Coday v. WILLAMETTE TUG & BARGE COMPANY

440 P.2d 224, 250 Or. 39, 1968 Ore. LEXIS 513
CourtOregon Supreme Court
DecidedMay 1, 1968
StatusPublished
Cited by69 cases

This text of 440 P.2d 224 (Coday v. WILLAMETTE TUG & BARGE COMPANY) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Coday v. WILLAMETTE TUG & BARGE COMPANY, 440 P.2d 224, 250 Or. 39, 1968 Ore. LEXIS 513 (Or. 1968).

Opinion

O’CONNELL, J.

This is an appeal from a judgment of the circuit court for Multnomah county reversing an order of the Workmen’s Compensation Board which had denied plaintiff compensation for an injury alleged to have arisen out of and in the course of his employment.

Plaintiff suffered a heart attack while on the job as foreman of a crew operating a pile driver owned by defendant employer. Plaintiff contends that his injury was compensable under the provisions of the new Workmen’s Compensation Act (ORS eh 656). De *41 fendant contends that the injury was not one “arising out of” plaintiff’s employment, and therefore was not compensable (ORS 656.002(6)).

The case was first heard by a hearing officer who found in favor of plaintiff. No medical testimony was presented at that hearing. Upon appeal by defendant, the Workmen’s Compensation Board remanded the case on the ground that the hearing officer should have heard medical testimony. A second hearing officer took testimony from two doctors, one who testified on behalf of plaintiff and the other on behalf of defendant. Plaintiff’s medical witness testified that the work plaintiff was performing at the time he was stricken was a material contributing factor in causing the heart attack. Defendant’s medical witness expressed a contrary opinion. The hearing officer denied plaintiff’s claim. Upon review, the Board affirmed the hearing officer. Plaintiff then sought judicial review of the Board’s order in the circuit court. The circuit court found for plaintiff and ordered the Board to award plaintiff the benefits provided under the Workmen’s Compensation Act.

The principal issue on appeal is the scope of judicial review of the administrative findings. The controlling statute is ORS 656.298(6), which reads as follows:

“The circuit court review shall be by a judge, without a jury, on the entire record forwarded by the board. The judge may remand the case to the hearing officer for further evidence taking, correction or other necessary action. However, the judge may hear additional evidence concerning disability that was not obtainable at the time of the hearing. The judge may affirm, reverse, modify or supplement the order appealed from, and make such *42 disposition-of the case as the judge determines' to be appropriate.”

Defendant argues that under this statute if there is substantial evidence to support the administrative finding the circuit court must affirm the administrative determination. Plaintiff contends, and the trial court held, that the statute requires a de novo judicial review on the record forwarded by the Board.

We are of the opinion that the trial court’s interpretation of the statute is correct. We reach this conclusion upon the basis of the language of the statute as illuminated by its legislative history. The last sentence of ORS 656.298(6) describes the power of the court to review in very broad terms. The “judge may affirm, reverse, modify or supplement the order appealed from and make such disposition of the case as the judge determines to be appropriate.” We do not read the other provisions of subsection (6), empowering the court to hear additional evidénce concerning disability or to remand the case to the hearing officer for further evidence, as a limitation on the broad power of review described in the last sentence.

There is a similar broad power vested in the Board to review the determination of the hearing officer. This is found in ORS 656.295(5) (6). Subsection (5) provides for review by the Board on the record made in the hearing before the hearing officer, with the power to remand for further evidence. Subsection (6) then provides as follows:

“(6) The board may affirm, reverse, modify or supplement the order of the hearing officer and *43 make such disposition of the case as it determines to be appropriate. It shall make its decision within 30 days after the review.”

The language of this subsection is strikingly similar to ORS 656.298(6). It does not seem likely that the legislature would intend to make the hearing officer the primary adjudicative agency in the administrative hierarchy and to limit the Board’s reviewing power to a determination of whether there was substantial evidence to support the hearing officer’s findings. Questions of fact dealt with in administrative hearings often merge into questions of legislative policy and it would seem that the legislature would intend that the Board, rather than the hearing officer, was to have this policy-making function.

It is argued that because of the difference in function between administrative agencies and courts an interpretation which vests broad powers of review in the Board is not antithetical to an interpretation limiting judicial review to a narrow scope. We think this begs the question. The answer is certainly not found in the language of the statutes and when one looks outside the statute for the legislative purpose there is no evidence to indicate that the review powers of the Board and the courts was to be different.

Both parties have relied upon the minutes of legislative committees and other materials relating to the legislative history of ORS 656.298(6). These materials vividly tell the story of the struggle between the *44 forces for and against broad judicial review. In that struggle there were proponents for the retention of the procedure under the old Workmen’s Compensation Act which provided for a jury trial upon an appeal from the administrative order. At the other extreme were those who proposed the so-called “substantial evidence rule.” The legislative history shows that the present statute was a compromise between these two extreme views. The record made in the legislative hearings quite clearly demonstrates that the compromise was effected by eliminating the jury trial and vesting in the circuit judge the power to review de novo the record made in the administrative agency.

Upon the basis of the statutory language and the legislative history, we find ourselves compelled to construe OES 656.298(6) as providing for a de novo review by the circuit court upon the record forwarded by the Board.

Upon appeal from the circuit court to this court, the parties again are entitled to a de novo review on the record made in the administrative agency (and on any further record made in the circuit court on the issue of disability). This is by force of OES 656.301 which provides that upon appeal from the circuit court to this court, “the scope of review [is] to be the same as that of the circuit court.”

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Bluebook (online)
440 P.2d 224, 250 Or. 39, 1968 Ore. LEXIS 513, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coday-v-willamette-tug-barge-company-or-1968.