and was paid sick leave benefits as provided by the parties Agreement
On May
24, 1983,
the Grievant, who had not returned to work
following the accident, was examined by Dr. Joseph S. Mulle', who
concluded, in a statement dated June 1,
1983,
that Bates:
" .. has a permanent disabliity as a result of the
fracture of the left ankle."
. : . . 3
~~f3 - '7
Additionally, Dr. Mulle' offered an opinion that:
" .. the patient is disabled for occupation as a
sheetmetal worker in view of the severe limitation
of motion in the foot at the talocalcaneal joint."
On November
19, 1983
Bates was examined by Dr. Phillip M.
Evanski, Carrier's'Orthopedic Consultant. Dr. Evanski's report
on the examination stated in part:
"Patient ... Is unable to do-work which would require
prolonged standing,'walking, and climbing. Carrying
any weight would also be difficult without further
danger of injury."
With regard to possible corrective surgery to correct the condition,
Dr. Evanski stated his opinion to be:
"It is unlikely that any surgical procedure will fully
restore the patient to activities such as climbing
or standing for eight hours. Limitation of motion
will persist despite any surgery performed."
On-January 11,
1985
Bates was examined by Carrier's Medical
Director: In this examination the Medical Director found that
Claimant was"
"... medically unable to perform the duties that are
assigned under the scope of the Sheet Metal Workers'
Agreement ..."
Three days .later, on Junary 14,
1985,
a trial commenced on
an FELA suite Mr. Bates had filed against the Carrier in
1983.
During the course of the trial on this suit Dr. Frank P. Vaccarino,
an orthropedic surgeon, certified by the American Acadamy of
Orthorpedic Surgery, testified with respect to Bates' physical
condition. The substance of this testimony was that Bates was
unable to perform the duties of a pipefitter under the Sheet Metal
Workers' Agreement or work any other type of job that would require
strenuous physical activity on his part. At the conclusion of the
trial the ,jury returned an award in favor of Bates in the amount of
$45o,000.00.
On February
15, 1985
Bates was again examined by Carrier's
Medical Director, Dr. Howard Leaman. In this examination Dr:
Leaman determined that Bates was not capable of performing service for the Carrier and entered the following remark in his
progress report:
"Foot not changed -n condition - cannot perform as
a sheet metal worker."
On April
15, 1985
Carrier's Chief Mechanical Officer wrote
Bates a letter indicating that his employment relationship was
being terminated "through the process of administrative termination."
The expressed basis for this action was stated to be:
"This decision was reached after conversing with
the Medical Director and Law Department as to the
possibility of your returning to duty as a Pipefitter. The Medical Director found you medically
unable to perform the duties that are assigned under
the scope of Sheet Metal Workers' Agreement after
examining you on January 11,
1985.
This permanent --
disability was reiterated in testimony on your be
half during -a liability suit heard in the United
States Eastern District Court commencing on Jan
uary
14, 1985."
On April 24,
1985
Bates' Local Chairman protested the administrative termination. In that protest it was stated:
"This organization rejects your position in this
matter and strongly objects to the application of
this form of discipline without due process being
afforded Mr. J. J. Bates."
Also, it was contended that Rule
51,
the parties discipline rule,
was breeched in this matter.
The protest of the Union was discussed in conference at which
time the Organization argued that Bates was dismissed from service
without a fair and impartial investigation. It was further contended that a "Board of Doctors" should be established to determine the physical consdition of Bates with regard to his ability
to work as a pipefitter. These arguments were rejected by the
Carrier in a latter dated June 12,
1985.
On August
5, 1985
further appeal was taken to Carrier's
Director - Labor Relations. That appeal again requested that a
board of doctcrs be established to determine Bates' fitness to
return to duty as a pipefitter.
In September
1985
the appeal was rejected. The basis of the
denial was stated to be:
"In light of the fact that three medical doctors determined
that Cla'ant could never perform the duties of his position,
Carrier administratively terminated him."
The Positions of the Parties:
The Carrier's Position:
Carrier contends that it was not an Agreement, violation to
.5~f'3 --7
administratively terminate Bates' employment relationship because
it was medically determined that he was unable to work as a pipefitter under the Sheet Metal Workers' Agreement. Claimant, Carrier
argues, is estopped from ever seeking reemployment as a pipefitter
with Carrier because the primary thrust of his argument in his
FELA trial was that he would never again be able to work at his
trade. After ihearing the case, the ,jury returned a verdict-in
favor of Bates which awarded him damages of $450,000.00. This
award covered Bates past and future wage losses due to the injury.
