Millhouse v. Del Toro

District Court, District of Columbia·Decided August 15, 2025·No. Civil Action No. 2024-2468·Published

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

KYLE J. MILLHOUSE,

Plaintiff,

Civil Action No. 24 - 2468 (SLS)

v. Judge Sparkle L. Sooknanan

JOHN PHELAN, Secretary of the Navy, 1 Defendant.

MEMORANDUM OPINION

Kyle J. Millhouse is a former United States Marine. He was first deployed to Iraq in 2006 at the age of nineteen, where he developed combat-related, service-connected post-traumatic stress disorder (PTSD). He returned from Iraq and immediately began training for his next deployment. Although he was struggling with PTSD, he was asked to take on the role of squad leader. But before Mr. Millhouse and his new squad could deploy, he was discharged for hazing and assaulting junior Marines under his command. Because of those incidents, the United States Department of the Navy discharged him with an “Under Other than Honorable” service characterization. He later applied to the Naval Discharge Review Board (NDRB or Board) to upgrade that service characterization from “Under Other than Honorable” to “Honorable” in light of his PTSD diagnosis. The Board denied Mr. Millhouse’s request because of the hazing and assault incidents that led to his discharge. But in doing so, it mistakenly stated that Mr. Millhouse’s assigned characterization at discharge was “General” or “Under Honorable Conditions.”

1 The current Secretary is substituted for his predecessor pursuant to Fed. R. Civ. P. 25(d).

After Mr. Millhouse notified the Board of its error, the Board reconsidered his upgrade application. Although this time it correctly recorded his service characterization as “Under Other Than Honorable,” it again denied his request because of the incidents of misconduct. Mr. Millhouse now challenges the Board’s second reconsideration decision as unlawful under the Administrative Procedure Act (APA) and the Fifth Amendment. The Court agrees that the Board violated the APA by failing to follow its own regulations and grants summary judgment to Mr. Millhouse. But it takes no position on whether his service characterization should be upgraded.

BACKGROUND

A. Statutory and Regulatory Background All enlisted servicemembers administratively discharged from the United States Marine Corps are assigned one of three characterizations of service upon discharge: (1) Honorable, (2) General (also called “Under Honorable Conditions”), or (3) Under Other Than Honorable Conditions. 32 C.F.R. § 724.109(a). An “Honorable” characterization is “[a] separation from the naval service with honor,” id. at § 724.109(a)(1), and the NDRB informs servicemembers that this characterization is warranted when “the quality of a member’s service generally meets the standard of acceptable conduct and performance for Naval personnel.” Admin. R. (AR) 227. A “General” characterization is “[a] separation from the naval service under honorable conditions.” 32 C.F.R. § 724.109(a)(2). The NDRB states that this characterization is warranted when “the member’s service has been honest and faithful but significant negative aspects of the Marine’s conduct or performance of duty outweighed the positive aspects of the member’s service record.” AR 227. And an “Under Other Than Honorable” characterization is “[a] separation from the naval service under conditions other than honorable,” 32 C.F.R. § 724.109(a)(3), which is warranted “when a member engages in conduct involving one or more acts or omissions that constitute a significant departure from the conduct expected of members in the Naval Service,” AR 227.

Servicemembers wishing to challenge their service characterization may make such a request with the NDRB. 2 Vietnam Veterans of Am. v. Sec’y of the Navy, 843 F.2d 528, 531 (D.C. Cir. 1988). The NDRB was established by the Secretary of the Navy in response to a directive from Congress to the Secretary of each military department to “establish a board” to review “the discharge or dismissal (other than a discharge or dismissal by sentence of a general court-martial) of any former member of an armed force under the jurisdiction of [the Secretary’s] department.” 10 U.S.C. § 1553(a). The NDRB is made up of five Navy officers, Vietnam Veterans of Am., 843 F.2d at 531, and it “may, subject to review by the Secretary concerned, change a discharge or dismissal, or issue a new discharge, to reflect its findings,” 10 U.S.C. § 1553(b)(1). It conducts its review using “the records of the armed forces concerned and such other evidence as may be presented to the board.” Id. § 1553(c).

B. Factual Background The facts in this case are largely undisputed. Mr. Millhouse joined the Marines in 2006 at the age of nineteen and was almost immediately deployed to Iraq in support of Operation Iraqi Freedom. See Pl.’s Local Rule 7(h)(2) Statement (Pl.’s Facts) ¶¶ 4, 7, 9, ECF No. 13; Compl. ¶ 40, ECF. No. 1. During his deployment, Mr. Millhouse’s primary missions included “identify[ing] and destroy[ing] insurgent improvised explosive devices (‘IEDs’) and munitions staches” and “captur[ing] and detain[ing] suspected insurgents.” Id. ¶¶ 11, 13. He “was also routinely subjected to enemy sniper fire.” Id. ¶ 15. His “numerous missions searching for and destroying insurgent

2 Servicemembers may also bring a claim to the Board for Correction of Naval Records (BCNR). Vietnam Veterans of Am. v. Sec’y of the Navy, 843 F.2d 528, 531 (D.C. Cir. 1988). Whereas the NDRB is staffed by Navy officers, the BCNR is staffed by civilians. See id. (listing other differences). “And ‘while in limited circumstances [the BCNR] will review a case not yet heard by a DRB, it typically hears cases where a DRB has already denied full relief.’” Id. (quoting Strang v. Marsh, 602 F. Supp. 1565, 1570 (D.R.I. 1985)).

IEDs, capturing suspected insurgents, and engaging the enemy in armed combat caused Mr. Millhouse to constantly feel on edge, sleepless and restless, and easily agitated.” Id. ¶ 20 (citing AR 92). His “symptoms began in Iraq and continued throughout his return to the United States.” Id. ¶ 20 (citing AR 92–93). Ultimately, “these symptoms culminated in Mr. Millhouse’s diagnosis of combat-related, service-connected PTSD.” Id. ¶ 21 (citing AR 84–87, 94).

When he returned to the United States, he “immediately began training for [his] next Iraq deployment.” Id. ¶ 25 (citing AR 92). His PTSD symptoms worsened and he “began self- medicating with alcohol.” Id. ¶ 29 (citing AR 93). Despite his struggles, Mr. Millhouse was promoted to the position of squad leader while only a Lance Corporal. Id. ¶ 31 (citing AR 92, 243).

On or about March 29, 2007, Mr. Millhouse assaulted a fellow marine by punching him in the face. See AR 285, 293–94. He later hazed three other junior Marines, forcing two of them to chug beer, ordering one of them to kneel in the corner while telling him that he was a “waste of semen,” and directing another Marine to stare at a mop. See AR 271–72. He also assaulted two of the junior Marines by striking one in the face with his hand and putting a mop in the face of the other. See AR 271–72. One of the junior Marines involved attempted to commit suicide. AR 281.

The Marine Corps initiated court-martial proceedings against Mr. Millhouse under Articles 81 (Conspiracy), 92 (Lawful General Order Violation), 128 (Assault), and 134 (General Article – Providing Alcohol to a Minor) of the Uniform Code of Military Justice (UCMJ). See AR 270–73, 427. He pleaded guilty to many of these charges at a summary court-marital and waived his right to an administrative discharge board. See AR 270–73. On February 29, 2008, he was discharged from service for his misconduct with an Under Other Than Honorable characterization of service. AR 242.

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