Lowry v. Board of Industrial Insurance Appeals

684 P.2d 678, 102 Wash. 2d 58
CourtWashington Supreme Court
DecidedJune 21, 1984
Docket49659-5
StatusPublished
Cited by3 cases

This text of 684 P.2d 678 (Lowry v. Board of Industrial Insurance Appeals) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lowry v. Board of Industrial Insurance Appeals, 684 P.2d 678, 102 Wash. 2d 58 (Wash. 1984).

Opinion

Utter, J.

Can a state industrial appeals judge be held insubordinate for failing to follow the directive of his superior, the Board of Industrial Insurance Appeals, when his refusal is based upon a reasonable belief that compliance with the directive will cause him to further an illegal practice? We hold that he cannot. The industrial appeals judge's belief was reasonable in this case because the Board's legal adviser, the Attorney General, had previously indicated that lay representation of parties in contested cases before administrative agencies constitutes the unauthorized practice of law. Under these circumstances, the judge's refusal to follow the directive to enforce the rule did not constitute insubordination.

Appellant, Thomas Lowry, is a member of the Washing *60 ton State Bar Association. At the time of suit, he was also an industrial appeals judge for the Board of Industrial Insurance Appeals. The Board is an administrative agency, created by statute, RCW 51.52.010. Its function is to adjudicate appeals taken from orders issued by the Department of Labor and Industries. The Board has rulemaking authority over its own procedures and functions. RCW 51.52.020. Pursuant to this authority, in 1972, the Board enacted WAC 263-12-020(1)(c) which permitted lay representation of parties at all conferences and hearings before the Board, so long as such representatives were employed by a union or employer specifically to handle industrial insurance matters. The rule has since been amended to permit any lay person to represent a party at all conferences and hearings. 1

On December 22, 1981, appellant attended the quarterly staff meeting of the industrial appeals judges. There, WAC 263-12-020(1) (c) was evaluated in light of our decision in Hagan & Van Camp, P.S. v. Kassler Escrow, Inc., 96 Wn.2d 443, 635 P.2d 730 (1981) to determine whether it permits the unauthorized practice of law by laymen. The chairman of the Board noted that there had been no challenge to the rule and instructed the industrial appeals judges to continue its observance.

At the time of this meeting, appellant had cases pending in which both a lay representative and an out-of-state attorney had appeared before him. In early January, appellant, on his own initiative, sent letters to the representative and the attorney scheduling a special meeting to discuss whether the Board's rule would be a defense to a charge of *61 unauthorized practice of law. RCW 2.48.180. 2 Appellant sent a copy of each letter to the chairman of the Board. Appellant was thereafter suspended for 3 days without pay for insubordination. Appellant appealed to the Personnel Appeals Board which affirmed the 3-day suspension. Thereafter appellant petitioned for, and received, review in the Thurston County Superior Court which also affirmed. We accepted direct review.

Throughout these actions, appellant's defense to the charge of insubordination has been that compliance with the Board's directive would improperly compel him to assist a lay person in the unauthorized practice of law in contravention of the criminal codes and canons of ethics. See RCW 2.48.170 et seq.; 9A.08.010; 9A.08.020; CPR DR 1-101, 1-102, 1-103, 3-101 (A); CPR EC 1-1, 1-2, 1-4, 1-5, 3-1, 3-2, 3-3, 3-4, 3-5, 3-8.

The Personnel Appeals Board (PAB) assumed the validity of WAC 263-12-020(1) (c) and held that appellant's personal view of its "wisdom . . . [did] not excuse [him] from applying the rule as directed by his superior." PAB Findings, Conclusions and Order, at 3. The Superior Court's review of the Board's order was governed by RCW 41.64-.130 which sets forth five separate standards of review. 3 The standard applicable here is whether the Board's deci *62 sion was "founded on an error of law." The Superior Court ruled that the Board's order to suspend appellant was not founded on an error of law, that WAC 263-12-020(1)(c) was not clearly illegal and that appellant had no clear legal right to disobey the Board's order to observe the rule. Neither of these reviewing bodies addressed the reasonableness of appellant's concern that observance of WAC 263-12-020(1) (c) would cause him to violate his professional ethics and some criminal codes.

While failure to obey a superior's order is normally considered insubordination and grounds for disciplinary action, WAC 356-34-010, there are some orders that it is permissible for a public employee to disobey. Such orders are those that are criminal, unsafe, or given in bad faith, Ashman v. Children's Servs. Div., 37 Or. App. 865, 873, 588 P.2d 665 (1978), orders that compel what can reasonably be construed as illegal, Parrish v. Civil Serv. Comm'n, 66 Cal. 2d 260, 425 P.2d 223, 57 Cal. Rptr. 623 (1967), and orders that violate the employee's statutory or constitutional rights, Stephens v. Department of State Police, 271 Or. 390, 532 P.2d 788 (1975).

Very few cases have considered the force and effect of an order which a public employee believes, if obeyed, would cause him to violate the law. In Parrish v. Civil Serv. Comm'n, supra, the California Supreme Court considered a case where the Alameda County Welfare Director had ordered many of his agency's social workers to participate in warrantless, unannounced, early morning searches of the homes of the county's welfare recipients for the purpose of detecting the presence of unauthorized males. The majority of persons whose homes were to be searched were under no suspicion of committing welfare fraud. The appellant in Parrish was a social worker who refused to participate in the raids on grounds that he believed this would violate the welfare recipients' constitutional right of privacy. He argued that his superiors were not entitled to compel his participation in illegal searches and that his compliance would subject him to civil liability under 42 U.S.C. § 1983 *63 and criminal liability under 18 U.S.C. § 242.

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Cite This Page — Counsel Stack

Bluebook (online)
684 P.2d 678, 102 Wash. 2d 58, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lowry-v-board-of-industrial-insurance-appeals-wash-1984.