John R. RAMSEY et al., Petitioners, v. R. James NICHOLSON, Secretary of Veterans Affairs, Respondent.
No. 05-1314.
United States Court of Appeals for Veterans Claims.
Decided March 31, 2006.
Argued Sept. 22, 2005.
MOORMAN, Judge:
III. CONCLUSION
After consideration of the appellant‘s and the Secretary‘s briefs, and a review of the record, the Board‘s October 8, 2003, decision is VACATED and the matters are REMANDED to the Board for further proceedings consistent with this decision.
R. Randall Campbell, with whom Tim S. McClain, General Counsel, was on the pleading, both of Washington, D.C., for the respondent.
Before GREENE, Chief Judge, and MOORMAN and SCHOELEN, Judges.
MOORMAN, Judge:
The petitioners, veterans John R. Ramsey and Robert C. Johnson, each have an appeal pending before the Board of Veterans’ Appeals (Board) seeking separate increased ratings of 10% for service-connected, bilateral tinnitus. On May 20, 2005,
I. BACKGROUND
On October 6, 1988, a VA regional office (RO) granted Mr. Ramsey service connection for tinnitus and assigned a single 10% rating under
On September 7, 2001, an RO granted Mr. Johnson service connection for tinnitus and assigned a 10% rating under
On April 5, 2005, while both petitioners’ appeals were pending before the Board, this Court issued its decision in Smith, supra. In Smith, the Court held that “[b]ased on the plain language of the regulations [(
Shortly after Smith was issued and while petitioners’ claims were pending before the Board, the Secretary issued to the Board Chairman a memorandum that advised the Chairman that the VA General Counsel was recommending that Smith be appealed to the U.S. Court of Appeals for the Federal Circuit (Federal Circuit). Therefore, the Secretary directed the Board Chairman to stay the adjudication of tinnitus claims and stated as follows:
To avoid burdens on the adjudication system, delays in adjudication of other claims, and unnecessary expenditure of resources through remand of final adjudication of claims based on court precedent that may ultimately be overturned on appeal, I direct the Board to stay action on and refrain from remanding the following claims until such time as I rescind this memorandum or the General Counsel provides advice and instruction to you upon resolution of the ongoing litigation: (A) all claims in which a claim for tinnitus was filed prior to June 13, 2003, and a disability rating for tinnitus of greater than 10 percent is sought; and (B) all claims in which a claim for service connection for tinnitus filed prior to June 10, 1999, was denied on the basis that the veterans’ tinnitus was not persistent for purposes of DC 6260.
A. at 1.
In Memorandum No. 01-05-08, dated April 28, 2005, the Board Chairman directed the Board to stay the adjudication of the tinnitus claims cited in the Secretary‘s memorandum. A. at 4 (Board Chairman‘s Memorandum). In addition, the Board Chairman noted that a “case containing a tinnitus claim affected by the Smith stay that has been returned to the Board by the [U.S. Court of Appeals for Veterans Claims] will generally be handled in the same manner as non-Court remand cases.” A. at 7. In this regard, as to those cases that were remanded by this Court, the Chairman‘s Memorandum directed the Board not to adjudicate the remanded tinnitus claims, and the Chairman‘s Memorandum made no reference to whether the Secretary had sought the authority to do so from this Court. The Chairman‘s Memorandum also stated that the stay applied to any claim that is inextricably intertwined with a claim for a bilateral tinnitus rating (such as a claim for a rating of total disability based on individual unemployability resulting from service-connected disability). A. at 5. Additionally, the Board Chairman‘s Memorandum indicated that in multiple-claim cases containing claims not subject to the stay, the Board must adjudicate those claims. Id.
In a letter dated May 4, 2005, the Board notified Mr. Ramsey that a “temporary stay has been imposed on processing your claim for entitlement to compensation for
On May 20, 2005, the petitioners moved for extraordinary relief in the nature of mandamus. The Secretary responded, and the Court thereafter granted the petitioners’ leave to file a reply. Thereafter, the Court heard oral argument.
