Schmidt v. United States

153 Ct. Cl. 407, 1961 U.S. Ct. Cl. LEXIS 86, 1961 WL 8682
CourtUnited States Court of Claims
DecidedMay 3, 1961
DocketNo. 142-57
StatusPublished
Cited by1 cases

This text of 153 Ct. Cl. 407 (Schmidt v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Schmidt v. United States, 153 Ct. Cl. 407, 1961 U.S. Ct. Cl. LEXIS 86, 1961 WL 8682 (cc 1961).

Opinion

Whxtakee, Judge,

delivered the opinion of tbie court:

Plaintiff sues for salary due from July 19, 1955, to date, which he claims is due him by reason of his alleged unlawful discharge. He was discharged on the ground that he refused to accept reassignment from his position as State Director of the Farmers Home Administration for the State of Wisconsin, a position which he had held since 1946, to a position as special assistant to the Administrator of the Farmers Home Administration in Washington. Plaintiff says his reassignment was for political reasons and not to promote the good of the service, and, hence, his discharge, based on his refusal to accept reassignment, was unlawful.

In our former opinion, 145 Ct. Cl. 632, 636, on plaintiff’s and defendant’s motions for summary judgment, we said:

If the order of reassignment was issued to serve political purposes and not to promote the good of the service, it was an unlawful order. Cf. Knotts v. United States, 128 C. Cls. 489. Being unlawful, it did not have to be obeyed. Hence, a refusal to obey was not insubordination.

Whereupon, we referred the case to a Trial Commissioner to determine whether or not plaintiff’s reassignment was motivated by political considerations. The case is now before us on the Commissioner’s report, and briefs and argument of counsel.

The Commissioner finds that the evidence did not show that plaintiff’s discharge was motivated by political considerations. After careful review of the evidence, we have come to the conclusion that the Commissioner is correct, and that the proof does not show that it was done for reasons other than the good of the service.

[409]*409The first action, in point of time that has any connection with plaintiff’s discharge was the recommendation of the Department of Agriculture that the positions of Director of the Farmers Home Administration in the several States be excepted from the competitive service. The reason assigned was that the unusual qualifications demanded by the duties of the positions made it difficult to secure the right men by competitive examinations. We must assume that the reason assigned was bona fide, especially because the Civil Service Commission approved the recommendation. To say the least, the action was not particularly aimed at plaintiff because it applied to all State directors.

Plaintiff was notified of the change in the classification of his position on October 30, 1953, but he was advised that he would retain his status in the competitive service. However, on December 15, 1953, the District Court for the District of Columbia held that the holder of such a position did not retain his competitive status. Following this decision plaintiff was notified that he no longer held competitive status.

However, on July 16, 1954, the Court of Appeals of the District of Columbia reversed the District court, and the Supreme Court denied certiorari. Then on January 24, 1955, the Civil Service Commission advised all agencies that such employees did retain their competitive status. Plaintiff was not advised of this, however, and he took an appeal to the Civil Service Commission from the action of the agency notifying him he no longer had status in the competitive service. He was later, on May 18, 1955, given formal notice by the Farmers Home Administration that he did retain his competitive status.

There is nothing in the foregoing that has any bearing on whether or not political considerations motivated plaintiff’s discharge, but it is recited as background for what follows, to show the atmosphere in which the following events took place.

During 1953 and 1954 Farmers Home Administration (hereinafter referred to as FHA) desired to depart somewhat from its policy of making loans itself and, instead, to encourage the' making of private loans, to be insured by [410]*410FHA. When plaintiff was in Washington in December 1954 Mr. Henry Smith, the Deputy Administrator of FHA, explained this policy to plaintiff. Plaintiff vehemently disagreed with it and told Mr. Smith that the national office should “keep its nose out of the State of Wisconsin” and that he would handle operations in that State. This was relayed to the Administrator. In the same month the Administrator wrote the senior Senator from Wisconsin asking him to suggest a replacement for plaintiff as State Director.

Whether plaintiff’s comment on the policy of the national office and his contumacy in refusing to go along with it was the cause of the Administrator’s decision to remove plaintiff, we do not know — the Administrator was not called as a witness — but it is significant that his letter to the senior Senator followed shortly thereafter.

This defiance of his superiors would have justified the Administrator in removing him, and it was probably the reason for it. That it was followed by a letter to the senior Senator from plaintiff’s State, asking for a recommendation for his successor, followed in the natural course of events. It does not show that his removal was for political reasons, although politics entered into the appointment of his successor.

It ought to be said at this point that it was not the intention to remove plaintiff from the service, but only from his position as State Director, for on February 2, 1955, the position of special assistant to the Administrator was created, given plaintiff’s grade of GS-13, and on March 17, plaintiff was notified that he had been assigned to this position. He was ordered to report to Washington on May 2,1955.

This was done without prior consultation with plaintiff, which was contrary to the usual practice, especially where employees holding positions comparable to plaintiff’s were involved.

To make matters worse, Senator Wiley, the senior Senator from Wisconsin, on receipt of the Administrator’s letter of December 30, asking for a recommendation for plaintiff’s successor, wrote the Wisconsin national committeeman on the Republican National Committee, and this man wrote the executive secretary of the Republican Party of Wisconsin, [411]*411notifying him that plaintiff had been transferred and asking him for a recommendation for his successor. The executive secretary of the Party, upon receipt of this letter, called the chairman of the Wisconsin Agricultural Stabilization and Conservation Committee for a recommendation. He, in turn, spoke to plaintiff about the matter, because he felt that plaintiff would be the most qualified person to recommend a successor. This was the first time plaintiff had heard of the pending reassignment.

The administrator’s action was grossly inconsiderate, however outrageous plaintiff’s remark about Washington’s keeping its nose out of Wisconsin’s affairs may have been. But it does not show that it was motivated by political considerations.

After plaintiff heard of his proposed replacement, politics really did play a part in what happened thereafter. Plaintiff then entered the political arena himself. He put on an intensive campaign with people prominent in the field of agriculture in Wisconsin, and with the Wisconsin delegation in Congress.

This culminated in a letter from Senator Wiley to the Secretary of Agriculture, dated June 10,1955, which read as follows:

I am sorry to note that Mr. Tom Schmidt is no longer Director of the Farmers Home Administration in my State.

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Related

Peters v. United States
534 F.2d 232 (Court of Claims, 1975)

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Bluebook (online)
153 Ct. Cl. 407, 1961 U.S. Ct. Cl. LEXIS 86, 1961 WL 8682, Counsel Stack Legal Research, https://law.counselstack.com/opinion/schmidt-v-united-states-cc-1961.