Carrier contends that it was not necessary for it to establish--7
a three doctor medical panel to examine-Bates because no dispute
exists concerning his physical condition. Bates' own physician
has indicated that he is unable to work as a pipefitter under the
Sheet Metal Workers' Agreement. A specialist that testified at
his FELA trial has also indicated that he cannot do work in that
occupation. And the Chief Medical Officer for the Carrier has
made similar determinations.
With respect to administrative termination, Carrier has argued
that such action is not subject to the investigation, trial and
discipline provisions of the Agreement because Bates was not-let
go for disciplinary reasons - his termination was merely the removal of-a name from a roster of an individual that is physically
unable to work his job now and he
will
never be able to do so in
the future because of his physical condition.
In support of the foregoing contentions the Carrier has cited
a number of Awards of various tribunals. It argues that NRABThird Division Award
6215,
NRAB-First Division Award
6479,
NRABSecond Division Award
9921,
NRAB-Third Division Award 23830 and
Award 21, PLB
1660
(BRAC v. LIRR) all support the proposition that
once an injuried employee has successfully contended in a Federal
Court action that he is to be allowed payment because he is permantly disabled he is not thereafter entitled to be retained on
the seniority list.
Carrier also contends that NRAB-Second Division Award
8676,
NRAB-Third Division Award 18512, Award 26, SBA 230 (BLE v. LIRR)
and Award
2,
PLB
3407
support the proposition that the Carrier
has the right to determine the physical fitness of its employees.
With respect to the practice of administrative termination
Carrier cites Award 1, PLB
3407
(BRCA v. LIRR) and Award lA, as
well as NRAB-Third Division Award
24967,
which it contends gtants
license for such action in such circumstances.
The Position of the Organization:
The Organization makes four points in its argument that it
was not proper for Carrier to administratively terminate Mr. Bates
employment relationship. First it is argued that Carrier's action
353 ~ ~7
is supterfuge. Next it is contended that the alleged medical
disqualification circumvents Appendix F, Section
15
of the Agree-.
ment. Third, it is the position of the Union that Appendix F,
Section 22 was violated because Bates was denied "due process."
And, fourth, Rule 60 was violated when Bates employment relationship was ended.
At the hearing the Organization argued that the award of
the jury was reduced by fifty percent because of contributory
negligence of plaintiff and out of the remaining amount Bates _
was required to compensate'his attornies for their fees and ex- -
penses. Thus, he did not receive a settlement of "close to a
half a million dollars" as suggested by the Carrier.
It was also pointed out that Mr. Bates was now participating
in a physical therapy program and with progress this would restore adequate agility in his ankle so that he would in time
be able to return to service as a pipefitter and do his ,job
without any physical problems.
It was also argued that Carrier erred when it did not establish
a medical board to determine Bates physical fitness and that under
the circumstances involved here administrative termination is im
proper.- In support of its contentions that administrative term
ination is not proper under the Agreement the Union relies upon
two awards of Public Law Boards dealing with employees working ,_
in other crafts on the LIRR. Award 1, PLB
3998
and Award 1 of
PLB
4037
considered cases where employees represented by the UTU
were administratively terminated for physical reasons. Both
terminations were set aside by the Referee considering those matters.
Findings:
Public Law Board No.
3543,
upon the whole record and all of
the evidence, finds and holds that the Employee and the Carrier
are Employee and Carrier within the meaning of the Railway Labor
Act; that the Board has jurisdiction over the dispute herein; and,
that the parties to the dispute were given due notice of the hearing thereon and did participate therein.
There are a number of decisions and awards of various Railway
Labor Act tribunals that have concluded that an inured 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 performin his regular
duties. For example, in NRAB-Third Division Award 1352 the Board
stated:
"The Carrier contends that the Claimant is estopped from
pursuing his claim for reinstatement, and in support of
"its contentions cites the fact of the judgment and
payment by the Carrier of the amount of the ,jury verdict
in the United States District Court at Cleveland, Ohio
wherein the Claimant was compensated for injuries which
he claimed permanently disabled him from performing
his duties as a laborer in the Clerical Groups referred
to.
