263 P.3d 1122
Or. Ct. App.2011Background
- Campbell was Willamette Educational Service District’s director of fiscal services from July 1, 2007 until resigning December 1, 2009.
- She reported concerns about financial improprieties, mismanagement, improper contracting, and commingling of funds at WESD to multiple officials and counsel.
- She faced resistance and admonitions to exclude certain information from a budget presentation and was told to proceed as directed by the board chair.
- After attempting to raise concerns and facing retaliation and restricted duties, Campbell took medical leave in June 2009 and later resigned.
- Campbell sought unemployment benefits; the ALJ and EAB denied benefits, finding no good cause to quit under ORS 657.176(2)(c).
- The Oregon Court of Appeals reversed and remanded, holding EAB’s reasons did not constitute substantial reason to quit.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether EAB's decision rests on substantial reason. | Campbell argues EAB failed to link facts to a valid, objective grave reason. | EAB contends Campbell could have continued working and refused improper acts. | Remanded for reevaluation with proper substantial-reason analysis. |
| Whether Campbell had good cause to quit due to potential risk to her license. | Campbell contends continuing would require participation in improper practices risking her certification. | WESD argues she could have refused and kept working elsewhere. | EAB's reasoning insufficient; not supported by substantial reason. |
| Whether Campbell had a reasonable alternative to quitting. | Campbell asserts she attempted to refuse participation in improper acts and was effectively coerced. | EAB found she could have continued and refused improper conduct. | Court held the alternative was not reasonably supported by the facts; remand needed. |
Key Cases Cited
- McDowell v. Employment Dept., 348 Or. 605, 236 P.3d 722 (2010) (good cause requires an objective, grave situation with no reasonable alternative to quitting)
- Simpson v. Board of Parole, 237 Or.App. 661, 241 P.3d 347 (2010) (standard: board findings must have substantial evidence and substantial reason)
- Warkentin v. Employment Dept., 245 Or.App. 128, 261 P.3d 72 (2011) (addresses requirement to seek other work before quitting under good cause)