II. ANALYSIS
This Court has authority to issue extraordinary writs in aid of its jurisdiction pursuant to the All Writs Act (AWA),
Regarding the first condition, the petitioners make three arguments in support of their position that they have an indisputable right to a writ. First, they contend that the Secretary and the Board are refusing to act in accordance with
In response, the Secretary maintains that the petitioners do not have an indisputable right to a writ. Relying on Tobler v. Derwinski, the Secretary counters that this Court has long recognized that the Board Chairman and the Secretary have authority to stay administrative proceedings while an appeal to the Federal Circuit is being contemplated and that it is reasonable to impose a stay of petitioners’ claims for similar reasons here. Response (Resp.) at 2, 4 (citing Tobler, 2 Vet.App. 8, 12 (1991)). The Secretary, citing Nash v. West, 11 Vet.App. 91, 93 (1998), and Bullock v. Brown, 7 Vet.App. 69, 69-70 (1994) (per curiam order), in which mandamus petitions based on unreasonable delay were denied, argues that any delay resulting from the imposed stays has not been unreasonable. Id. at 3-4. The Secretary further asserts that after the legal challenge is resolved in Smith, the temporary stay will be lifted and decisions in the tinnitus-rating cases will be issued with due diligence according to their docket numbers. Id. at 6. He contends that “to give excessive weight to the order of docketing would mean that the Board could never temporarily stay a class of cases to develop and resolve a core legal issue or, at least, would have to freeze the entire docket.” Id. The Secretary maintains that the Board Chairman possesses “certain inherent powers that are necessary to carry out the administrative and managerial functions of the Board and the appeals pending at the Board” and that these “powers must include the authority to stay pending cases when the efficient management of the docket reasonably requires.” Id. at 7. The Secretary acknowledges that although the stay imposed in the petitioners’ appeals is not the product of a “burdened system,” it is not an “arbitrary” act. Resp. at 7-8. He maintains that the stay is imposed to avoid (1) needless burdens on the adjudication system, (2) delays in the adjudication of other claims, and (3) unnecessary expenditure of resources through remand or final adjudication of claims based on judicial precedent that might ultimately be overturned on appeal. Id. He argues that the demands and resources of the Secretary are factors to balance in the writ equation. Id. at 8 (citing Costanza v. West, 12 Vet.App. 133, 134 (1999)).
In reply, the petitioners argue that the Secretary‘s reliance on Tobler as authority for him to stay proceedings is misplaced because the Court in Tobler did not consider whether the Secretary or Board Chairman can impose a stay of proceedings and it did not consider section 7107. Reply at 3-5. They argue that they are not complaining of ordinary delay but maintain that the Secretary and Board Chairman have violated a statutory right granted to veterans by Congress. Id. at 5. They assert that the delay here is unlawful because later-docketed cases have been decided in violation of section 7107. Further,
Initially, we note that we are not reviewing the Board Chairman‘s Memorandum imposing the stay as a decision of the Board but are reviewing it as part of the Court‘s examination of the reasons for the asserted inaction or delay in the processing of the petitioners’ appeals at the Board to determine whether a writ must issue. In determining whether the petitioners have demonstrated a clear and indisputable right to a writ based on the asserted violation of section 7107, the Court must examine whether the Secretary has the authority to stay cases and how section 7107 might affect any such authority. We also examine below the additional question implicated here, whether it is unlawful for the Secretary to stay the effect of Smith, supra, on cases, including those of the petitioners, that are pending at the Board.
A. Appropriateness of Stay of Proceedings at Board—Generally
Before addressing whether the Secretary has authority to stay claims at the Board, we review a number of cases from this Court and the Federal Circuit that have discussed the availability of stays on claims processing at the Board. Court decisions have recognized that there are times when staying adjudications at the Board may be appropriate. See Nat‘l Org. of Veterans’ Advocates, Inc. v. Sec‘y of Veterans Affairs (NOVA II), 314 F.3d 1373 (Fed. Cir. 2003); NOVA v. Sec‘y (NOVA I), 260 F.3d 1365 (Fed. Cir. 2001); Lane v. West (Lane II), 11 Vet.App. 506 (1998) (per curiam order); Tobler, supra. At the same time, we acknowledge that these decisions did not address specifically the language in section 7107. In Tobler, the Board, following the advice of the VA General Counsel, expressly refused to consider when adjudicating the appellant‘s claim a precedential decision by this Court in Fugere v. Derwinski, 1 Vet.App. 103 (1990). See Tobler, 2 Vet.App. at 10. The VA General Counsel had advised the Board that the Court‘s decision had not become final because VA had filed an appeal with the Federal Circuit. In Tobler, we held:
[A] decision of this Court, unless or until overturned by this Court en banc, the United States Court of Appeals for the Federal Circuit, or the Supreme Court, is a decision of the Court on the date it is issued; any rulings, interpretations, or conclusions of law contained in such a decision are authoritative and binding as of the date the decision is issued and are to be considered and, when applicable, are to be followed by VA agencies of original jurisdiction, the Board of Veterans’ Appeals, and the Secretary in adjudicating and resolving claims.
