Rambo v. Cohen

587 N.E.2d 140, 1992 WL 32696
CourtIndiana Court of Appeals
DecidedFebruary 26, 1992
Docket30A01-9106-CV-195
StatusPublished
Cited by89 cases

This text of 587 N.E.2d 140 (Rambo v. Cohen) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rambo v. Cohen, 587 N.E.2d 140, 1992 WL 32696 (Ind. Ct. App. 1992).

Opinion

BAKER, Judge.

Plaintiff-appellant George Rambo, a water treatment technician at the Pendleton Reformatory, initiated this defamation action against then Pendleton Superintendent Edward Cohn and the State of Indiana. The trial court dismissed the action due to Rambo's failure to exhaust administrative remedies under the Administrative Adjudication Act 2 (AAA) and then granted summary judgment to the defendants on the basis of immunity under the Indiana Tort Claims Act (ITCA). 3

We reverse the dismissal and affirm the summary judgment. 4

FACTS

Rambo has been an employee of the Indiana Department of Correction at the Pendleton Reformatory for over 30 years. Prior to 1989, he accumulated a large surplus of vacation days. In 1988, the Department of Correction instituted a policy requiring employees to reduce their accumulated vacation time to a maximum of 75 days.

Rambo was, and is, reluctant to take vacation days; he instituted an administrative review challenging the propriety of the vacation policy. Nonetheless, after a great deal of haranguing, Rambo agreed to take a 61 day vacation beginning January 8, 1989. The unusually long vacation required approval not only from Superintendent Cohn, but also from the Commissioner of the Department of Correction and the Director of State Personnel.

Instead of going to Florida as planned, however, Rambo appeared for work on January 8, 1989. He offered his daughter's changed wedding date and the pending status of his administrative challenge as justification. The record reveals Rambo had difficulty understanding the difference between changing his departure date for Florida, a matter solely of Rambo's concern, and changing the commencement date of his time away from work, a matter of demonstrated institutional interest. When Superintendent Cohn learned of Rambo's presence, he summoned Rambo to his office for a meeting. Four people attended the meeting: Pendleton's physical plant director, who is Rambo's immediate supervisor, Pendleton's personnel director, Rambo, and Cohn. The facts most favorable to Rambo reveal Cohn made three statements to which Rambo objects. First, Cohn told Rambo he was a "lazy," "trouble-causing," "stupid," and "arrogant" employee. Record at 98. Second, Cohn told Rambo to stop acting like a "horse's butt." Record at 98. Third, he said Rambo was "antiSemitic." Record at 98.

The next day, Cohn memorialized the meeting in a letter to Rambo with copies to the other people at the meeting. The let ter, however, contains none of the allegedly defamatory remarks made at the meeting. In the end, no disciplinary action was taken against Rambo for his failure to comply with the vacation policy, and he continues in his job as before.

Apparently, however, Rambo has become a depressed and nervous man in the wake of Cohn's remarks and has spent a great deal of time in professional counseling. He now seeks recovery for impotence, shingles, urinary difficulties, bills for medical and psychological assistance, and lost work stemming from emotional distress.

DISCUSSION AND DECISION

I. EXHAUSTION

Our initial task is to resolve the inconsistency between the trial court's dismissal of Rambo's complaint for failure to *144 exhaust administrative remedies and the subsequent summary judgment entered for the defendants. Judicial review of agency actions is achieved exclusively through compliance with the procedures of the AAA. IND.CODE 4-21.5-5-1. Generally, the failure to exhaust administrative remedies waives the right to judicial review. IND.CODE 4-21.5-5-4. Indeed, until a party has exhausted available administrative remedies, the courts cannot exercise subject matter jurisdiction over the party's claim, and the action is subject to dismissal. United States Auto Club, Inc. v. Woodward (1984), Ind.App., 460 N.E.2d 1255, 1258, trans. denied; Bowen v. Sonnenburg (1980), Ind.App., 411 N.E.2d 390, 403. Thus, if a party wrongly fails to exhaust administrative remedies, the trial court's sole prerogative is to dismiss the complaint; it cannot enter summary judgment or take any other action. See Harlan Sprague Dawley, Inc. v. Indiana Dep't of Revenue (1991), Ind. Tax, 583 N.E.2d 214. If a State employee has a grievance concerning conditions of employment, IND.CODE 4-15-2-35 requires adherence to established administrative procedures under the State Personnel Administration Act 5 to obtain relief. Spencer v. State (1988), Ind.App., 520 N.E.2d 106, 108, trams. denied. There are exceptions to the general rule, however.

If administrative procedures are incapable of "answering the question presented" by a party's claim, exhaustion is not required. Indiana Dep't of Pub. Welfare v. Chair Lance Service, Inc. (1988), Ind., 523 N.E.2d 1373, 1379. In Shallenberger v. Scoggins-Tomlinson, Inc. (1982), Ind.App., 489 N.E.2d 699, the plaintiff realtor brought a defamation action against another realtor and the members of the local realtors' board. The board had an established grievance procedure, and although the plaintiff's failure to exhaust the administrative remedies afforded by the grievance procedure prevented him from attacking the board's decision making process, the failure to exhaust did not prevent him from proceeding with his defamation suit. The summary judgment in favor of the board members was affirmed, not because the plaintiff failed to exhaust his remedies, but because the board's written statements about the plaintiff were not defamatory. Id. at 705-06.

Similarly, Rambo's complaint in the present case alleges libel and slander; he does not seek relief from an unsatisfactory condition of employment or an involuntary change in his status of employment as contemplated by IND.CODE 4-15-2-35. Quite simply, the administrative review process is incapable of providing a remedy for Rambo's complaint. The State Employees Appeals Commission, the ultimate agency authority for state personnel grievances, is not empowered to award damages for defamation. See IND.CODE 4-15-1.5-6. When the character of the question presented is beyond the pale of the agen-ey's competency, expertise, and authority, failure to exhaust will be excused. See Wilson v. Board of Indiana Employment Sec. Div. (1979), 270 Ind. 302, 385 N.E.2d 438, cert. denied (1979), 444 U.S. 874, 100 S.Ct. 155, 62 L.Ed.2d 101; Spencer, supra; Indiana Dep't of Welfare v. Stagner (1980), Ind.App., 410 N.E.2d 1348, 1351.

The trial court had subject matter jurisdiction over Rambo's claim and therefore erred in dismissing Rambo's complaint.

II. SUMMARY JUDGMENT

A. Standard of Review

After erroneously dismissing Rambo's complaint, the trial court granted summary judgment to the defendants. Summary judgment is appropriate only when no genuine issues of material fact exist. Moore v. Sitzmark Corp. (1990), Ind.App., 555 N.E.2d 1305. When reviewing the disposition of a summary judgment motion, we stand in the same position as the trial court, and review all evidence in the light most favorable to the non-movant. Forrest v.

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Bluebook (online)
587 N.E.2d 140, 1992 WL 32696, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rambo-v-cohen-indctapp-1992.