Shaw v. Esper

CourtDistrict Court, District of Columbia
DecidedMay 7, 2021
DocketCivil Action No. 2020-2036
StatusPublished

This text of Shaw v. Esper (Shaw v. Esper) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shaw v. Esper, (D.D.C. 2021).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

STEVEN E. SHAW,

Plaintiff, Civil Action No. 20-2036 (RDM) v.

LLOYD J. AUSTIN III et al.,

Defendants.

MEMORANDUM OPINION AND ORDER

Plaintiff Lieutenant Steven E. Shaw is a fighter pilot instructor in the Navy. In 2017,

Plaintiff helped two Black student pilots file whistleblower complaints alleging racial

discrimination in the fighter pilot training program. Later the same year, Plaintiff filed a

whistleblower complaint of his own, alleging that instructor pilots had been illicitly betting

bottles of liquor with student pilots. Thereafter, Plaintiff’s commanding officers opened an

investigation of Plaintiff that ultimately recommended his separation from the armed forces. The

Assistant Secretary of the Navy, acting on an Inspector General’s report finding that the

investigation of Plaintiff constituted unlawful whistleblower retaliation, vacated that finding, but

he left open the possibility of a renewed investigation. Plaintiff appealed to the Secretary of

Defense, arguing that any follow-on investigation would necessarily be retaliatory and therefore

invalid. Meanwhile, the Commander of U.S. Fleet Forces Command opened a second

investigation of Plaintiff. Plaintiff then filed this lawsuit to challenge what he asserted was a

continuing pattern of retaliation against him.

While this case has been pending, the Executive Director of the Office of the Under

Secretary of Defense for Personnel and Readiness (“Executive Director”), who was designated to

1 act on behalf of the Secretary of Defense, denied Plaintiff’s appeal on the grounds that the

Assistant Secretary of the Navy had authority to allow the second investigation. And Fleet

Forces Command completed its second investigation, concluding that Plaintiff taught

unapproved landing techniques. Later today, May 1, 2021, Fleet Forces Command will issue a

Report of Misconduct again recommending that Plaintiff be separated from the Navy for cause.

To avoid that result, Plaintiff has now filed a motion for preliminary injunction seeking to

prevent the issuance of the Report of Misconduct. For the following reasons, the Court will

DENY that motion.

I. BACKGROUND

Plaintiff is an active-duty Lieutenant in the Navy. Dkt. 28 at 3, 7 (Am. Compl. ¶¶ 1, 13). 1

In October 2016, he transferred to Strike Fighter Squadron 106 (“VFA-106”), based at Naval Air

Station Oceana in Virginia, where he served as an F/A-18 fighter pilot instructor. Id. at 4, 7

(Am. Compl. ¶¶ 8, 13). The next year, Plaintiff engaged in two instances of what the Navy later

recognized as protected whistleblower activity. First, Plaintiff supported two Black student

pilots in the filing of equal opportunity complaints, in addition to correspondence with Congress,

alleging racial discrimination in the fighter-pilot training program. Id. at 7 (Am. Compl. ¶ 14).

Second, Plaintiff lodged complaints with the office of Senator Mark Warner and the Naval

Inspector General regarding “bottle bets,” which were wagers between pilot instructors and their

students related to student performance in training exercises. Id. at 7–9 (Am. Compl. ¶¶ 15–18).

As the name suggests, the stakes of the bets were bottles of alcohol, and students who did not

perform well enough in training were required to buy liquor for their teachers. Id. at 8 (Am.

1 Because the Court denies injunctive relief, and for convenience at this early stage of the litigation, the Court gives Plaintiff the benefit of the doubt and assumes the truth of the allegations in his complaint for the purpose of setting forth the background. 2 Compl. ¶ 15). Plaintiff asserted that bottle bets constituted illegal gambling activity, contributed

to a frat-like culture of alcohol consumption, and incentivized instructors to give their students

artificially low marks, in order to maximize the amount of liquor owed. Id. After Plaintiff’s

complaints, the Navy put an end to the practice of bottle bets. Id. at 9 (Am. Compl. ¶ 19).

Following the termination of bottle bets and a press report on the allegations of racial

discrimination, several high-ranking officers expressed their displeasure with Plaintiff’s

whistleblower activity, including by allegedly stating their intention to “destroy” his career. Id.

at 10 (Am. Compl. ¶¶ 20–22). These officers opened what is known as a Command Directed

Investigation against Plaintiff and appointed Commander Bryan Roberts, who had previously

defended bottle bets as a proud Navy tradition and referred to Plaintiff as a “malcontent,” to

serve as the investigating officer. Id. at 10, 14 (Am. Compl. ¶¶ 21, 31). In an email,

Commander Roberts explained that he had been appointed because he was “willing to kamikaze”

Plaintiff. Id. at 14 (Am. Compl. ¶ 32). At the end of the lengthy investigative process, which

spanned months and involved the chain of command taking several other administrative actions

against Plaintiff, id. at 15–20 (Am. Compl. ¶¶ 33–47), the commanding officer of VFA-106

recommended that Plaintiff be detached for cause and ordered to show cause for retention in the

Navy, id. at 20 (Am. Compl. ¶ 48).

The results of the first investigation against Plaintiff, however, were overturned. On June

12, 2019, the Department of Defense’s Inspector General released a report finding “several

instances of reprisal, retaliation[,] and restriction directed at [Plaintiff].” Dkt. 24-1 at 2 (Ex. 1). 2

2 The parties initially submitted portions of the administrative record as exhibits to their briefs. On May 28, 2021, after the close of briefing on the motion for preliminary injunction, Defendants then filed the full certified administrative record under seal. Dkt. 30. For convenience, and given the need to resolve the pending motion quickly, the Court cites to the exhibits in this opinion, but all of the cited documents also appear in the administrative record. 3 In particular, the report found that the commanding officer of VFA-106 at the time of the

investigation, Commander Martin Weyenberg, and the executive officer of VFA-106 at the time

of the investigation, Lieutenant Colonel Michael Nesbitt, “[r]equested and initiated a retaliatory

investigation of [Plaintiff]” and that Commander Roberts “[c]onducted the retaliatory

investigation.” Id. In light of that report, on December 16, 2019, the Assistant Secretary of the

Navy for Manpower and Reserve Affairs entered an order vacating the results of the first

investigation. Id. at 3. The Assistant Secretary found that the investigation “is invalid because it

was ordered for a retaliatory purpose and was conducted in a retaliatory manner” and therefore

“any action taken against [Plaintiff] which uses the [investigation] as the basis, in whole or in

part, for such actions is invalid.” Id.

Based on these findings, the Assistant Secretary ordered U.S. Fleet Forces Command to

take several remedial actions. He directed Fleet Forces Command to “[c]orrect and/or remove

any adverse or derogatory material the resulted from” the investigation, including certain fitness

reports, from Plaintiff’s personnel file. Id. The order also directed Fleet Forces Command to

notify the Department of Defense Consolidated Adjudications Facility that the investigation,

which formed the basis for the suspension of Plaintiff’s security clearance, had been invalidated.

Id.

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