Fritch v. U.S. Dep't of State
Fritch v. U.S. Dep't of State
Opinion of the Court
I. INTRODUCTION
Plaintiff Paul Fritch, a career Foreign Service Officer employed by Defendant U.S. Department of State, filed this lawsuit under the Administrative Procedure Act ("APA"), seeking review of the Foreign Service Grievance Board's rulings regarding two administrative grievances he filed. In his first grievance, Plaintiff complained that he was deprived of certain benefits, such as promotion consideration, during a five-year assignment to serve as Director of the Office of the Secretary General for the Organization for Security and Cooperation in Europe ("OSCE"). Defendant deemed Plaintiff ineligible for those benefits because his assignment to OSCE was done through a "separation and transfer" agreement, instead of a "detail." The Foreign Service Grievance Board *99("FSGB" or "Board") affirmed the denial of Plaintiff's first grievance, and this court upheld that decision. See generally Fritch v. U.S. Dep't of State ,
After the FSGB denied his first grievance, Plaintiff filed a second grievance in which he argued that he was entitled to certain benefits upon his re-employment with Defendant in June 2012, as a consequence of his separation and transfer to the OSCE. The Board, however, dismissed Plaintiff's second grievance based upon the common law doctrine of claim preclusion. That ruling is the subject of the dispute now before the court.
Upon consideration of the parties' submissions and the present record, the court concludes that the Board's decision to dismiss Plaintiff's second grievance was neither arbitrary and capricious nor contrary to law. Accordingly, the court grants Defendant's Motion for Summary Judgment and denies Plaintiff's Cross-Motion for Summary Judgment.
II. BACKGROUND
Plaintiff is a career Foreign Service Officer employed since 1991 by Defendant U.S. Department of State ("State" or "the Department"). Def.'s Mot. for Summ. J., ECF No. 46 [hereinafter Def.'s Mot.], at 6;
Plaintiff served as Director of the Office of the Secretary General at the OSCE from September 2007 through March 2012, and was re-employed by State in June 2012. Def.'s Mot. at 7; Pl.'s Cross-Mot. at 4-5. On August 7, 2012, Plaintiff filed a grievance with State ("First Grievance").
*100State denied Plaintiff's First Grievance, and Plaintiff appealed to the FSGB. Def.'s Mot. at 8; Pl.'s Cross-Mot. at 6. In addition to the relief he requested at the agency level relating to promotion consideration, Plaintiff also sought reimbursement of housing expenses, as well as sick and home leave that he would have accrued if his assignment to OSCE had been effectuated via detail.
Before the Board could rule on Plaintiff's request for reconsideration, Plaintiff filed a new grievance with State on April 21, 2014 ("Second Grievance"). See Def.'s Mot. at 10; Pl.'s Cross-Mot. at 9. In his Second Grievance, Plaintiff asked the Department "to address violations of statute, regulation and published agency policy created by the Board's" finding that Plaintiff was separated from State during his time at OSCE. Admin. R., ECF No. 44, at 5; see also id. at 11-15. Specifically, Plaintiff alleged that the Department: (1) "failed to comply with
Because the Department did not render a timely decision on Plaintiff's Second Grievance, Plaintiff "referred" his grievance directly to the FSGB, which the Board docketed as an appeal. Pl.'s Cross-Mot. at 15.
Following that decision, Plaintiff amended his Complaint to add claims (Counts III and IV) challenging the Board's dismissal of his Second Grievance. See generally Am. Compl. In Count III, Plaintiff asks the court to set aside the Board's denial of his Second Grievance as "arbitrary, capricious, and otherwise not in accordance with law." Am. Compl. at 17; see
This court previously granted summary judgment for the Department on Counts I and II of the Amended Complaint, which challenged the denial of Plaintiff's First Grievance. See generally Fritch v. U.S. Dep't of State ,
III. LEGAL STANDARD
Pursuant to Rule 56 of the Federal Rules of Civil Procedure, a court ordinarily must grant summary judgment "if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law." Fed. R. Civ. P. 56(a). But where, as here, the case involves review of a final agency action under the APA, the Rule 56 standard does not apply. See Picur v. Kerry ,
*102The Foreign Service Act provides that decisions of the FSGB are subject to judicial review under the APA. See
In essence, agency action must be "the product of reasoned decisionmaking" in order to survive arbitrary and capricious review. Fox v. Clinton ,
IV. DISCUSSION
In this case, the parties have moved for summary judgment on Counts III and IV of the Amended Complaint. With respect to Count III, the Department contends that because Plaintiff could have pursued in his First Grievance the benefits to which he now claims entitlement, but failed to do so, the Board properly determined that he was precluded from pursuing those benefits in his Second Grievance. Def.'s Mot. at 14-15. Moreover, the Department asserts that this court may not consider Plaintiff's argument regarding the Board's failure to apply claim preclusion in the past, as Plaintiff failed to raise that argument in the administrative proceedings below. Id. at 15-16. And in any event, Defendant submits, Plaintiff has failed to cite any Board precedent conflicting with its decision to dismiss the grievance in the instant case or otherwise demonstrating that its decision to do so was arbitrary, capricious, or otherwise not in accordance with law. Id. at 16. With respect to Count IV, the Department argues that, because the Board dismissed the Second Grievance on the ground of claim preclusion, by definition, it did not need to reach the merits. Id.
