Leon v. Berryhill
874 F.3d 1130
| 9th Cir. | 2017Background
- Leon, a former landscaper with a sixth-grade education, applied for Social Security Title II disability benefits for a disability onset of February 6, 2010; ALJ denied benefits after a 2012 hearing.
- ALJ found severe impairments (knee degenerative joint disease, lumbar degenerative disc disease, diabetes with nephropathy, hypertension) and assessed capacity for light work with limitations.
- Central contested symptom: Leon’s testimony of extreme daytime fatigue and need for multiple naps caused by sleep apnea, medications, and other conditions; nurse practitioners and his stepdaughter offered corroborating observations.
- ALJ discounted Leon’s fatigue testimony and lay-witness testimony without clear and convincing or germane reasons; relied partly on absence of physician observations of significant fatigue.
- District court remanded for further proceedings but (because Treichler issued shortly after) did not apply the Ninth Circuit’s refined “credit-as-true” framework strictly.
- Ninth Circuit affirmed the remand but clarified that the district court must apply Treichler, remanding on an open record limited to the fatigue/full-time-work issue and allowing cross-examination of the Commissioner’s medical consultants on that issue.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether ALJ gave legally sufficient reasons to reject Leon’s fatigue testimony | ALJ failed to give clear and convincing reasons and ignored corroborating nurse-practitioner and lay-witness evidence | ALJ relied on lack of physician notes and limited direct clinical observations | ALJ erred; record shows non-physician observations and lay testimony requiring germane/clear-convincing reasons for rejection |
| Whether the credit-as-true (Varney) rule required immediate award of benefits | Leon argued courts should credit his testimony and award benefits because ALJ erred | Commissioner argued outstanding issues remain and further proceedings could be useful | Court held remand appropriate; Varney/Treichler requires stepwise analysis and remand because outstanding issues exist |
| Whether the record is fully developed, free of gaps, and supports direct award | Leon argued record supports disability if fatigue testimony credited | Commissioner argued record ambiguous re: effect of fatigue on ability to sustain full-time work and possible CPAP benefit | Court held record not fully developed; ambiguities exist (e.g., need to assess work-hour impact and CPAP adherence), so further admin proceedings are needed |
| Scope of remand and permitted procedures on remand | Leon sought direct award or a narrow remand confirming credit-as-true | Commissioner sought remand for further development and vocational evidence | Court affirmed remand with instructions: open record limited to fatigue issue and allow cross-examination of Commissioner’s medical consultants on fatigue |
Key Cases Cited
- Treichler v. Comm'r of Soc. Sec. Admin., 775 F.3d 1090 (9th Cir. 2014) (refines the credit-as-true analysis and emphasizes court discretion to award benefits or remand)
- Varney v. Secretary of Health & Human Servs., 859 F.2d 1396 (9th Cir. 1988) (establishes three-part credit-as-true rule for improperly rejected testimony)
- Garrison v. Colvin, 759 F.3d 995 (9th Cir. 2014) (discusses the credit-as-true rule and when remand is appropriate due to record ambiguity)
- Brown-Hunter v. Colvin, 806 F.3d 487 (9th Cir. 2015) (affirmed remand where questions remained about symptom severity and work impact)
- Trevizo v. Berryhill, 871 F.3d 664 (9th Cir. 2017) (awarded benefits where medical opinions were extensive, consistent, and VE testimony established inability to sustain work)
- NLRB v. Wyman-Gordon Co., 394 U.S. 759 (U.S. 1969) (articulates test for certainty required to enter judgment without further proceedings)