State, Ex Rel. Finley v. Dusty Drilling Co.

441 N.E.2d 1128, 2 Ohio App. 3d 323, 2 Ohio B. 366, 1981 Ohio App. LEXIS 9970
CourtOhio Court of Appeals
DecidedJuly 9, 1981
Docket80AP-782
StatusPublished
Cited by19 cases

This text of 441 N.E.2d 1128 (State, Ex Rel. Finley v. Dusty Drilling Co.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State, Ex Rel. Finley v. Dusty Drilling Co., 441 N.E.2d 1128, 2 Ohio App. 3d 323, 2 Ohio B. 366, 1981 Ohio App. LEXIS 9970 (Ohio Ct. App. 1981).

Opinion

Strausbaugh, P.J.

This is an original action in mandamus brought by relator, Steven J. Finley, asking this court to vacate an order of the Industrial Commission dated November 13, 1978, finding that relator had been overpaid in the amount of $1,504.72.

An examination of the record in this case indicates that relator suffered an injury to his lower back while in the course of and arising out of his employment with respondent, Dusty Drilling Co., Inc., on May 7, 1976. During the investigation of the claim arising from said injury, relator stated within an affidavit submitted to the Industrial Commission that he had not received any wages or sick leave since the injury. Additionally, Donald J. Finck, office manager for Dusty Drilling Co., Inc., stated that although relator was salaried, relator would not receive sick leave, vacation money or any other such payments during the period relator was absent from work due to the back injury. As a result of a hearing held on January 3,1978, it was ordered that relator receive temporary total disability for the period from October 29, 1977, to January 15, 1978.

Because respondent, Dusty Drilling Co., Inc., is a closely held corporation and relator is a vice-president of said company, respondent, Bureau of Workers’ Compensation, requested on July 20,1978 that an audit be initiated to determine whether relator did receive wages during the period from October 29, 1977, to January 15,1978. The audit revealed that *324 claimant received funds as a “cash advance” and “miscellaneous expense” during the period in question. On November 13, 1978, a hearing was held before a district hearing officer who found that relator had received substantial remuneration and ordered that an overpayment be declared in the amount of $1,504.72.

On January 11, 1979, the Columbus Regional Board of Review affirmed the decision of the district hearing officer and an appeal of that decision was refused by the Industrial Commission. In support of the petition for a writ of mandamus, relator claims that the Industrial Commission’s finding of overpayment was an abuse of discretion, there being no evidence that relator received regular wages during the period in question. Relator also claims that the Industrial Commission had no jurisdiction to modify the original award of temporary total disability compensation.

A review of the record, however, raises an issue concerning the procedure invoked by the Industrial Commission for the hearing in which it was determined that relator was overpaid. After the audit of relator’s record, relator received a notice of the time, date and location of the hearing in which the issue of whether relator had received wages during the period for which he received temporary total compensation would be heard. Said notice defined the subject matter of the hearing as “further consideration.”

There can be no question that the Due Process Clause of the Fourteenth Amendment to the United States Constitution is applicable, to some extent, in most administrative hearings. In the case of Ohio Bell Tel. Co. v. Pub. Util. Comm. (1937), 301 U.S. 292, at 304-305 the United States Supreme Court discussed the application of procedural due process protections to administrative hearings.

“Regulatory commissions have been invested with broad powers within the sphere of duty assigned to them by law. Even in quasi-judicial proceedings their informed and expert judgment exacts and receives a proper deference from courts when it has been reached with due submission to constitutional restraints. West Ohio Gas Co. v. Public Utilities Comm’n (No. 1), supra, [294 U.S. 63], p. 70; West Ohio Gas Co. v. Public Utilities Comm’n (No. 2), 294 U.S. 79; Los Angeles Gas & Electric Corp. v. Railroad Commission, 289 U.S. 287, 304. Indeed, much that they do within the realm of administrative discretion is exempt from supervision if those restraints have been obeyed. All the more insistent is the need, when power has been bestowed so freely, that the ‘inexorable safeguard’ (St. Joseph Stock Yards Co. v. United States, 298 U.S. 38, 73) of a fair and open hearing be maintained in its integrity. Morgan v. United States, 298 U.S. 468, 480, 481; Interstate Commerce Comm’n v. Louisville & N.R. Co., supra, [227 U.S. 88]. The right to such a hearing is one of the ‘rudiments of fair play’ (Chicago, M. & St. P. Ry. Co. v. Polt, 232 U.S. 165, 168) assured to every litigant by the Fourteenth Amendment as a minimal requirement. West Ohio Gas Co. v. Public Utilities Comm’n (No. 1), (No. 2), supra; Brinkerhoff-Faris Co. v. Hill, 281 U.S. 673, 682. Cf. Norwegian Nitrogen Co. v. United States, supra, [288 U.S. 294], There can be no compromise on the footing of convenience or expediency, or because of a natural desire to be rid of harassing delay, when that minimal requirement has been neglected or ignored.”

Where judicial review of administrative decisions is restricted by the application of the “some evidence” rule, as in this case, care must be taken to see that the administrative procedure invoked was fundamentally fair. We find that relator was not given proper notice of the November 13, 1978 hearing, in which relator was found to have been overpaid.

Procedural due process includes the right to a reasonable notice of hearing as *325 well as a reasonable opportunity to be heard. State, ex rel. Allstate Ins. Co., v. Bowen (1936), 130 Ohio St. 347 [4 O.O. 427]. A review of the facts in this case indicates that relator was not given reasonable notice of the November 13, 1978 hearing, nor a reasonable opportunity to be heard at said hearing. In giving notice to a party for a hearing an administrative board must do so in a reasonable manner to insure the fairness of the hearing. In this case, relator was reasonably notified of the time, date and location of the November 13, 1978 hearing but not the subject matter of said hearing.

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Bluebook (online)
441 N.E.2d 1128, 2 Ohio App. 3d 323, 2 Ohio B. 366, 1981 Ohio App. LEXIS 9970, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-finley-v-dusty-drilling-co-ohioctapp-1981.