Union Carbide Corporation v. Virginia Richards

721 F.3d 307, 2013 WL 3358994
CourtCourt of Appeals for the Fourth Circuit
DecidedJuly 5, 2013
Docket12-1978, 12-1294
StatusPublished
Cited by115 cases

This text of 721 F.3d 307 (Union Carbide Corporation v. Virginia Richards) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Union Carbide Corporation v. Virginia Richards, 721 F.3d 307, 2013 WL 3358994 (4th Cir. 2013).

Opinion

Petitions for review denied by published opinion. Judge DIAZ wrote the opinion, in which Judge NIEMEYER and Judge DAVIS joined.

DIAZ, Circuit Judge:

These consolidated cases involve claims for survivors’ benefits under the Black Lung Benefits Act (“BLBA”), 30 U.S.C. § 901 et seq., filed by Respondents Virginia E. Richards and Mary Ellen Morgan. In both cases, Department of Labor (“DOL”) Administrative Law Judges (“ALJs”) awarded the survivors’ claims, and the DOL Benefits Review Board (the *310 “Board”) affirmed. Union Carbide Corporation and Peabody Coal Company, the coal mine operators responsible for payment of Respondents’ benefits, petitioned for this court’s review. Petitioners submit that principles of res judicata foreclose Respondents — each of whom previously and unsuccessfully sought BLBA survivors’ benefits — from relying on a recent amendment to the BLBA to pursue benefits again through a so-called “subsequent claim.” We disagree. Because the amendment created a new cause of action that was unavailable to Respondents when they brought their initial claims, res judi-cata does not bar their subsequent claims. Accordingly, we affirm the Board’s awards.

I.

In addition to lifetime disability benefits for coal miners, the BLBA provides survivors’ benefits to certain of their dependents. The statute has been substantially amended over the years. Initially, a deceased miner’s qualifying dependents could obtain survivors’ benefits either by showing that the deceased miner’s death was caused by pneumoconiosis, 1 or by showing that the miner was totally disabled by pneumoconi-osis at the time of his death. Survivors who proved their entitlement under the latter method were automatically entitled to benefits even if pneumoconiosis played no role in the deceased miners’ deaths. See 30 U.S.C. § 922(a)(2) (1970). This automatic “derivative benefits” scheme was reinforced in the 1978 amendments to the BLBA, which enacted 30 U.S.C. § 932(Z), providing: “In no case shall the eligible survivors of a miner who was determined to be eligible to receive benefits under this title at the time of his or her death be required to file a new claim for benefits, or refile or otherwise revalidate the claim of such miner.” Pub.L. No. 95-239, § 7(h), 92 Stat. 95,100 (1978).

In 1981, Congress scaled back benefits under the BLBA, eliminating Section 932(i)’s provision of automatic derivative survivors’ benefits. Consequently, a survivor filing a claim on or after January 1, 1982, could establish entitlement only by proving that the miner’s death was due at least in part to pneumoconiosis. See Shuff v. Cedar Coal Co., 967 F.2d 977, 979 (4th Cir.1992).

In 2010, the Patient Protection and Affordable Care Act (“ACA”) reinstated Section 932(Z)’s automatic survivors’ benefits for claims filed after January 1, 2005, that were pending on or after the ACA’s March 23, 2010, enactment date. Pub.L. No. Ill— 148, sec. 1556, § 932 (“Section 1556”), 124 Stat. 119, 260 (2010); W. Va. CWP Fund v. Stacy, 671 F.3d 378, 381-82 (4th Cir.2011). Accordingly, survivors whose claims meet those temporal thresholds need no longer show that the miner’s death was caused by pneumoconiosis; the claimant need only show that the miner was determined to be eligible to receive BLBA benefits at the time of his death. Section 1556 is silent as to whether survivors whose previous claims were denied may now receive benefits by filing “subsequent” claims under amended Section 932(i).

DOL’s implementing regulations set forth the protocol for treatment of these “subsequent” claims — defined as claims filed “more than one year after the effective date of a final order denying a claim previously filed by the claimant under this part.” 2 20 C.F.R. § 725.309(d). The regulations provide:

*311 A subsequent claim shall be processed and adjudicated in accordance with the provisions [that govern original claims], except that the claim shall be denied unless the claimant demonstrates that one of the applicable conditions of entitlement ... has changed since the date upon which the order denying the prior claim became final.
(3) If the applicable condition(s) of entitlement relate to the miner’s physical condition, the subsequent claim may be approved only if new evidence submitted in connection with the subsequent claim establishes at least one applicable condition of entitlement. A subsequent claim filed by a surviving spouse, child, parent, brother, or sister shall be denied unless the applicable conditions of entitlement in such claim include at least one condition unrelated to the miner’s physical condition at the time of his death.

20 C.F.R. § 725.309(d).

Addressing the effect of res judicata on BLBA claims, a 1997 DOL comment to the proposed Section 725.309(d) observed that “the principles of claim preclusion are applicable to claims under the Act.” 62 Fed. Reg. 3352 (proposed Jan. 22, 1997) (citing Pittston Coal Grp. v. Sebben, 488 U.S. 105, 122-23, 109 S.Ct. 414, 102 L.Ed.2d 408 (1988)). In the context of subsequent claims, however, DOL clarified that “claim preclusion bars only an attempt to reliti-gate a cause of action that was previously resolved; it has no effect on the litigation of a cause of action which did not exist at the time of the initial adjudication.” Id. (citing Lawlor v. Nat’l Screen Serv. Corp., 349 U.S. 322, 328, 75 S.Ct. 865, 99 L.Ed. 1122 (1955)).

II.

A.

Arlie C. Richards worked as a coal miner for over thirty years and was awarded BLBA benefits in 1987. Union Carbide paid his BLBA benefits until his death in January 1994. Virginia Richards, Arlie’s widow, filed her first claim for survivors’ benefits in February 1994. After protracted proceedings, an ALJ ultimately denied her claim on May 6, 2006, because she failed to prove that her husband’s death was due in part to pneumoconiosis. Mrs. Richards did not appeal that denial, but filed a second, subsequent claim for survivors’ benefits in May 2009. In October 2009, months before the ACA’s enactment, a DOL district director denied that claim because it failed to demonstrate a change in any condition of entitlement, as is required of subsequent claims under Section 725.309(d)(3). Mrs. Richards requested a hearing before an ALJ.

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721 F.3d 307, 2013 WL 3358994, Counsel Stack Legal Research, https://law.counselstack.com/opinion/union-carbide-corporation-v-virginia-richards-ca4-2013.