Fogg v. Nordberg

4 Mass. L. Rptr. 479
CourtMassachusetts Superior Court
DecidedOctober 3, 1995
DocketNo. 944570
StatusPublished

This text of 4 Mass. L. Rptr. 479 (Fogg v. Nordberg) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fogg v. Nordberg, 4 Mass. L. Rptr. 479 (Mass. Ct. App. 1995).

Opinion

Fremont-Smith, J.

Currently before this court are two consolidated actions arising out of the same administrative proceedings at the Department of Employment and Training (DET). First, there is an action for declaratory judgment, pursuant to G.L.c. 231A, whereby plaintiffs seek a declaration that a regulation promulgated by the Commissioner of the DET (the Commissioner) is unlawful.2 Second, there is an action by the Commissioner for judicial review of a decision by the Board of Review of the DET.3 The Commissioner moves (1) to dismiss the declaratory action as moot and (2) for judgment on the administrative record in the action for judicial review.4 Plaintiffs oppose the motion to dismiss the declaratory action as moot and the motion for judgment on the administrative record. Further, plaintiffs cross-move for judgment on the administrative record.

For the following reasons the Commissioner’s motion to dismiss the declaratoiy action as moot is DENIED-, the Commissioner’s motion for judgment on the administrative record, reversing the Board of Review, is DENIED; and plaintiffs’ (Donald W. Fogg et. al.) motion for judgment on the administrative record is ALLOWED.

FACTUAL BACKGROUND

Fogg worked for Martin-Marietta from April, 1993 until April 29, 1994,5 when he left pursuant to the closing of the Burlington facility. In late 1993, Martin-Marietta offered him several severance plans, and he chose one that allowed him to terminate his employment and collect his pension fund prior to age 60. His pension became effective on May 21, retroactive to May 1, 1994.

Fogg filed for unemployment benefits on May T9, 1994. At the time that Fogg applied for unemployment benefits, G.L.c. 151A, §29(d) (6) required the reduction of weekly unemployment benefits where the benefi[480]*480ciary was also receiving pension payments, “except that no payment shall reduce the amount of benefits otherwise payable unless the individual’s date of entitlement for such payment occurred during the base period or benefit year." G.L.c. 151A, §29(d)(6) (1992 ed.) (emphasis added).

“Benefit year" was and still is defined as the “period of fifty-two consecutive weeks beginning on the Sunday immediately preceding the date on which an individual files a claim for [unemployment] benefits.” G.L.c. 151A, §1 (b) (1992 ed.). Fogg filed for unemployment benefits on May 19, 1994. Therefore, his benefit year is May 15, 1994 through May 14, 1995, so that his entitlement date to the pension (May 1, 1994) did not occur during his benefit year.

Prior to amendment in 1992, the definition of “base period” was “the period of fifty-two consecutive calendar weeks ending with the day immediately preceding the first day of a claimant’s benefit year,” G.L.c. 151A, §l(a) (1992 ed.), so that Fogg’s base period would have been May 15, 1993 through May 14, 1994, resulting in consecutive time periods, with no interim period between the base period and the benefit year, and his entitlement date would have been within the base period.

The amendment in 1992 applied to “benefit years beginning on or after January [1, 1993]," and defined “base period” as “the first four of the last five completed calendar quarters immediately preceding an individual’s benefit year.” G.L.c. 151A, §l(a) (1992 ed.).6 Under the definition of base period as amended, Fogg’s base period is January 1, 1993 through December 31, 1993,7 and there exists an interim period of time between the base period and the benefit year (May 15, 1994 — May 14, 1995) from January 1, 1994 through May 14, 1994, during which his entitlement to pension occurred (May 1,1994), so that his weekly unemployment benefits were not to be reduced pursuant to §29(d)(6).

On April 10, 1994, however, before Fogg terminated his employment and filed for unemployment benefits, the Commissioner of the DET issued regulation 430 CMR 4.04(8), which is the subject of the present declaratory action.8 This regulation effectively removed the interim period by authorizing a reduction of weekly unemployment compensation where the applicant for unemployment benefits became entitled to pension payments during the period from the beginning of the base period through the end of the benefit year. Plaintiffs contend that this regulation was void because it was beyond the Commissioner’s authority pursuant to G.L.c. 23 §9J and was repugnant to the statute as enacted by the legislature, and was not, as the Commissioner contends, valid as an interpretation of the provisions of G.L.c. 151A.

In accordance with this regulation, the DETnotified Fogg, in a letter dated July 5, 1994, that an amount equal to 50% of his pension would be deducted from his weekly unemployment benefits of $325, púrsuant to c. 151A, §29(d)(6), resulting in weekly unemployment benefits of $26. This determination was affirmed by Review Examiner Thomas M. Ritacco on August 11, 1994, but the Board of Review, in an appeal pursuant to G.L.c. 151A, §40, held, in a decision dated October 4, 1994, that, notwithstanding the regulation, Fogg was not subject to the deduction from his weekly unemployment benefits.9 The Commissioner sought judicial review of this decision, pursuant to c. 151A, §42, which is now before this court.10

On December 29, 1994, the state legislature amended c. 151A, §29(d)(6) by deleting the interim period, i.e., by deleting the following words from the end of §29 (d) (6): “except that no payment shall reduce the amount of benefits otherwise payable unless the individual’s date of entitlement for such payment occurred during the base period or benefit year.” St. 1994 c. 260, §5. This amendment was made retroactive, i.e., was made “applicable with respect to new initial claims for unemployment benefits filed on or after April [10, 1994],” the effective date of regulation 430 CMR 4.04(8), St. 1994 c. 260, §7, thus encompassing Fogg’s claim (which was filed on May 14, 1995), regardless of whether the regulation was void.

DISCUSSION A. MOTION TO DISMISS THE DECLARATORY ACTION AS MOOT

Plaintiffs seek a declaration that the regulation is invalid as an ultra vires regulation that deprives them of properly rights. The Commissioner, on the other hand, contends that the regulation was valid and that, in any event, the retroactive amendment of G.L.c. 151A, §29(d)(6) by St. 1994 c. 260, §§5 & 7 (the Act) moots the regulation and thereby moots plaintiffs’ action for declaratory relief. Plaintiffs, in turn, contend that the retroactive application of the Act is unconstitutional, so that both the regulation and retroactive statute being of no effect, the pre-Act statute controls.

The question whether a statute violates due process protections by abolishing rights retroactively requires a balancing of equities to determine whether the legislative action, under the particular circumstances, is unreasonable. Carleton v. Framingham, 418 Mass. 623, 631 (1994). The court must balance “the nature of the public interest which motivated the Legislature to enact the retroactive statute; the nature of the rights affected retroactively; and the extent or scope of the statutoiy effect or impact.” Id. (quoting Leibovich v. Antonellis, 410 Mass. 568, 577 (1991)).

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Bluebook (online)
4 Mass. L. Rptr. 479, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fogg-v-nordberg-masssuperct-1995.