Plaintiff, for his part, offers three "fundamental reasons" why the Board's dismissal of his Second Grievance should be set aside. Pl.'s Cross-Mot. at 23. First, Plaintiff claims that the Board "failed to follow governing regulations when it treated Plaintiff's Second Grievance as an appeal subject to review, rather than as a grievance to be investigated." Id. at 23-24. Second, Plaintiff asserts that the Board erred in finding his claims were barred by *103claim preclusion. Id. at 24. Third, Plaintiff argues that, under the principle of judicial estoppel, the Board never should have considered claim preclusion in the first place, let alone dismissed his grievance on that basis. Id. The court addresses these arguments in turn.
A. FSGB's Treatment of Plaintiff's Second Grievance as an Appeal
The court begins with, and quickly dismisses, Plaintiff's argument that the Board's treatment of his Second Grievance as an "appeal" was "not in accordance with law." Pl.'s Cross-Mot. at 24. The court agrees with Defendant that Plaintiff failed to properly raise this issue with the Board during the administrative proceedings. See Def.'s Resp. to Cross-Mot. for Summ. J. & Reply in Supp. of Mot. for Summ. J., ECF No. 50 [hereinafter Def.'s Reply], at 6-9; see also Admin. R., ECF No. 44, at 67-78 (Plaintiff's opposition to motion to dismiss second grievance).
B. FSGB's Decision to Dismiss Plaintiff's Second Grievance on the Ground of Claim Preclusion
The court now turns to the heart of the matter: Plaintiff's argument that the Board erred in dismissing his Second Grievance on the ground of claim preclusion. Plaintiff challenges the Board's application of claim preclusion on two primary grounds: (1) the Board had not previously applied claim preclusion to dismiss a grievance and therefore lacked the authority to do so; and (2) the Board erred on the merits by applying claim preclusion to bar Plaintiff's claims in this case. See Pl.'s Cross-Mot. at 24-38. Neither argument is convincing.
1. FSGB's Authority to Apply Claim Preclusion
Plaintiff's first contention-that the Board lacked the power to apply the common law doctrine of claim preclusion-is waived because he did not raise it before the FSGB. Compare Pl.'s Cross-Mot. at 36-38; Pl.'s Reply to Def.'s Opp'n to Cross-Mot. for Summ. J., ECF No. 53 [hereinafter Pl.'s Reply], at 10-11, with Admin. R., ECF No. 44, at 67-78. When the Department moved to dismiss Plaintiff's Second Grievance, it asserted two grounds for dismissal. See Admin. R., ECF No. 44, at 57. First, it argued that Section 1109(a) of the Foreign Service Act,
*104
Even if Plaintiff could raise that argument now, the contention lacks merit. Plaintiff makes his assertion that the Board did not have the authority to invoke claim preclusion most clearly in his reply brief. Citing the D.C. Circuit's decision in North Carolina v. FERC ,
Plaintiff's reliance on North Carolina v. FERC is misplaced. In that case, the state of North Carolina sought review of a decision "to amend a FERC license under which a power project was operated within Lake Gaston on the Roanoke River" by Virginia Power and Electric Company.
After finding that North Carolina did not waive its certification right under the plain language of Section 401(a)(1), the D.C. Circuit addressed the agency's alternative grounds for affirmance, one of which was the common law doctrine of claim preclusion.
In this case, Plaintiff has pointed to no similar "precisely worded" statutory provision. Instead, the statute cited by Plaintiff,
2. FSGB's Substantive Application of Claim Preclusion
As was the case before the Board, Plaintiff's primary argument here is that the FSGB wrongly applied the doctrine of claim preclusion to his case. See Pl.'s Cross-Mot. at 2, 25-27. For the reasons stated below, the court finds no error with the Board's decision.
