Champagne v. Commissioner of Social Security

District Court, W.D. Washington·Decided September 25, 2025·No. 2:24-cv-01663·Unknown

Opinion

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5 UNITED STATES DISTRICT COURT 6 WESTERN DISTRICT OF WASHINGTON AT SEATTLE 7 9 Plaintiff, Case No. C24-1663-SKV 10 v. ORDER REVERSING THE COMMISSIONER’S DECISION 12 Defendant. 13 14 Plaintiff seeks review of the denial of her applications for Supplemental Security Income 15 (SSI) and Disability Insurance Benefits (DIB). Having considered the ALJ’s decision, the 16 administrative record (AR), and all memoranda of record, the Court REVERSES the 17 Commissioner’s final decision and REMANDS the matter for further administrative proceedings 18 under sentence four of 42 U.S.C. § 405(g). 20 Plaintiff was born in April 1966, has a high school education, and has worked as a food 21 server, animal caregiver, hair stylist, food deliverer, merchandiser, and telephone sales 22 representative. AR 25, 207. Plaintiff was last gainfully employed in March 2022. AR 22. 23 1 On June 14, 2022, Plaintiff applied for benefits, alleging disability as of March 26, 2022. 2 AR 205. Plaintiff’s applications were denied initially and on reconsideration, and Plaintiff 3 requested a hearing. AR 20. After the ALJ conducted a hearing on February 15, 2024, the ALJ 4 issued a decision finding Plaintiff not disabled. AR 20, 31.

6 Utilizing the five-step disability evaluation process,1 the ALJ found:

7 Step one: Plaintiff has not engaged in substantial gainful activity since March 26, 2022.

8 Step two: Plaintiff has the following severe impairments: degenerative disc disease of the cervical and lumbar spine; depression versus adjustment disorder with mixed anxiety 9 and depressed mood; borderline personality disorder (“BPD”); and post-traumatic stress disorder (“PTSD”). 10 Step three: These impairments do not meet or equal the requirements of a listed 11 impairment.2

12 Residual Functional Capacity (“RFC”): Plaintiff can perform light work with the following additional restrictions: she can occasionally stoop, kneel, crouch and crawl; 13 she must avoid concentrated exposure to extreme cold, vibration, fumes, odors, dust gases and poor ventilation; must avoid commercial driving, working at unprotected 14 heights and the operation of dangerous or heavy machinery; can understand, remember and carry out simple and detailed instructions that can be learned in under six months and 15 can sustain concentration, persistence and pace to these simple and detailed instructions for two-hour intervals with normal breaks; can accept instructions from supervisors; can 16 frequently interact with coworkers and the general public; and can adapt to occasional workplace changes. 17 Step four: Plaintiff can perform past relevant work. 18 Step five: As there are jobs that exist in significant numbers in the national economy that 19 Plaintiff can perform, Plaintiff is not disabled.

20 AR 22-31. 21 The Appeals Council denied Plaintiff’s request for review, making the ALJ’s decision the 22 Commissioner’s final decision. AR 1. Plaintiff appealed the final decision of the Commissioner 23 1 20 C.F.R. §§ 404.1520, 416.920. 2 20 C.F.R. Part 404, Subpart P., App. 1. 1 to this Court. Dkt. 4. The parties consented to proceed before the undersigned Magistrate Judge. 2 Dkt. 2. 4 Under 42 U.S.C. § 405(g), this Court may set aside the Commissioner’s denial of social

5 security benefits when the ALJ’s findings are based on harmful legal error or not supported by 6 substantial evidence in the record as a whole. Bayliss v. Barnhart, 427 F.3d 1211, 1214 (9th Cir. 7 2005). As a general principle, an ALJ’s error may be deemed harmless where it is 8 “inconsequential to the ultimate nondisability determination.” Molina v. Astrue, 674 F.3d 1104, 9 1115 (9th Cir. 2012) (cited sources omitted). The Court looks to “the record as a whole to 10 determine whether the error alters the outcome of the case.” Id. 11 Substantial evidence is “more than a mere scintilla. It means - and means only - such 12 relevant evidence as a reasonable mind might accept as adequate to support a conclusion.” 13 Biestek v. Berryhill, 139 S. Ct. 1148, 1154 (2019) (cleaned up); Magallanes v. Bowen, 881 F.2d 14 747, 750 (9th Cir. 1989). The ALJ is responsible for evaluating symptom testimony, resolving

15 conflicts in medical testimony, and resolving any other ambiguities that might exist. Andrews v. 16 Shalala, 53 F.3d 1035, 1039 (9th Cir. 1995). While the Court is required to examine the record 17 as a whole, it may neither reweigh the evidence nor substitute its judgment for that of the 18 Commissioner. Thomas v. Barnhart, 278 F.3d 947, 954 (9th Cir. 2002). When the evidence is 19 susceptible to more than one rational interpretation, it is the Commissioner’s conclusion that 20 must be upheld. Id. 22 Plaintiff argues the ALJ erred by improperly discounting the medical opinion evidence, 23 improperly discounting Plaintiff’s symptom testimony, incorrectly formulating the RFC, and that 1 the Appeal Council erred in its evaluation of newly submitted evidence. The Commissioner 2 argues the ALJ’s decision is free of harmful legal error, supported by substantial evidence, and 3 should be affirmed. 4 A. The ALJ Erred in Evaluating the Medical Opinions

5 The regulations applicable to this case require the ALJ to articulate the persuasiveness of 6 each medical opinion, specifically with respect to whether the opinions are supported and 7 consistent with the record. See 20 C.F.R. §§ 404.1520c(a)-(c), 416.920c(a)-(c). An ALJ’s 8 consistency and supportability findings must be supported by substantial evidence. See Woods v. 9 Kijakazi, 32 F.4th 785, 792 (9th Cir. 2022). 10 Plaintiff argues the ALJ erred in evaluating the opinions of her treating and examining 11 mental health professionals.3 Dkt. 17 at 6-8. The Commissioner argues the ALJ properly 12 evaluated the supportability and consistency of the relevant medical opinions, and that her 13 decision should be affirmed. Dkt. 13 at 4-5. 14 The ALJ considered the medical opinions of State agency consultants, AR 29-30 (citing

15 AR 84-95, 97-104), and Kimberly “Forner,” AR 30 (citing AR 433-34, 1340-42). The ALJ 16 found the opinion of reviewing psychologist Beth F., PhD, to be persuasive. AR 29-30. She 17 discounted the opinion of Kimberly “Forner” as unsupported and inconsistent with the overall 18 medical record. AR 30. 19 The ALJ also evaluated a note from Olivia Maye Lin, MD, who Plaintiff seemingly asked 20 to supply an opinion. Id. Dr. Lin wrote, “I took a look at your paperwork and unfortunately I 21

22 3 Plaintiff cites pre-2017 case law to argue the ALJ erred in evaluating the medical opinions. Plaintiff applied for benefits in 2022, so the revised regulations apply, and “there is not an inherent persuasiveness to evidence from government consultants over a claimant’s own medical source(s), and vice versa.” Woods, 32 F.4th at 791 (cleaned 23 up).

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Champagne v. Commissioner of Social Security, (W.D. Wash. 2025).

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