"In the circumstances found we must conclude that when a
Claimant successfully establishes in a suit in the United
States-District Court-that he is permanently injured and
disabled, rendering-him unable in the future to perform
the work of ,a laborer, and is compensated for lost wages,
'past, present and future.' and the Carrier pays the
full amount of the judgment pursuant to the judgment
rendered in the case, the Carrier is not bound to retain
the employe in its serices with back pay."
An identical result obtained in Second Division Award 7976.
In that Award several Federal Court decisions touching on this
issue were discussed in detail. Hear the Division stated:
"Carrier;s affirmative defense raises a case of estoppel.
,_ The Court of Appeals in Scarano v. Central RR of New
Jersey, 203 F 2d 510, expressed the rule as:
'a plaintif who has obtained relief
from an adversary by asserting and
offering proof to support one position
may not be heard later in the same court
to contradict himself in an effort to
establish a second claim inconsistent
with his earlier contentions. Such use
of inconsistent positions would most
flagrantly exemplify that playing fast
and loose with the courts which has been
emphasized as an end the courts should
not tolerate.'
"'Sacrazo' was followed in Jones v. Central of Georgia
Ry. Co. (USDC ND. Ga.) 48 LC par. 1 5 , which case involved Carrier's refusal to apply First Division Award
20 023 which had sustained therein a claim of an employee
who, as here, had suffered an on-duty injury. Jones
filed suit under the Federal Employers' Liability Act
to recover and alleged therein that he was permanently
disabled. The ,jury found in Jones' favor. After the
monetary satisfaction had been reached, Carrier removed
his name from the seniority roster. Jones grieved and
sought restoration of his seniority and pay for time
lost as a result thereof. His claim was ultimately
sustained by the NRA3's First Division Award 20023.
Carrier refused to comply therewith. The Northern
District Court of Georgia held:
. 351-P~ -7
"`It seems to this Court the applicable rule
of law is firmly established that one who
receives a verdict based on future earnings
the claim of which arises because of permanent injuries, estops himself thereafter
. from claiming the right to future re-employ-
ment, claiming that he is now physically able
to-return to work.t
"Similarly, the Courts in Wallace v. Southern Pac. Co.,
106 F Supp. 742 (21 LC par.67,273); Burbank v.'So'uthern --
Pac. Co., 94 F Supp. 11 (18 LC Par.
U7,
25); Sands
v. Union Pacific Railroad, 148 F. Supp. 422, (31 LC Par.
704,3 , among other cases followed this legal rationale."
The decision in "ones" was endorsed in Third Division Award
22598. "Jones" was also relied on in Third Division Award 23830
wherein the-Board considered and denied a claim involving issues
similar to those before use here. Also cited in Award 23830 were
"Scarano," "t,,allace" and "Sands" as well as Pendleton v. Southern
Pacific Co., USDC, ND. Cal. 1952) 21 LC par. 3 .and Chavira
v. Southern Pacific Co., USDC, ND Cal. (1960) 42 LC, Par. 1 9 0 .
Thus it seems that with the exception of First Division Award
20 023 (which was denied enforcement in the courts in "Jones,"
supra) and Second Division Award 3837 (where a financial settlement
was reached by negotiations in the course of which the carrier
sought to obtain a resignation but abandonded these efforts, thus,
recognizing that a return to service might well be requested)
Adjustment Board and Public Law Board awards are uniform in apply
ing the docturn of collateral estoppel and are uniform in conclud
ing that the Agreement is not violated when an employee is refused
permission to return to work following receipt of payment in a -
court award in which it was conclusively demonstrated in his behalf
that he was permanently disabled for work in his regular occupation.
With regard to the matter of removal from the seniority roster
in such circumstances notice is taken of Second Division Award 5511.
In that case a Sheet Metal' Worker was awarded $165,000.00 in settlement of a suit filed against his employer under FELA. Approximately
10 months after the conclusion of the litigation the inured man,
in possession of a return to work statement from his personal
doctor, requested that he now be given his job back. The Carrier
refused reinstatement on the basis that his:
"... employment relationship with the Carrier had
been relinquished by and through representations
made by him and on his behalf during the course of
his damage suit against the Carrier."
And after analysis of the record, the Board stated that it was convinced that the claimant in that case had persuaded the ,jury that
he was permanently incapacitated and unable to work in the Sheet --
IRV
Metal Workers'Craft. The Award continued:
. that Claimant is estopped from now urging thathe was wrongfully discharged by Carrier in violation
of his contractual rights ..."
