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14 A.3d 566
Del.
2011
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Background

  • Avallone, a Delaware state employee with 15 years of service, was dismissed by DHSS for misrepresenting a State purchase in obtaining video equipment.
  • DHSS found that Avallone used a State purchase order and DSAMH affiliation to obtain equipment for personal use, then reimbursed partially by paying later.
  • After his grievance was denied, the MERB reinstated Avallone but without backpay; DHSS appealed to Superior Court.
  • Superior Court reversed, holding MERB lacked authority to modify discipline and that MERB may not shift burden of proof or grant backpay; Avallone appealed.
  • The Delaware Supreme Court held MERB has broad remedial authority under 29 Del. C. § 5931(a) to remedy misapplications of the Merit Rules, including modifying discipline and awarding backpay.
  • The Court also held the MERB did not improperly shift the burden of proof to DHSS for the third element of just cause.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether MERB may modify agency-imposed discipline Avallone argues MERB lacks authority to alter DHSS discipline. DHSS contends MERB may not modify discipline, only accept or reject it. MERB may modify discipline under § 5931(a).
Whether MERB shifted the burden of proof to DHSS on just cause Avallone asserts MERB incorrectly placed the burden on DHSS for the third element of just cause. DHSS argues no improper burden shifting occurred. No reversible error; MERB did not shift the burden.
Whether the penalty of dismissal was disproportionate under the circumstances Avallone contends the penalty was excessive given fifteen-year clean record and circumstances. DHSS argues dismissal was appropriate; MERB's view to modify is a remediable misapplication. MERB may modify to remedy misapplication of Merit Rules.

Key Cases Cited

  • Hopson v. McGinnes, 391 A.2d 187 (Del. 1978) (substantial evidence standard and agency review basics)
  • Person-Gaines v. Pepco Holdings, Inc., 981 A.2d 1159 (Del. 2009) (statutory interpretation and review standards)
  • Dambro v. Meyer, 974 A.2d 121 (Del. 2009) (de novo review of statutory interpretation)
  • LeVan v. Independence Mall, Inc., 940 A.2d 929 (Del. 2007) (contracting interpretation and case law synthesis)
  • Worsham v. State, 638 A.2d 1104 (Del. 1994) (remedial powers implied to make employees whole)
  • Berenguer v. State, 321 A.2d 507 (Del. Super. 1974) (statutory limits on Commission power to fix penalties on appeal)
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Case Details

Case Name: Avallone v. STATE/DHSS.
Court Name: Supreme Court of Delaware
Date Published: Jan 27, 2011
Citations: 14 A.3d 566; 2011 Del. LEXIS 54; 2011 WL 250994; 234,2010
Docket Number: 234,2010
Court Abbreviation: Del.
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