John H. Robbins v. United States Railroad Retirement Board

594 F.2d 448, 1979 U.S. App. LEXIS 14905
CourtCourt of Appeals for the Fifth Circuit
DecidedMay 4, 1979
Docket76-4274
StatusPublished
Cited by13 cases

This text of 594 F.2d 448 (John H. Robbins v. United States Railroad Retirement Board) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
John H. Robbins v. United States Railroad Retirement Board, 594 F.2d 448, 1979 U.S. App. LEXIS 14905 (5th Cir. 1979).

Opinions

GODBOLD, Circuit Judge:

In our original panel opinion, 586 F.2d 1034 (CA5, 1978), we held that Robbins was entitled to a pretermination due process hearing, that he had not received such a hearing, and that benefits must be paid to him from the date they were cut off until it is determined, if so determined, after a proper hearing that he is not entitled to benefits. On reconsideration we conclude that we were wrong in requiring a pretermination hearing and ordering continuation of benefits.

It is well established that the due process clause prohibits the government from depriving its citizens of property without providing hearings “at a meaningful time.” Fuentes v. Shevin, 407 U.S. 67, 80, 92 S.Ct. 1983, 1994, 32 L.Ed.2d 556, 570 (1972). In some contexts the meaningful time must be before a deprivation takes place. This was true of the summary prejudgment seizures struck down in Fuentes. Similarly, in Goldberg v. Kelly, 397 U.S. 254, 90 S.Ct. 1011, 25 L.Ed.2d 287 (1970), it was held that welfare payments may not be terminated without first affording the claimant a hearing. Although Goldberg involved a statutory entitlement such as the one at hand the Supreme Court has subsequently indicated that its rationale will be followed only in some situations. In Mathews v. Eldridge, 424 U.S. 319, 96 S.Ct. 893, 47 L.Ed.2d 18 (1976), the Supreme Court declined to apply Goldberg to claims of Social Security disability benefits. The Court characterized Goldberg as having been based on the dire need of welfare recipients and held that since disability benefits are not based on need, and since the beneficiaries might have other means of subsistence, there was no right to pretermination hearings. 424 U.S. at 340-41, 96 S.Ct. at 905-906, 47 L.Ed.2d at 36-37. Even if Mathews and Goldberg were the only controlling precedents, we would be inclined to follow Mathews since it is unlikely that railroad unemployment beneficiaries are any needier than disability beneficiaries.1 But the same conclusion is also dictated by the Supreme Court’s summary affirmance of Graves v. Meystrik, 425 F.Supp. 40 (E.D.Mo.), aff’d 431 U.S. 910, 97 S.Ct. 2164, 53 L.Ed.2d 220 (1977). There it was held that the due process clause did not require Missouri to afford pretermination hearings to unemployment benefit claimants. Although Graves involves a state program, in its essential elements it is indistinguishable from the present case, and- we feel obliged to follow it.

This is not, however, the end of our discussion but only the beginning. For while we find that the petitioner had no right to a pretermination hearing, he did have a right to a fair hearing on eligibility at some point. We find that he was denied such a hearing and remand to the Board so that he can be afforded one.

First we look at the Board’s argument that petitioner had no property interest in the benefit payments. (This is so, the Board asserts, because there was no “termination” [450]*450at all. The Board paid petitioner benefits for two registration periods on the basis of his claim of entitlement, before any determination of eligibility. This practice, sanctioned by 45 U.S.C. § 362(i), allows the Board to provide funds quickly after layoff, when help may be most needed. In its petition for rehearing the Board asserts that if these initial payments convert an unproven claim into a property right that cannot be divested without due process, the Board’s practice will have to be stopped. We could not impose upon the Board the requirements of due process unless some property or liberty interest is involved. The existence of such interests is determined by seeing whether the substantive law on which they are arguably based (in this case the Railroad Unemployment Insurance Act, 45 U.S.C. § 351 et seq.) gives rise to a “legitimate claim of entitlement.” Memphis Light, Gas and Water Division v. Craft, 436 U.S. 1, 11, 98 S.Ct. 1554, 1561, 56 L.Ed.2d 30, 40 (1978). Compare Bishop v. Wood, 426 U.S. 341, 96 S.Ct. 2074, 48 L.Ed.2d 684 (1976). See also Arnett v. Kennedy, 416 U.S. 134, 94 S.Ct. 1633, 40 L.Ed.2d 15 (1974) (Powell, J., concurring); Board of Regents v. Roth, 408 U.S. 564, 92 S.Ct. 2701, 33 L.Ed.2d 548 (1972); Goldberg v. Kelly, supra. We need not decide whether the Railroad Unemployment Insurance Act, even before any payments are made, gives a claimant a property interest that will trigger the requirements of due process, for our decision that petitioner’s hearing was inadequate is ultimately based not on the due process clause but on the Act itself. For the reasons detailed below we conclude that petitioner was not given the “fair hearing” required by 45 U.S.C. § 355(c). Thus the Board’s concern about having to terminate the practice of granting initial benefits before eligibility is determined is removed from this case because our decision is not based on the existence of that practice.

We turn now to the procedures used by the Board in this case. Board regulations provide that after an initial ruling on eligibility by a District Office a claimant found ineligible may seek a hearing before an appeals referee. 20 C.F.R. §§ 320.5-320.32.2 In setting out procedures for the hearing the regulations further authorize the appeals referee to obtain evidence on his own:

If, in the judgment of the referee, evidence not offered is available and relevant, and is material to the merits of the appeal, the referee shall obtain , such evidence upon his own initiative.

20 C.F.R. § 320.25(b).

The referee in this case made use of this authority. The day after the parties appeared before him he called the Board’s Atlanta office and requested a wide variety of information. Some of the requests were for documents such as time records of Southern Railway, company rules, and the company’s collective bargaining agreement. Other requests engendered telephone inquiries from the District Office to company and union officials, the results of which were passed along to the referee. More such requests were made in the following weeks. All of this took place without giving notice to the petitioner of what information was being gathered3 or affording him any opportunity to rebut any of it that might be adverse. Much of the information was damaging and was evidently relied upon by the referee and by the Board in its review of his decision.4 Thus, while the

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594 F.2d 448, 1979 U.S. App. LEXIS 14905, Counsel Stack Legal Research, https://law.counselstack.com/opinion/john-h-robbins-v-united-states-railroad-retirement-board-ca5-1979.