Mike Sumpter v. Secretary of Labor, Federal Mine Safety and Health Review Commission
763 F.3d 1292
| 11th Cir. | 2014Background
- Oak Grove Resources, LLC, a Delaware LLC, runs an underground coal mine; Sumpter and Hartzell were mine supervisory personnel.
- MSHA cited Oak Grove in December 2009 and January 2010 for ventilation-system violations and failure to conduct required weekly examinations.
- Order No. 669830 on January 6, 2010 forced evacuation/closure of the affected area.
- MSHA sought civil penalties under §110(c) against Sumpter and Hartzell personally based on the January 6 Order; ALJ and Commission upheld these liability determinations.
- Court held that §110(c) can reach agents of LLCs, affirmed the ALJ’s personal-liability decision, and denied duplicative-violation challenges.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether §110(c)’s use of 'corporation' includes LLCs. | Sumpter/Hartzell: plain language excludes LLCs. | Secretary: 'corporation' is ambiguous and includes LLCs via reasonable interpretation. | Ambiguous; LLCs deemed within §110(c) under Chevron deference. |
| What level of deference applies to Secretary’s interpretation. | Chevron deference not clearly warranted? | Secretary’s interpretive bulletin entitled to Chevron deference. | Chevron deference applies; interpretation reasonable. |
| Whether ALJ’s personal-liability finding is supported by substantial evidence. | Evidence insufficient to show knowingly authorized violation. | Record shows Sumpter/Hartzell knew examinations weren’t completed; authority credibility intact. | Substantial evidence supports personal liability. |
| Whether the January 6 Order and December 30 Citation are duplicative. | Order duplicative of prior Citation. | Standards impose distinct duties; not duplicative. | Not duplicative; duties were distinct. |
Key Cases Cited
- Chevron, U.S.A., Inc. v. Natural Res. Def. Council, Inc., 467 U.S. 837 (1984) (establishes deference to agency interpretations of ambiguous statutes)
- Freeman United Coal Mining Co. v. Fed. Mine Safety & Health Review Comm’n, 108 F.3d 358 (D.C. Cir. 1997) (agency interpretations may be reviewed for reasonableness under Chevron framework)
- United Elec., Radio & Mach. Workers v. 163 Pleasant St. Corp., 960 F.2d 1080 (1st Cir. 1992) (corporate-form liability and agency enforcement considerations under federal statutes)