Id. at 14. Today, we reaffirm that holding.
In reaching this holding, the Tobler Court examined the decisions of other circuits that had been presented with a similar issue. The U.S. Court of Appeals for
Of course, we do not expect the Board or any other litigant to rejoice in all the opinions of this Court. When it disagrees in a particular case, it should seek review in the Supreme Court. During the interim before it has sought review or while review is still pending, it would be reasonable for the Board to stay its proceedings in another case that arguably falls within the precedent of the first one. However, the Board cannot, as it did here, choose to ignore the decision as if it had no force or effect. Absent reversal, that decision is the law which the Board must follow. The Board cites no contrary authority except its own consistent practice of refusing to follow the law of the circuit unless it coincides with the Board‘s views. This is intolerable if the rule of law is to prevail.
Tobler, 2 Vet.App. at 12 (quoting Ithaca Coll., 623 F.2d at 228). Accordingly, in Tobler we recognized, without further explanation, that one choice open to an agency that disagreed with a controlling decision of the Court was to “stay its proceedings in another case that arguably falls within the precedent of the first one” while seeking appellate review of that decision.
In Lane, the petitioner on June 24, 1998, filed a petition for a writ of mandamus, which requested that this Court order the Board to issue a decision on the petitioner‘s section 7111 clear and unmistakable error (CUE) motion. Lane II, 11 Vet.App. at 507. In February 1998, the Board Chairman had informed the petitioner that the Board was engaged in promulgating regulations necessary to carry out the provisions of the
The Court in Lane II noted its prior order in that same case, Lane v. West (Lane I), 11 Vet.App. 412, 415 (1998) (per curiam order), in which it had directed the Secretary to show cause why the Court should not issue a writ of mandamus ordering the Board without delay to issue a decision on the CUE motion. In that prior order, the Court had noted that (1) the Board Chairman had informed the appellant that his claim would not be adjudicated for some unspecified period of time, (2) the Secretary had offered no information to the Court as to the status of the Board‘s pending regulations, or when and if final regulations would be promulgated, and (3) the Secretary had offered no reason why adjudication of the acknowledged claim of CUE must await rulemaking. Lane I, 11 Vet.App. at 414. The Court concluded that it could find “no justification on the record presently before it for the decision ‘to defer determinations on all requests for revision of prior BVA deci-
The Court in Lane II noted that the authority cited in the Secretary‘s response for the adoption of a policy of deferral was the Secretary‘s general rulemaking authority under
[T]here could be thousands of such claims, and therein lies the seed of a problem of potentially great magnitude. Simply put, the longer it takes to promulgate regulations, the greater the number of claims and the greater the impact on already-existing backlogs at the BVA, the office of the counsel for the Secretary, and the Court.
Id. The Court admonished that “a lack of urgency [or] an inexcusable delay in promulgating such rules[] could adversely impact not only those veterans who filed claims under the 1997 CUE Act, but all veteran-claimants” and clarified that “[i]n short, such factors must be considered in this Court‘s determinations as to whether there has been ‘action of the Secretary unlawfully withheld or unreasonably delayed‘,”
Thereafter, on February 17, 1999, the Court denied the petition for a writ of mandamus. Lane v. West, 12 Vet.App. 220, 222 (1999) (per curiam order). The facts before the Court demonstrated that the Secretary‘s January 1999 response indicated that final rules implementing the 1997 CUE Act were published in the Federal Register that same month and that the Board was sending the appellant a letter stating that if the appellant wanted it to proceed with adjudication of his CUE claim, it would promptly proceed to do so. Id.
