Kenneth Crandall v. Denis McDonough

CourtCourt of Appeals for the Third Circuit
DecidedJune 18, 2025
Docket24-2899
StatusUnpublished

This text of Kenneth Crandall v. Denis McDonough (Kenneth Crandall v. Denis McDonough) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kenneth Crandall v. Denis McDonough, (3d Cir. 2025).

Opinion

NOT PRECEDENTIAL

UNITED STATES COURT OF APPEALS FOR THE THIRD CIRCUIT ___________

No. 24-2899 __________

KENNETH R. CRANDALL, Appellant

v.

DENIS R. MCDONOUGH, Secretary Department of Veterans Affairs; DEPARTMENT OF VETERANS AFFAIRS ____________________________________

On Appeal from the United States District Court for the Eastern District of Pennsylvania (D.C. Civil Action No. 2:24-cv-00626) District Judge: Honorable John M. Younge ____________________________________

Submitted Pursuant to Third Circuit LAR 34.1(a) April 22, 2025 Before: HARDIMAN, MATEY, and CHUNG, Circuit Judges

(Opinion filed June 18, 2025) ___________

OPINION* ___________

PER CURIAM

Kenneth Crandall appeals the District Court’s dismissal of his amended complaint.

We will affirm.

* This disposition is not an opinion of the full Court and pursuant to I.O.P. 5.7 does not constitute binding precedent. I.

Crandall worked for the Department of Veterans Affairs (the “VA”) between 2010

and 2013.1 Between 2011 and 2017, Crandall acted as a whistleblower for the federal

government. In 2012, the VA terminated Crandall’s employment, which Crandall

successfully challenged. He was again terminated in 2013, and the parties resolved his

challenge to the termination by executing a settlement agreement. Crandall agreed that

he would never again work for the VA.

In 2018, Crandall applied to be accredited as a VA claims agent. The VA’s Chief

Counsel denied his application. Chief Counsel explained that he questioned Crandall’s

fitness to serve as a claims agent because Crandall had continually mocked VA

employees after his employment ended. Chief Counsel cited various emails that Crandall

had sent to VA employees that reflected his “unprofessional, vengeful mentality.”

Crandall alleged that the VA stored his emails in a system of records, and that the VA

failed to protect his personal and sensitive information by storing it in an unsecure

system.

Crandall brought this amended complaint against the VA and the VA’s Secretary,

alleging that they violated provisions of the Privacy Act, see 5 U.S.C. § 552a(e)(1), (4),

(7), the First Amendment, the “Veterans Affairs Information Security Act,”2 and the

1 For purposes of this appeal, we will accept the complaint’s well-pleaded facts as true. See Fowler v. UPMC Shadyside, 578 F.3d 203, 210 (3d Cir. 2009). 2 The District Court construed Crandall’s complaint as asserting a claim under the Veterans Benefits, Health Care, and Information Technology Act of 2006, 38 U.S.C. § 5721 et seq. The Court rejected the claim because it discerned no private right of action 2 Whistleblower Protection Act (“WPA”), 5 U.S.C. § 2302(b)(8). The defendants moved

to dismiss under Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6). The District

Court granted the motion without further leave to amend on the ground that Crandall

failed to state a plausible claim for relief. Crandall appealed.

II.

We have jurisdiction under 28 U.S.C. § 1291. We review the District Court’s

dismissal de novo. See Doe v. Princeton Univ., 30 F.4th 335, 341 (3d Cir. 2022). “To

survive a motion to dismiss, a complaint must contain sufficient factual matter, accepted

as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556

U.S. 662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)).

Crandall argues that the District Court erred by dismissing his WPA claim. The

District Court determined that Crandall failed to state a claim for relief because VA

claims agents are not federal employees, and therefore Crandall’s claim did not arise out

of an application for federal employment. See 5 U.S.C. § 2302(b)(8) (prohibiting adverse

personnel actions against “any employee or applicant for employment” because of certain

disclosures). The parties disagree as to whether the WPA covered Crandall as a former

employee and a VA claims agent applicant. We need not reach that issue, however,

because as the appellees point out, the District Court was not the proper forum in which

to bring the WPA claim.

under that statute, and it determined that the claim would also fail under the Administrative Procedure Act, 5 U.S.C. § 702 et seq. Crandall does not challenge the disposition of this claim on appeal. 3 Generally, a WPA claimant must first seek corrective action from the Office of

Special Counsel and the Merit Systems Protection Board. See 5 U.S.C. § 1214(a)(3).3

The claimant can seek review of the Board’s disposition of the WPA claim by filing a

petition with a federal court of appeals. See 5 U.S.C. § 7703(b)(1)(B); see also Elgin v.

Dep’t of Treasury, 567 U.S. 1, 10-12 (2012) (explaining that Congress precluded district

court jurisdiction over most claims for personnel action taken against federal employees).

The only way that a district court can review an agency decision under the WPA is if the

complaint also raises issues under an antidiscrimination statute. See 5 U.S.C.

§ 7703(b)(2); Perry v. Merit Sys. Prot. Bd., 582 U.S. 420, 425-27 (2017); Jonson v.

FDIC, 877 F.3d 52, 56 (1st Cir. 2017); cf. Makky v. Chertoff, 541 F.3d 205, 211 (3d Cir.

2008).

Here, even if Crandall had exhausted his administrative remedies, he still could

not seek review in the District Court, because, as he makes clear in his pleadings, he did

not bring a discrimination claim. See 5 U.S.C. § 7703(b)(2). The District Court therefore

lacked subject matter jurisdiction to consider the WPA claim, and we will affirm the

District Court’s dismissal on that ground. But because dismissals for lack of subject

matter jurisdiction should be without prejudice, see Figueroa v. Buccaneer Hotel Inc.,

188 F.3d 172, 182 (3d Cir. 1999), we will modify the District Court’s dismissal of the

3 Under some circumstances, the claimant can proceed directly to the Merit Systems Protection Board without first seeking corrective action from the Special Counsel. See 5 U.S.C.

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Related

Doe v. Chao
540 U.S. 614 (Supreme Court, 2004)
Bell Atlantic Corp. v. Twombly
550 U.S. 544 (Supreme Court, 2007)
Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
Martinez, Robert v. Bureau of Prisons
444 F.3d 620 (D.C. Circuit, 2006)
Elgin v. Department of the Treasury
132 S. Ct. 2126 (Supreme Court, 2012)
Makky v. Chertoff
541 F.3d 205 (Third Circuit, 2008)
Fowler v. UPMC SHADYSIDE
578 F.3d 203 (Third Circuit, 2009)
Joseph Curry v. Brianne Yachera
835 F.3d 373 (Third Circuit, 2016)
Perry v. Merit Systems Protection Bd.
582 U.S. 420 (Supreme Court, 2017)
Jonson v. Federal Deposit Insurance Corp.
877 F.3d 52 (First Circuit, 2017)
John Doe v. Princeton University
30 F.4th 335 (Third Circuit, 2022)
Egbert v. Boule
596 U.S. 482 (Supreme Court, 2022)
Figueroa v. Buccaneer Hotel Inc.
188 F.3d 172 (Third Circuit, 1999)

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