Director, Office of Workers' Compensation Programs, United States Department of Labor v. Quarto Mining Company Elba F. Bellomy

901 F.2d 532, 1990 U.S. App. LEXIS 6160, 1990 WL 48287
CourtCourt of Appeals for the Sixth Circuit
DecidedApril 24, 1990
Docket89-3453
StatusPublished
Cited by119 cases

This text of 901 F.2d 532 (Director, Office of Workers' Compensation Programs, United States Department of Labor v. Quarto Mining Company Elba F. Bellomy) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Director, Office of Workers' Compensation Programs, United States Department of Labor v. Quarto Mining Company Elba F. Bellomy, 901 F.2d 532, 1990 U.S. App. LEXIS 6160, 1990 WL 48287 (6th Cir. 1990).

Opinions

[534]*534BOYCE F. MARTIN, Jr., Circuit Judge.

This case addresses the propriety of the administrative law judge’s determination that under the Black Lung Benefits Act, 30 U.S.C. § 901 et seq., Quarto Mining Co. was entitled to transfer its liability for the reopened claim of Elba P. Bellomy to the Black Lung Disability Trust Fund.

Elba F. Bellomy was employed as a miner in the coal fields of West Virginia and Ohio. He filed a claim for black lung benefits with the Social Security Administration on December 16, 1970. That claim was denied on January 23, 1971. On September 11, 1972, he filed a second black lung benefits claim with the Social Security Administration which was also denied. These claims are categorized as “Part B” claims under the Black Lung Benefits Act because they were filed on or before July 1, 1973.

On April 16, 1979, Bellomy filed a third claim for black lung benefits with the Department of Labor. This claim is categorized as a “Part C” claim under the Black Lung Benefits Act because it was filed after December 31, 1973. The Department of Labor issued a Notice of Initial Finding on February 8, 1980, which awarded benefits to Bellomy. Bellomy’s injury for the purposes of this claim occurred in the State of Ohio and his employer at this time was Quarto Mining Co. Quarto Mining Co. challenged this finding, and in an Initial Determination dated September 11, 1980, the award was affirmed, with a date of entitlement of April 1, 1979.

Quarto Mining Co. requested a formal hearing on this matter before an administrative law judge. On March 15, 1984, a formal hearing regarding Elba Bellomy’s benefits award was held before an administrative law judge in Morgantown, West Virginia. At this hearing, Quarto Mining moved to be dismissed from liability under the Black Lung Benefits Amendment of 1981. That amendment, codified in pertinent part at 30 U.S.C. § 932(c)(2), (j)(3), provides that liability for black lung benefits may be transferred from the employer to a trust fund administered by the Department of Labor in certain circumstances. Bellomy joined in this motion, and the hearing thereafter considered only the issue of Quarto Mining’s liability. At the hearing, Bellomy testified that he had not received any notice from the Social Security Administration regarding his right to have his previously denied claims reconsidered pursuant to 30 U.S.C. § 945.

The hearing was conducted without the presence of a representative of the Department of Labor. Consequently, on April 2, 1984, the administrative law judge issued an order granting the Director, Office of Workers’ Compensation Programs, Department of Labor, twenty days in which to present evidence and argument regarding the applicability of the transfer provisions in the Black Lung Benefits Amendment of 1981. On April 10, 1984, the Director submitted an argument opposing transfer of liability but failed to offer any evidence either in support of that position or challenging Bellomy’s assertion about his lack of notice. On May 19, 1984, Quarto Mining Co. filed a response brief noting the lack of any evidence by the Director which demonstrated that Bellomy received notice of his right to elect review of his previously denied claims. On May 22, 1984, the Director requested an additional twenty days to submit evidence in the form of a computer printout which listed the names of Bellomy and others and nothing more. There was no direct evidence that the card was ever mailed. When the Director was unable to carry its burden, the administrative law judge, on May 25, 1984, issued a Decision and Order.

The administrative law judge ruled that Bellomy never received an election card, therefore, “good cause” existed for his failure to respond to the election card because his failure to receive the card was due to a circumstance beyond his control or due to an unavoidable circumstance. Moreover, the fact that Bellomy filed a claim on April 6, 1979 indicated both that he was continuing to pursue his claims and that he would have filed an election had he in fact received a card. The administrative law judge then dismissed Quarto Mining Co. as the responsible operator and transferred [535]*535liability to the Black Lung Disability Trust Fund, returning the case to the Deputy Commissioner for payment.

The Director appealed the administrative law judge’s decision to the Benefits Review Board. The Director contended that the administrative law judge did not have the jurisdiction to make a “good cause” determination for failure to elect review. The Board rejected the Director’s argument and affirmed the administrative law judge. From that decision, the Director appealed to this Court.

The Black Lung Benefits Act provides that no operator, here, Quarto Mining Co., shall be liable for a miner’s death or disability due to black lung if that death or disability was the subject of a claim denied before March 1, 1978, provided that the claim has been approved in accordance with 30 U.S.C. § 945. 30 U.S.C. § 932(c). Liability for such approved claims is instead transferred to the Black Lung Disability Trust Fund. 30 U.S.C. § 932(j)(3). The transfer provisions altered the liability for two types of denied claims which were reopened by the Black Lung Benefits Reform Act of 1977: those claims which had been filed with and denied by the Social Security Administration under Part B of the Act, and those claims which had been filed with and denied by the Department of Labor under Part C of the Act. 30 U.S.C. § 945. 30 U.S.C. § 945 provides that all claims denied prior to March 1, 1978 are eligible for reopening, but that such reopening is automatic only for Part C claims. Part B claimants, such as Bellomy, are required to request review of their claims, either with the Social Security Administration or the Department of Labor, as appropriate. 30 U.S.C. § 945(a)(1)(A), (B).

The Code of Federal Regulations provides that for Part B claims:

No claim filed with and denied by the Social Security Administration is subject to the transfer of liability provisions unless a request was made by or on behalf of the claimant for review of such denied claim under section 435. Such review must have been requested by the filing of a valid election card or other equivalent document with the Social Security Administration in accordance with section 435(a) and its implementing regulations ....

20 C.F.R. § 725.496(d).

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Bluebook (online)
901 F.2d 532, 1990 U.S. App. LEXIS 6160, 1990 WL 48287, Counsel Stack Legal Research, https://law.counselstack.com/opinion/director-office-of-workers-compensation-programs-united-states-ca6-1990.