From the foregoing it seems clear that the weight of authority,
both arbitral and Federal Court decisions, support a conclustion
that it is not an Agreement violation to deny an employee permission
to return to service after he has prevailed in an FELA action _
wherein it was contended, that he was permantly disabled as a
result of an on-duty. injury. U'hat remains to be examined then
is whether or not it is an Agreement violation to effect an ad
ministrative termination, which constitutes removal of an individuals
name from the seniority roster, as was done in the Bates grievance.
Both parties have submitted awards which which they contend support
their respective positions on this facet. We will look at those
submitted by the Carrier first. One authority relied upon by the
Carrier is Award No. 1, PLB 3407 (LM - Carmen) (Marx). In that
case the Board stated:
"The Claimant's medical status is not directly at issue
before the Board. What is at issue is that the Organization
contends that the Claimant was terminated in violation of
Rule 50 which states that 'Employes will not be suspended
nor dismissed from service without a fair and impartial trial.."
The Organization in particular disputes the Carrier's right
make an 'administrative termination' as cited in the Chief
Mechanical Officer's letter.
"The Carrier argues that there is no medical disagreement
as to the Claimant's condition, which prevents him from
performing work in circumstances essential to the Carmen
craft. The Carrier argues further that it was obligated
to prevent further medical complications to the Claimant,
which could be accomplished only by withholding him from
work on a.permanent basis. The Carrier emphasizes that the
Claimant is not accused of any misconduct or rule violation,
and so the termination is not disciplinary and thus Rule
50 is inapplicable.
"The
sentence quoted
above from Rule 50 would appear to
indicate that there may be no terminations without a trial.
Further review shows, howev>_r, that Rule 50 is solely concerned with disciplinary matters. It falls under Section
III of the Agreement between the parties, which section refers
in its title to 'Discipline'.
"A trial, by obvious defination and by specific reference
within Rule 50, goes to the determination of'guilt or innocence of a charge. There is no 'charge' against the
Claimant and thus a 'trial' would be to no effect. The,
Organization's reliance on Rule 50 in this instance is not
supported by the intention and content of the rule itself.
"Likewise, the Organization's reliance on Public Law
Board No. 3072, Awards lA and 2, is not in point. These
were instances in which employees had earlier been retained in service on a 'last chance' basis and where
upon alleged repetition of misconduct; were terminated
without further trial. These awards concluded that
second trials were mandated. But these were clearly
disciplinary in nature, unrelated to the case under
review here. Other cases cited by the Organization
were to similar effect in relation to disciplinary
action.
"On the other hand, it is crystal clear that the rules
in general (seniority, etc.0, as well as the ongoing
bargaining relationshop between the parties, denies
to the Carrier the right to terminate employees at will
-- by 'administrative' or other means. Where such right
to be granted, it would strike at the heart of the employee
security protected by union representation.
"The Board perceives that the dispute here is more a
matter os semantics than of rule provision. What
actually occurred, undisputed in any way, is that
an .employee was found -- by his own physician -- to be
unable to perform certain phases of his work (that involving exposure to dust and fumes). The Carrier cannot be expected simply to ignore such restriction. The
Carrier further determined (and this could be subject
to dispute by the Organization) that the Claimant's
inability to perform his work under certain circumstances
made him unavailable for work in his normal assignment.
".It is not for the Board to suggest how the Carrier shall
administer its obligations under the Agreement. However,
less forbidding than so-called 'administrative termination'
would have been a medical finding showing the employee
unfit for.duty which would have put him out of service.
If the employee felt this was not ,justified, Rule 53
Grievance appeals other than discipline) provides for
proper avenue to file a claim (within 30 days).
"In actuality, the claim progressed by the Organization,
while concentrating on alleged improper failure to provide
a trial, did concern itself with the Claimant's physical
condition. An offer was made to provide the Claimant with
alternate employment, which would have required a seniority
waiver by the Union. This the Union, understandably, was
not in a position to grant, in view of its effect on other
employees.
"The use of the phrase ' administrative termination' does
not clothe the Carrier with the unilateral right to remove
employees from service. The Carrier acted well within its
proper discretion, however, in withholding the Claimant
"from service indefinitely based on the report of the
Claimant's physician, confirmed by the Carrier Medical
Director. Any alleged improper treatment on this basis
could have been the subject of a Rule 53 grievance.
