Kohl v. Commissioner Social Security Administration

District Court, D. Oregon·Decided November 3, 2022·No. 6:21-cv-00518·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF OREGON

NORMAN K.,1 Case No. 6:21-cv-00518-SB

Plaintiff, OPINION AND ORDER

v.

KILOLO KIJAKAZI, Acting Commissioner of Social Security,

Defendant.

BECKERMAN, U.S. Magistrate Judge. This matter comes before the Court on Norman K.’s (“Plaintiff”) motion to alter or amend the Court’s judgment in his Social Security appeal, pursuant to Federal Rule of Civil Procedure (“Rule”) 59(e). Plaintiff asks the Court to reconsider its Opinion and Order dated June 17, 2022, which affirmed the Commissioner of the Social Security Administration’s (“Commissioner”) denial of Plaintiff’s application for Disability Insurance Benefits under Title

1 Tragically, the claimant died by suicide on August 11, 2022. The Court allowed the claimant’s father to substitute as the plaintiff in this action. (ECF No. 30.) Although the father is now the substitute plaintiff, the Court refers to the original claimant as “Plaintiff” herein. In the interest of privacy, this opinion uses only the first name and the initial of the last name of the non-governmental parties. II of Social Security Act. The parties have consented to the jurisdiction of a magistrate judge pursuant to 28 U.S.C. § 636(c). For the reasons explained below, the Court grants Plaintiff’s motion. DISCUSSION I. STANDARD OF REVIEW “Rule 59(e) allows a litigant to file a ‘motion to alter or amend a judgment’ . . . [no later

than] 28 days from entry of the judgment, with no possibility of an extension.”2 Banister v. Davis, 140 S. Ct. 1698, 1702 (2020) (quoting FED. R. CIV. P. 59(e) and citing FED. R. CIV. P. 6(b)(2)). Rule 59(e) “gives a district court the chance ‘to rectify its own mistakes in the period immediately following’ its decision.” Id. (quoting White v. N.H. Dep’t of Emp. Sec., 455 U.S. 445, 450 (1982)). Under Rule 59(e), “a court has discretion to alter or amend a judgment if: (1) it is presented with newly discovered evidence; (2) it committed clear error or made an initial decision that was manifestly unjust; or (3) there is an intervening change in controlling law.” Fenton v. Colvin, No. 6:14-cv-0350-SI, 2015 WL 3464072, at *1 (D. Or. June 1, 2015) (citing

Ybarra v. McDaniel, 656 F.3d 984, 998 (9th Cir. 2011) and McDowell v. Calderon, 197 F.3d 1253, 1255 (9th Cir. 1999)). Courts, however, “will not address new arguments or evidence that the moving party could have raised before the decision issued.” Banister, 140 S. Ct. at 1703 (citing 11 C. Wright, A. Miller, & M. Kane, Federal Practice and Procedure § 2810.1, pp. 163- 164 (3d ed. 2012)). The Ninth Circuit has also explained that Rule 59(e) “offers an extraordinary remedy, [which should] be used sparingly in the interests of finality and conservation of judicial

2 Plaintiff timely filed his motion on July 4, 2022, seventeen days after the Court’s entry of judgment. resources.” Kona Enters., Inc. v. Est. of Bishop, 229 F.3d 877, 980 (9th Cir. 2000) (citation omitted). II. ANALYSIS Plaintiff does not assert that his motion is based on any newly discovered evidence or intervening change in controlling law. (See Pl.’s Mot. Alter Amend J. (“Pl.’s Mot.”) at 1-7, ECF