*106Under the doctrine of claim preclusion, "a subsequent lawsuit will be barred if there has been prior litigation (1) involving the same claims or cause of action, (2) between the same parties or their privies, and (3) there has been a final, valid judgment on the merits, (4) by a court of competent jurisdiction." Pl.'s Cross-Mot. at 25 (quoting Havens v. Mabus ,
Plaintiff contends that this "critical test" is not satisfied here, in part because the claims raised in his First and Second grievances are "distinct." Pl.'s Cross-Mot. at 26-27. Specifically, Plaintiff argues that the "subject of [his] First Grievance ... was the denial of promotion eligibility while he was assigned to OSCE, which he alleged was due to the Department's effectuating the assignment in 2007 by separation/transfer." Id. at 28. By contrast, Plaintiff contends, the claim in his Second Grievance "did not concern the benefits to which he would have been entitled during a detail to the OSCE" and instead challenged "the Department's failure to award him the benefits to which he was entitled after he was re-employed , in light of the Board's decision rejecting his challenge to his separation/transfer." Id. at 28-29. Thus, Plaintiff attempts to distinguish the two claims based on the purported time when each arose.
Like the Board, the court finds that distinction unconvincing. While Plaintiff emphasizes that his First Grievance concerned benefits he should have received during his assignment to OSCE, the benefits that he claims he was entitled to after his assignment in his Second Grievance also arise out of the same operative set of facts: the assignment itself. Both grievances rise and fall on the question whether Plaintiff's 2007 assignment was a "separation and transfer" or a "detail." No other facts are relevant. Thus, as the Board properly recognized, both sets of claims "flow from the separation/transfer action." Admin. R., ECF No. 44, at 112.
Plaintiff offers a host of arguments to avoid the consequence of his splitting of claims, but none are convincing. First, he asserts that, because "he was entitled to certain comparable but legally distinct benefits after his return from his separation/transfer to OSCE," the Second Grievance differs from the First. See Pl.'s Cross-Mot. at 27. That Plaintiff sought "comparable but legally distinct benefits" in his Second Grievance, however, does not entitle Plaintiff to "get a second bite at th[e] same apple." See Nat'l Res. Def. Council ,
Next, Plaintiff argues that the Board's application of claim preclusion was improper because the claims he raised in the Second Grievance could not have been included in his First Grievance. Id. at 31. The reason he could not grieve the claims simultaneously, Plaintiff states, is that the second contention-that he was entitled to benefits even as a separated employee under Executive Order 11552 and *107
Additionally, Plaintiff challenges the Board's decision as arbitrary and capricious because "it reveals considerable confusion" over whether its "decision [wa]s predicated upon collateral estoppel or claim preclusion." See Pl.'s Cross-Mot. at 32; Pl.'s Reply at 7-8. The court rejects this argument. True, the Board repeatedly characterized the doctrine it was applying as "Collateral Estoppel (Claim Preclusion)," see Admin. R., ECF No. 44, at 110-12, even though collateral estoppel refers to issue preclusion, see generally Bailey v. Fulwood ,
[Plaintiff] was obligated under the doctrine of collateral estoppel (claim preclusion), therefore, to bring all of his claims that relate to the same series of events during the first grievance. [Plaintiff] is precluded from making additional claims in a new grievance, based on those same facts that form the basis of the first grievance, after the Board reached a decision denying that grievance. To permit this would be tantamount to seeking a second Board reconsideration of the first grievance, without [Plaintiff] having met the criteria for reconsideration as set forth in 22 U.S.C. 4136(9) and CFR 910.1.
Id. at 111. Indeed, other than mistakenly characterizing claim preclusion as "collateral estoppel" instead of "res judicata," there is no indication whatsoever that the Board confused the two doctrines. See, e.g., id. at 110-11 ("We are not convinced that the two claims are separate and distinct ...." (emphasis added) ); id. at 112 ("[Plaintiff] had the opportunity, and even *108the obligation ... to raise during his argument of his first grievance any and all claims he had concerning Department violations of any kind that he deemed to flow from the separation/transfer action. As he failed to raise these claims ... he is barred from filing a new grievance now, based on the same underlying facts." (emphasis added) ).
Finally, the court's conclusion that the Board did not improperly apply the doctrine of claim preclusion resolves Plaintiff's contention as to Count IV, which is that the Board failed to consider the merits of his Second Grievance. See Am. Compl. ¶ 49; Pl.'s Cross-Mot. at 2-3. Because the Board found the Second Grievance to be barred under the doctrine of claim preclusion, it appropriately dismissed the Second Grievance without considering its merits. Cf. Nat'l Res. Def. Council ,
C. FSGB's Rejection of Plaintiff's Judicial Estoppel Argument
That leaves Plaintiff's argument concerning the Board's rejection of his plea to apply the equitable principle of judicial estoppel to prevent the Department from seeking dismissal on claim preclusion grounds. Plaintiff contends that Defendant pulled a bait and switch. He maintains that when the Department opposed his request for reconsideration of the First Grievance, the Department argued that the Board should not consider Plaintiff's claims regarding Executive Order 11552 and
The Board, however, declined to apply that equitable doctrine. See Admin. R., ECF No. 44, at 112-13. In doing so, the Board relied on the test set out in New Hampshire v. Maine ,
First, a party's later position must be clearly inconsistent with its earlier position. Second, courts regularly inquire whether the party has succeeded in persuading a court to accept that party's earlier position, so that judicial acceptance of an inconsistent position in a later proceeding would create the perception that either the first or second court was misled. A third consideration is whether the party seeking to assert an inconsistent position would derive an unfair advantage or impose an unfair detriment on the opposing party if not estopped.