"The Claimant was not improperly denied a trial under
Rule 50. To defuse any-concern about the misunderstood
'administrative termination', the Board will determine
that the Claimant shall have 30 days from the date of
this award to provide medical evidence concerning his
ability to perform his ,job. Should medical disagreement
occur between the Claimant's and the Carrier's physicians,
reference to a'board of physicians would be appropriate
(for more on this, see Award 1-A). If such evidence is
not supplied or a board of physicians disqualifies the
Claimant, the claim is denied. If medical evidence
satisfactory to the Carrier is timely provided or a
board of physicians qualifies the Claimant, he shall
be reinstated with full seniority but without pay or
retroactive benefits."
From this it would seem that "administrative terminations"
are not. proper subjects to be handled under the discipline provision
of the Agreement when the "administrative termination" does not
concern itself with discipline. And irrespective of what the
Board stated its views to be with the underlying concept of "administrative termination" such action on the part of the Carrier
would be proper if medical evidence is not supplied indicating
that the individual was capable of working his job. (It is only
improper if the individual is capable of working his assignment.)
Significantly,
though, it
is noted that Award 1, PLB 3407
did not involve a situation wherein the individaul claimant had
participated in an FELA suit contending that he was permantly
incapacitated. Award 1, thus, did not deal with a situation involving the doctrine of collerateral estoppel.
The Carrier also relies on Award lA of the same Board. In
Award lA the Board indicated that the matter was a "parallel case
to Award No. 1. The three paragraph opinion reads:
"The Board incorporates here its conclusions concerning
the inadequacy of the use of 'administrative termination'
as an action which can stand by itself, without more, to
support removing an employee from service. Likewise, the
Board finds that in the circumstances here under review,
the Organization's reliance on Rule 50 is misplaced.
"The Carrier has a right to determine the fitness of its
employees for duty, subject to challenge, of course under
the grievance procedure. In this instance, the resolution
appeared at hand when the Organization requested the convening of a Board of Doctors to review the medical status
"of the Claminat. The Carrier agreed to such procedure,
but the Organiztion subsequently withdrew its request.
"As in Award No. 1, there is no finding of violation of
Rule 50 by failure of the Carrier to provide a trial. The
Organization, for whatever reasons, determined not to have
the Claimant's status reviewed by a Board of Doctors.
Nothing furthgr is required of the Board."
When Award No. lA is read closely with Award No. 1 it is
clear that notwithstanding certain verbage in the opinions that' -.
might, standing apart from the whole, be read with differing
results the end result of the matter is that an administrative
termination occured, the Union, there, had an opportunity to
dispute the medical basis for the termination by submitting
the matter to a medical board and this was not done, thus the
administrative termination continued to stand.
Additionally, the Board determined that the Agreement was
not violated because the Grievant was not provided a disciplinary
trial. Also as in Award 1, there is no showing that the individual
involved was a participant in an FELA suit wherein it was contended
that an on-duty injury caused his total disability:
' Two- cases were furnished us by the Organization. Both
followed the Marx decisions and make reference to certain dicta
therein. Award
No. 1, PLB
3998
(Towmy) concluded that on "the
facts of record in this particular case" Carrier did not have
a unilateral right to terminate the Grievant. Careful study of
the decision, though, seems to indicate that it is founded on
determinations that the Grievant was not disqualified "from other
job classifications where he held seniority." Additionally, there
is not a showing that the Grievant was involved in an FELA matter
where it was contended that he was totally and permanently unable
to work because of on-duty injuries and that he had been awarded
compensation for past, present and future earnings, thus creating
a collateral estoppel situation. These differences make Award 1,
PLB
3996
distingishable from the instant case.
Award 1, PLB
4037
is the second case relied on by the Union.
In that case he do have an involvment of an FELA suit. The Claimant
here was awarded $50,000.00 in her trial. At the time of the award
her base annual pay was
t31,
115~T..00 with additional fringe benefits
of $21,062.00. From the amount of the award ($50,000.00) the Claimant
was responsible for reimbursement to the Carrier for all benefits
paid her while on sick leave due to the on-duty injury. However,
there is more. The Claimant reported to Carrier's Medical Department for a return to work physical. The Medical Department authorized her return to duty but before obtaining an assignment she was
notified that she was administratively terminated. It is also of
importance to note that at her FELA trial Claimant's physician did
not take the position that she was permanently disabled from work.
