Torres v. Harker

District Court, District of Columbia·Decided October 27, 2021·No. Civil Action No. 2021-0306·Published

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

OSCAR D. TORRES, on behalf of himself and others similarly situated,

Plaintiffs, v. Case No. 1:21-cv-306-RCL

CARLOS DEL TORO1, in his official capacity as Secretary of the Navy,

Defendant.

MEMORANDUM OPINION

This case is about the process by which the Navy can discharge disabled Service members.

When a disabled Service member faces discharge, the Navy assigns a disability level to that member to determine whether they will be medically “separated” or “retired.” The distinction matters—Service members who are “medically retired” receive monthly disability payments in perpetuity, rights to medical care from the military department at issue, and commissary privileges for the Service member and his or her family. Service members who are “medically separated” do not receive these same benefits.

Plaintiff, Sergeant Oscar D. Torres (Ret.), filed this putative class action against the Secretary of the Navy in his official capacity to challenge the Navy’s former “Properly Referred” policy, which governed the Navy’s review process for determining a Service member’s disability level. Under the Navy’s policy, the board evaluating a soldier’s military retirement would consider only those medical conditions “properly referred” by an intermediate evaluation board

1 Pursuant to Fed. R. Civ. P. 25(d), Secretary of the Navy Carlos Del Toro has been automatically substituted for Thomas W. Harker, the former Acting Secretary of the Navy.

and complying with the policy’s referral requirements. Plaintiff contends that the policy violated Congress’s and the Department of Defense’s instructions and wrongfully resulted in a “medically separated” designation when he was discharged from the Navy. On behalf of himself and others, plaintiff seeks declaratory and injunctive relief to obtain a “do-over” of that disability determination, unencumbered by the Navy’s allegedly unlawful policy.

Before the Court is plaintiff’s motion for class certification and motion to appoint class counsel. Pl.’s Mot., ECF No. 29. With two reservations discussed below, defendant agrees that the Court can certify a class and appoint class counsel. Upon consideration of the parties’ filings, Pl.’s Mot.; Pl.’s Br., ECF No. 30-1; Def.’s Br., ECF No. 33; Pl.’s Reply, ECF No. 34, and the entire record herein, the Court will GRANT plaintiff’s motion for class certification and to appoint class counsel by separate order.

I. BACKGROUND

A. Overview Of The Military Disability Evaluation System Military Service members facing retirement or separation because of disabilities are entitled to “a full and fair hearing” upon request. 10 U.S.C. § 1214. Accordingly, Congress has provided for a review process by which the branches of the U.S. Military—including the Navy— may discharge disabled Service members. See id. § 1201. The nuts and bolts of this review process originate from three primary sources. First, Congress regulates the Services’ responsibilities for disability determinations in Chapter 61 of Title 10 of the U.S. Code. Next, pursuant to a statutory mandate, the Secretary of Defense “prescribe[s] regulations on standards and guidelines concerning the physical evaluation board [(“PEB”)] operated by each of the Secretaries of the military departments with regard to—(A) assignments and training of staff; (B) operating procedures; and (C) timeliness of board decisions.” Id. § 1222(c). Each Service Secretary, in turn, has authority to “prescribe regulations” to carry out federal law’s requirements. Id. § 1216.

Three statutes are salient in this case. First, in rendering a disability determination, “the Secretary concerned shall take into account all medical conditions, whether individually or collectively, that render the member unfit to perform the duties of the member’s office, grade, rank, or rating.” Id. § 1216a(b) (emphasis added). Second, the applicable Service uses the Department of Veterans Affairs (“VA”) schedule for rating disabilities. See id. § 1216a(a). And third, a PEB must “convey the findings and conclusions of the board in an orderly and itemized fashion with specific attention to each issue presented by the member in regard to that member’s case.” Id. § 1222 (emphasis added).

Acting pursuant to the congressional mandate, the U.S. Department of Defense issued Instruction 1332.18, which establishes the Department of Defense’s Disability Evaluation System (“DES”). See Administrative Record (“AR”) at 1942, ECF No. 35. The DES is a multistep performance-based review process used to evaluate whether a Service member’s medical conditions render him unfit to perform his duties. See AR at 1942.

The DES process is initiated by referral from a Service member’s commander, the commander of the medical facility treating the Service member, or the Service member’s individual medical officer. See AR at 2055–56; see also AR at 1967–70. The referring entity completes VA Form 21-0819 and lists the conditions for which the Service member is being referred. AR at 2335. And while Service members cannot self-refer to the DES, VA Form 21- 0819 contains a section for Service members to list all claimed conditions (including those not specifically referred by the referring entity). See, e.g., AR at 370–71. Next, the Service member attends a Compensation and Pension Examination for both newly claimed conditions and referred conditions, the VA assigns each of those conditions a rating, and the member’s command assesses the Service member’s ability to perform their duties. AR at 3.

Once the DES process has been initiated, a Medical Evaluation Board (“MEB”), comprised of a body of physicians, is convened to evaluate the Service member’s disability. See, e.g., AR at 1957. This process is “designed to determine whether a Service member’s long-term medical condition enables him/her to continue to meet medical retention standards, in accordance with military service regulations.” Compl. ¶ 21; see AR at 1957–59. When the MEB determines that a Service member “cannot perform the duties of his office, grade, rank or rating the MEB refers the case to the (Physical Evaluation Board) PEB.” AR at 1957.

The PEB then determines a Service member’s fitness for continued service based on their physical and mental disabilities. AR at 1959. Two separate boards comprise the PEB—an informal Physical Evaluation Board (“IPEB”) and a formal Physical Evaluation Board (“FPEB”). AR at 1959. After referral from the MEB, an IPEB makes an initial determination regarding the Service member’s fitness using the VA schedule for rating disabilities. AR at 1959. If the Service member disagrees with the findings of the IPEB, they can demand a FPEB appearance. AR at 1959.

If either PEB finds that a Service Member is unfit for continued military service, the PEB must assign a disability rating from 0% to 100%, in increments of 10%, for each physical or mental condition that renders the Service member unfit for continued military service. ECF No. 1 ¶ 25. If the PEB finds that more than one medical condition renders the Service member unfit for continued service, then the PEB assigns a combined disability rating. See 38 C.F.R. § 4.25.

A Service member whose unfitting conditions are rated at a combined level of 30% or higher receives a “medically retired” designation and is entitled to monthly disability payments in perpetuity, as well as rights to medical care from the military department and commissary privileges for the Service member and his or her family. See 10 U.S.C. § 1203. In contrast, a

Service member who is assigned a rating between 0 and 20% is deemed “medically separated” and receives a one-time lump sum disability severance payment. Id. § 1212. A Service member who is “medically separated” is not entitled to the same monthly disability payments, medical care, and family commissary privileges to which a “medically retired” Service member is entitled. Id.

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