Markam Group, Inc. v. Employment Security Department

148 Wash. App. 555
CourtCourt of Appeals of Washington
DecidedFebruary 3, 2009
DocketNo. 26566-8-III
StatusPublished
Cited by17 cases

This text of 148 Wash. App. 555 (Markam Group, Inc. v. Employment Security Department) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Markam Group, Inc. v. Employment Security Department, 148 Wash. App. 555 (Wash. Ct. App. 2009).

Opinion

Sweeney, J.

f 1 An employer must show that an employee was discharged for “misconduct” to avoid paying state unemployment benefits. And that generally requires showing that the conduct/misconduct was intentional. The pertinent findings on review are those made by the commissioner, not those made by the superior court. Here, the commissioner’s findings support only the conclusion that the applicant performed her work ineptly, and that conclusion would not support a denial of her unemployment [559]*559benefits. The trial court’s decision to deny benefits is not supported by the commissioner’s findings and conclusions. We therefore reverse.

FACTS

¶2 Stephanie Monroe worked as a legal secretary for The Markam Group, Inc., from June 21, 2004, to July 10, 2006. Markam fired Ms. Monroe because she could not perform her job as required.

¶3 Ms. Monroe filed a claim for unemployment benefits with Washington’s Employment Security Department (Department) in July 2006. The Department concluded that she was not fired for disqualifying misconduct and awarded her unemployment benefits. Markam appealed to the Department’s Office of Administrative Hearings.

¶4 An administrative law judge (ALJ) held a hearing, entered findings of fact and conclusions of law, and affirmed the Department’s decision. The ALJ found that Markam discharged Ms. Monroe primarily because she lacked the necessary skills to perform her job in accordance with Markam’s expectations. And the ALJ concluded that Ms. Monroe “did not intentionally do a bad job [or] ignore [Markam’s] demands.” Commissioner’s Record (Comm’r R.) at 62 (Conclusion of Law (CL) 6). She determined, instead, that Ms. Monroe “simply did not have the focus or the wherewithal to perform the job to [Markam’s] standards.” Id. The ALJ concluded that an employee’s inability to perform her job well is not misconduct as defined by the Employment Security Act, Title 50 RCW

¶5 Markam petitioned the Department’s commissioner to review the ALJ’s decision. A review judge in the commissioner’s review office reviewed the administrative hearing record and adopted the ALJ’s findings and conclusions, except for conclusion of law 4 (concluding that conduct at issue was notwillful, deliberate, careless, or negligent). The review judge found that Ms. Monroe “attempted to perform to [Markam’s] standards, but was unable to do so.” Id. at 81. [560]*560And the judge concluded that Ms. Monroe’s “inability to do the job does not constitute statutory misconduct.” Id. The commissioner’s review office affirmed the ALJ’s decision.

¶6 Markam appealed the commissioner’s decision to Spokane County Superior Court. Markam complained that the Department erroneously required it to prove that Ms. Monroe’s conduct was intentional before the Department would find misconduct. It contended that an employer establishes “misconduct” by showing that the employee violated the employer’s rules. Markam maintained that the administrative record supported the conclusion that Ms. Monroe violated its rules. The superior court agreed with Markam that the commissioner’s decision was wrong. It entered findings and conclusions and reversed the Department’s decision to grant Ms. Monroe unemployment benefits.

¶7 The Department and Ms. Monroe appeal the superior court’s order.

DISCUSSION

Superior Court Findings of Fact

¶8 The Department and Ms. Monroe argue that the pertinent findings are those of the commissioner, not those of the superior court. They urge us to first ignore the findings of the court and then review the court’s conclusions de novo. Markam argues that RCW 34.05.574(1) authorizes the findings and conclusions entered by the superior court and that they are superfluous only when they conflict with the agency’s findings.

¶9 The Washington Administrative Procedure Act, chapter 34.05 RCW, governs our review of a decision by a Department commissioner. Verizon Nw., Inc. v. Employment Sec. Dep’t, 164 Wn.2d 909, 915, 194 P.3d 255 (2008). We review only the commissioner’s decision, not the administrative law judge’s decision or the superior court’s ruling. Id.; Kelly v. State, 144 Wn. App. 91, 95, 181 P.3d 871, review denied, 165 Wn.2d 1004 (2008). And our decision is based on [561]*561only the administrative record before the commissioner. Verizon Nw., 164 Wn.2d at 915; Kelly, 144 Wn. App. at 95. We, therefore, do not consider the superior court’s findings and conclusions; we sit instead in the same position as the superior court. Verizon Nw., 164 Wn.2d at 915; Kelly, 144 Wn. App. at 95.

¶10 Markam also argues that the superior court’s findings are verities on appeal because they are consistent with the Department’s findings. It is mistaken. Again, we neither consider nor defer to a superior court’s rulings when we review an administrative decision. Verizon Nw., 164 Wn.2d at 915; Kelly, 144 Wn. App. at 95. Our conclusions must be based on the commissioner’s findings alone. Kelly, 144 Wn. App. at 95. And those findings are verities on this appeal because neither Markam, the Department, nor Ms. Monroe assigns error to any of them. See id. at 96.

Disqualifying Misconduct

¶11 We review a commissioner’s legal conclusions for errors of law. Verizon Nw., 164 Wn.2d at 915. We may, then, substitute our view for the commissioner’s. Id.; Kelly, 144 Wn. App. at 96. We nonetheless give substantial weight to the commissioner’s interpretation of “misconduct” as it is defined under the Employment Security Act because of the agency’s special expertise. Verizon Nw., 164 Wn.2d at 915; Kelly, 144 Wn. App. at 96.

¶12 Markam contends that the commissioner erroneously concluded that Ms. Monroe did not commit “misconduct.” It argues that it did not have to show that Ms. Monroe’s actions were intentional to be “misconduct.” And it argues that Ms. Monroe’s actions qualify as misconduct under RCW 50.04.294(l)(a).

¶13 Whether an employee’s actions constitute misconduct is generally a mixed question of fact and law. Tapper v. Employment Sec. Dep’t, 122 Wn.2d 397, 402-03, 858 P.2d 494 (1993). But there are no questions of fact at issue here because the parties do not assign error to the commissioner’s findings. Those findings are, therefore, the [562]*562facts here on appeal. Id. at 407. The only question before us is a question of law — whether Ms. Monroe’s actions amount to disqualifying misconduct.

¶14 An employee is not entitled to unemployment benefits if he or she is discharged from employment for misconduct. RCW 50.20.066(1). The parties here disagree on the definition of “misconduct.” Markam contends that Tapper provides the definition. The Department and Ms.

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Bluebook (online)
148 Wash. App. 555, Counsel Stack Legal Research, https://law.counselstack.com/opinion/markam-group-inc-v-employment-security-department-washctapp-2009.