Moreover, the Claimant harself,-never alleged that she considered
herself permanently disabled from working her job.
. - 3531
These facts, with the testimony of two orthopedic specialists
indicating that nothing prevented the Claimant from working makes
Award 1, PLB 4037, distingishable from the matter we are considering
and it is not surprising that the Board held that the administrative
termination was not appropriate in such circumstances. The Board
in Award 1, PLB 4037, stated:
"We find that*Carrier's'factual basis for its administrative termination as set forth in its June
24, 1985
letter is not supported by the record before this Board. _
Accordingly, the Carrier's contention based on estoppel
are untenable and tdtally devoid of. merit in this par
ticular case."
When the findings in Award 1 are considered in connection
with our-record a different result obtains. On our record Carrier
has made a
convincing case
for estoppel. The difference between
the award of the two juries is notable - $50,000.00 v. $450,000.00,
the testimony of expert medical authorities suggests permanent injury
in one case and an ability to return to duty in the other, and,
in Award 1 the Claimant was authorized to return to work while in
the
instant case
Bates was found to be medically unfit to work his
job. .
After careful study,,-ve must conclude that even though Award
1 was furnished us by the Organization in support of its position
it really supports Carrier's arguments that an individual that
contends that he is permanently disabled from working his regular -
,job because of an on-duty injury and collects substantial damages
in FELA litigation becomes estopped from later seeking reassignment
in his old job.
If there is any doubt that an employee such as Bates is estopped
from returning to work after seeking and receiving a substantial
settlement on a contention that he is permantly disabled a closer loop
at . "Scarano" quickly dispells it. In "Scarno" the Claimant applied
for reinstatement with the Carrier and the Carrier refused to reinstate or examin him to determine physical condition. The Claimant brought suit alleging breach of contract. The Carrier moved
for summary ,judgment on the grounds that the earlier FELA suit
barred the claimant from any further
compensation. The
District
Court granted summary ,judgment and the Claimant appealed to the
Circuit Court of Appeals. The Appellate Court affirmed the ,judgment
saying: -
"Nor is the estoppel relied on here equivalent to
'collateral estoppel'as that term is used in Restatement
of Judgments. The concept gives to the determination
of actually litigated issues by valid and final judgment conclusivenees in all further litigation between
the same parties. RESTATEMENT, JUDGMENTS, Sec.
63 (1942).
. 35zf3-~
"Since, on the present record, there is substantial
dispute as to what the former ,judgment decided about
plaintiff's physical condition, collateral estoppel cannot
be employed at this state. If in the tort action there
had been a finding of fact or an answer to a specific
interrogatory to the effect that plaintiff was disabled
either permanently or for some specified period of time,
and if final ,judgment had been rendered thereon, there
would be no question but that collateral estoppel would
bar either party from relitigating that issue against __
the other. Even ha¢ ,judgment been entered on the general
verdict actually rendered in the tort case, rather than
on a subsequent settlement, so that what the ,judgment
determined was indentical with what the verdict determined
this case might have been an appropriate one for the use
of collateral estoppel.
"1. The District Court stated that 'A reading of the
record in (the tort action) can leave no doubt in the
mind mind of any reasonable person that the ,jury's ver
dict was based substantially on future loss of earnings
capacity.' While we may take this as a finding that the
basis of the jury verdict is so clear that the trial judge
would be ,justified in withdrawing that question from a
jury in the present case, the relevant fact necessary to
the invocation of collateral estoppel is the basis of the
,judgment. (see Restatement, Judgments,
Sec.
45, comment
(c) 1942).
"The 'estoppel' of which, for want of a more precise word,
we here speak is but a particular limited application
of what is sometimes said to be a general rule that 'a
party to litigation
will
not be permitted to assume
inconsistent or mutually contradictory positions with
respect to the same matter in the same or successive
series of suits.' II FREEMEN ON JUDGME\`TS Sec. 631
(5th ed.,1925). Whether the correct doctrine is that
broad we do not decide. The rule we apply here need be
and is no broader than this. A plaintiff who has obtained
relief from an adversary by asserting and offering proof
to support one position may not be heard later in the
same court to contradict himself in an effort to establish
against the same adversary a second claim inconsistent
with his earlier contention. Such use of inconsistent
positions would most flagrantly exemplify that playing
'fast and loose with the courts' which has been emphasized
as an evil the courts should not tolerate. See Stretch
v. Watson, 1949, 6 N.J. Super 456, 469 69 A (2d-) 5~
00 3, rev'd in part on other grounds, 5 N.J. 268 74 A
(2d) 597. And this is more than affront to judicial
dignity. For intentional self-contradiction is being
used as a means of obtaining unfair advantage in a forum
provided for suitors seeking ,justice."