No. 25.) Plaintiff does, however, suggest that the Court made three clear errors or manifestly unjust decisions. A. Drug Addiction and Alcoholism Analysis Plaintiff suggests that the Court clearly erred or made a manifestly unjust decision in rejecting Plaintiff’s argument that the Administrative Law Judge (“ALJ”) failed adequately to assess Plaintiff’s substance abuse and did not perform a proper drug addiction and alcoholism (“DAA”) analysis. (See Pl.’s Mot. at 4, arguing that if the ALJ performed a “[p]roper and [r]equired” DAA analysis after the five-step inquiry, the ALJ would have found that Plaintiff was disabled (bold omitted); see also Pl.’s Opening Br. at 20, ECF No. 19, “In effect, the ALJ made a materiality finding without following the proper procedures[.]”). Plaintiff also suggests

that the Court clearly erred or made a manifestly unjust decision in holding that the ALJ’s alleged failure to perform a DAA analysis was harmless because she “determined that Plaintiff was not disabled absent his drug use.” (See id. at 4-5, quoting Op. & Order (“O&O”) at 8, ECF No. 22.) 1. The ALJ’s Decision The ALJ found that Plaintiff’s PTSD, depression, and polysubstance abuse were severe impairments. (Tr. 19.) The ALJ also found that Plaintiff suffers from no more than moderate mental health-related limitations, pointing in “particular[]” to Plaintiff’s abilities and performance on exams “absent substance use” and “sans substance use” and when he was “not under the effects of substance use” and “adherent to treatment” recommendations. (Tr. 20-21.) Further, the ALJ cited evidence of Plaintiff’s “drastic[] improve[ment]” when he was compliant with treatment recommendations, taking his medications, and not using drugs. (Tr. 22-24.) Ultimately, the ALJ concluded that even when considering Plaintiff’s substance abuse in conjunction with his other impairments, Plaintiff had the residual functional capacity (“RFC”) to

perform unskilled jobs that did not involve contact with the public, or assembly-line pace work, but did involve simple, routine, and repetitive tasks, making simple work-related decisions, few, if any, workplace changes, and occasional contact with coworkers. (See Tr. 21, 24, 25-26, 53-54, stating that the limitations in the RFC are consistent with certain findings at step three and “consider[] [Plaintiff’s] PTSD, depression, and substance abuse in light of continued failure to adhere to treatment [recommendations] with correlating worsening of symptoms” (emphasis added)). Based on the VE’s testimony, the ALJ determined that Plaintiff was not disabled. (Tr. 25-26.) Notably, although the ALJ stated that her RFC limitations considered and accounted for

Plaintiff’s substance abuse, the ALJ’s decision focused on Plaintiff’s functionality when he was not using drugs, and repeatedly emphasized the “correlation” between, and a “pattern” of episodes related to, Plaintiff’s acute mental health episodes and “concurrent” drug use. (Tr. 20- 23.) The ALJ cited several examples in support of these findings. (See Tr. 22-23, citing Tr. 1891- 92, November 29 and December 3, 2018, after recently being “admitted involuntarily,” Plaintiff was depressed and anxious, endorsed auditory hallucinations, “remain[ed] a high danger to self/others,” and reported “thoughts of suicide[,] feeling hopeless,” and “becoming depressed and suicidal once he realize[d] he no longer ha[d] drugs”; Tr. 404, July 5, 2016, Plaintiff’s diagnoses included “[a]cute psychosis due to methamphetamines” and “[p]olysusbtance abuse including continuous crystal meth abuse, opiate addiction, heroin withdrawal, alcohol abuse, continuous”; Tr. 388, July 3, 2016, Plaintiff “admit[ted] to using methamphetamines” and Plaintiff’s transfer diagnoses included “[e]ncephalopathy due [to] methamphetamine intoxication with some alcohol intoxication, now resolved” and “[m]ethamphetamine psychosis, now resolved”; Tr. 2230, June 4, 2014, Plaintiff complained of anxiety and hallucinations but reported using methamphetamine,

heroin, and alcohol and being “off his medications for a month” because he “lost them all”; Tr. 2260, March 19, 2014, Plaintiff “admitted to methamphetamine use with associated symptoms of paranoia and agitation”; Tr.

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