See Admin. R., ECF No. 44, at 113 & n.4 (quoting Moses v. Howard Univ. Hosp. ,
The court finds no error in the Board's ruling or its reasoning. Having closely reviewed all of the parties' relevant submissions to the Board during both proceedings, the court concludes that the Department's position in its opposition to Plaintiff's request for reconsideration of the First Grievance was not "clearly inconsistent" with the position it took later in its motion to dismiss the Second Grievance. As Defendant correctly points out, its opposition simply argued that Plaintiff's claims under the Executive Order and relevant statute "had not been asserted during the proceedings on the merits, and therefore could not justify reconsideration of the Board's decision." Def.'s Reply at 24; cf. Pl.'s Cross-Mot. at 42-43 (noting that, with respect to his argument regarding Executive Order 11552 and
V. CONCLUSION
For the reasons set forth above, Defendant's Motion for Summary Judgment, ECF No. 46, is granted, and Plaintiff's Cross-Motion for Summary Judgment, ECF No. 49, is denied. A separate Order accompanies this Memorandum Opinion.
Citations to Defendant's Motion are to the page numbers electronically generated by CM/ECF.
Plaintiff was ineligible to file a grievance while an employee of OSCE and separated from State.
Citations to the Administrative Record are to the page numbers electronically generated by CM/ECF.
Plaintiff also claimed that the Department violated
The Department claims that it "stayed its investigation and processing of the Second Grievance pending the Board's decision on Plaintiff's Request for Reconsideration on the First Grievance." Def.'s Mot. at 12 n.4; see also Admin. R. Part 6, ECF No. 38, at 197. Thus, the Department refers to Plaintiff's filing with the FSGB as an "appeal." Def.'s Mot. at 12.
Plaintiff also ostensibly abandons this theory by failing to mention it in his reply brief. See generally Pl.'s Reply to Def.'s Opp'n to Cross-Mot. for Summ. J., ECF No. 53. At the very least, Plaintiff says nothing to counter the Department's opposition, such as by suggesting that he did in fact raise the issue during the administrative proceedings.
Section 1109(a) provides in pertinent part:
A grievant may not file a grievance with the Board if the grievant has formally requested, prior to filing a grievance, that the matter or matters which are the basis of the grievance be considered or resolved and relief be provided under another provision of law, regulation, or Executive order ... and the matter has been carried to final decision under such provision on its merits or is still under consideration.
Plaintiff also seems to advance a different contention as to the impropriety of the Board relying on claim preclusion, but this argument is far from clear. Plaintiff appears to assert that, because the Board had not before used claim preclusion to dismiss a grievance, the Board's decision to apply that doctrine to him in this case was arbitrary and capricious. See Pl.'s Cross-Mot. at 36-38. Ultimately, however, the court does not address this argument. To the extent that Plaintiff advances it, he does so only in refuting the Department's contention that he waived contesting the agency's authority to rely on claim preclusion. He does not, however, explain why the Board's first-time reliance on claim preclusion was arbitrary and capricious, or cite any authority in support of that proposition. Thus, not having added any flesh to the bone of that argument, the court declines to consider it. Cf. Cement Kiln Recycling Coal. v. EPA ,
The court here affords no deference to the Board's application of the doctrine of claim preclusion, as "[an] agency's interpretation of judicial precedent is entitled to no deference." Banner Heart Hosp. v. Burwell ,
Plaintiff does cite the Department's failure to "take[ ] the position that it would never comply with the statute and Executive Order" as an impediment to his ability to assert these claims in his First Grievance, see Pl.'s Cross-Mot. at 31-32, but that argument falls flat. As Plaintiff acknowledges, the statute and executive order that he cites would have required the Department to "take[ ] his OSCE service into account in determining the benefits to which he should have been entitled upon his re-employment" in June 2012, before he filed his First Grievance. See id. at 32. Thus, the Department's failure to expressly state its position as to the applicability of the statute and executive order posed no hindrance to Plaintiff's ability to assert entitlement to benefits. See Def.'s Reply at 17.
Reference
- Full Case Name
- Paul FRITCH v. U.S. DEPARTMENT OF STATE
- Status
- Published