And when "Scarano" is read along side. of "Sands," a case
with a slightly different bent, the same result not only obtains
but is reemphasized. In "Sands," as in "Scarano," the Grievant '
was refused reemployment and denied the opportunity of asserting
prior seniority to a ,job in his craft. Initially the Grievant
filed.a dispute with the NRAB but while it was pending there a
suit was entered in the U.S. .District Court in Oregon. The Court
upheld the action of the Carrier in refusing Sands' seniority
and reinstatement. The Court stated:
"The leading authority for this estoppel is Scarano
v. Central R. Co. of New Jersey, supra, an action
for wrongful discharge in which the plaintiff had
sued and recovered for permanent injury in a prior
action. The court stated that, '(a) Plaintiff who
had.obtained relief from an adversary by asserting
and offering proof to support one position may not
be heard later in the same court to contradict
himself in an effort to establish against the same
adversary a second claim inconsistent with his
earlier contention.
'203
F.2nd
510, 513 (23
LC Par.
67, 549).
.. The
.only
basis for distinguishing this case from
Scarano which has been offered by Sands is that
the personal injury complaint in that case alleged
permanent injury, while his own complaint alleged
injury for a definite period only. I cannot
accept this as an adequate basis for distinction.
For the purpose of the Scarano rule, it is immaterial
how Sands assumed his earlier inconsistent position
whether by,pleading or proof. The essential facts
are that he assumed it and obtained relief on the
basis of it. Since both these facts exist, the
Scarano rule applies and Sands is estopped from
maintaining in this case that he is physically
capable of returning to his old job.
The justice of this result is apparent when one
considers the dilemma facing the railroad when
Sands asked to return to work. The Carman's ,job
involves heavy labor. It is no job for a man with
a bad back. As early as
1947,
Sands had strained
his back and was being treated for arthritis. The
railroad allowed him to continue on the Job but he
strained his back again in
1950.
Under these
circumstances, and in view of the medical testimony,
it was not only possible but probable that Sands'
cronic back injury would soon recur if he were
permitted to come back on the job. If it did,
the railroad might face a claim for damages for
additional aggravation of his cronic back condition."
We are also convinced that the rationale of "Scarano" and
"Sands" is not isolated. Award 9 of PLB 1795 (BMWE v. SP) dealt.
wYt-hthis same
concern. After concluding that the rationale of
"Scarano" was sound the Board stated:
"Recognizing that over 23 years have elapsed since the
Scarano case was decided; we have researched the per- '
tinent authorities to determine whether the principles
enunciated in that case have since then been modified
.. or overruled. We find to the contrary. On the facts
and principles there ihvolved Scarano is accepted as the '-
leading case on the proposition of estoppel and has been
cited with approval and followed in may later decisions.
"See for example, among others:
Ellerd v. So. Pac. R. Co., 191 F. Supp 722 (1961)
Hodges v. Atlantic Coast Line RR co., 238 F. Supp.
425 (1964), ,
Gibson v. Missouri Pac. RR Co., 314 F. Supp 1211 (1970)
Gleason v. United States 458 Fed. 2d 171, 175 (1972)
City of Kingsport, Tenn. v. Steel & Roof
. Structures, Inc., 500 Fed. 2d 617, 620 (1974)
. Duplar Corp. v. Deering Milliken, Inc. 387
F. Supp 1146, 1178 (1975)"
The Board, in Award 9 made additional.comment with regard to the
Gibson Case:
"In the Gibson case, supra, the controlling principle was
.. stated succinctly as follows:
'It is a sound principle that an employee is
estopped to assert a right to return to work
after pursuing an FELA claim in which he holds
out his inability to work and recovers a large
sum of money in satisfaction of his claim."'
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.
z5
3 5~t 3
AWARD
Claim Denied.
Jo3~ C letcher, C man and Neutral Member
on , p oyee Member David D. Morrison, Carrier Member
Dated at Mt. Prospect, IL. this 6th day of November, 1986
16