Similar to this Court in the above cases, the Federal Circuit in NOVA I and NOVA II, both supra, recognized the appropriateness of staying proceedings in cases that were then pending with the Board. In imposing a stay at VA, including at the Board, on the processing of claims for dependency and indemnity compensation
B. Secretarial Authority to Stay Proceedings—Generally
Before addressing the effect of section 7107, we will address the general statutory framework asserted for providing authority for a stay in certain cases. The Secretary relies on
We recognize that there is no direct authority in title 38 that expressly provides the Secretary with authority to stay proceedings in appeals pending before the Board. Therefore, we will examine the statutory scheme to determine whether there is any implicit authority. Section 7101(a) provides:
(a) There is in the Department a Board of Veterans’ Appeals.... The Board is under the administrative control and supervision of a chairman directly responsible to the Secretary. The Board shall consist of a Chairman, a Vice Chairman, and such number of members as may be found necessary in order to conduct hearings and dispose of appeals properly before the Board in a timely manner.
(a) The Secretary shall decide all questions of law and fact necessary to a decision by the Secretary under a law that affects the provision of benefits by the Secretary to veterans or the dependents or survivors of veterans. Subject to subsection (b), the decision of the Secretary as to any such question shall be final and conclusive and may not be reviewed by any other official or by any any court, whether by an action in the nature of mandamus or otherwise.
Examining section 7101(a) together with sections 501(a)(4) and 511, we observe that these statutes give the Board the authority to “dispose of appeals properly before the Board in a timely manner,” and the Secretary the authority to “prescribe all rules and regulations which are necessary or appropriate” regarding “the manner and form of adjudications and awards” and to “decide all questions of law and fact necessary to a decision by the Secretary.”
In addition, the Court notes that interpreting the general provisions of section
The Secretary‘s inherent authority to stay matters pending before the Board, however, is not without limitations. For example, such authority is balanced against Congress‘s clearly expressed disapproval of delay in adjudicating the claims of veterans. See Lane II, 11 Vet.App. at 509 (noting in analogous context congressional disapproval of delay in adjudicating claims of veterans in section 302 of the Veterans’ Benefits Improvement Act,
Therefore, in the absence of statutory limitations or limitations imposed by this Court or another court, the Secretary‘s and Chairman‘s broad authority to manage the activities of the Board necessarily includes the authority to stay classes of cases before it for well-articulated reasons of sound case management. The petition before this Court, however, asserts that there exists a statutory limitation on that authority and that the stay in this instance is a violation of section 7107 by the Secretary and Board Chairman. We proceed now to determine whether the Secretary and Board Chairman have unlawfully withheld or delayed action under section 7107.
C. Effect of Section 7107 on Stay Authority
1. Plain Meaning
The petitioners argue that the stay imposed by the Secretary and Board Chairman is not authorized because it is prohibited by the plain meaning of section 7107. The petitioners maintain that section 7107 requires the Board to decide a case “in regular order according to its place upon the docket” and that there is no specified exception in section 7107 that allows the Board Chairman to stay cases. As discussed below, even on the face of that quoted language, it is not absolutely clear that the Board is required to process cases in strict numeric order, but the petitioners argue that that language requires strict numeric order, and the Court finds it necessary to address that argument.
Section 7107 provides in pertinent part:
(a)(1) Except as provided in paragraphs (2) and (3) and in subsection (f), each case received pursuant to application for review on appeal shall be considered and decided in regular order according to its place upon the docket.
(2) A case referred to in paragraph (1) may, for cause shown, be advanced on motion for earlier consideration and determination. Any such motion shall set forth succinctly the grounds upon which the motion is based. Such a motion may be granted only—
(A) if the case involves interpretation of law of general application affecting other claims;
(B) if the appellant is seriously ill or is under severe financial hardship; or
(C) for other sufficient cause shown.
(3) A case referred to in paragraph (1) may be postponed for later consideration and determination if such postponement is necessary to afford the appellant a hearing.
....
(f) Nothing in this section shall preclude the screening of cases for purposes of—
(1) determining the adequacy of the record for decisional purposes; or
(2) the development, or attempted development, of a record found to be inadequate for decisional purposes.
The Court interprets a statute de novo. See Butts v. Brown, 5 Vet.App. 532, 539 (1993) (en banc). The Court is presented with two questions when it reviews an agency‘s construction of a statute: (1) Whether Congress has directly spoken to the precise question at issue; if so, that is the end of the matter, and the Court and agency are required to “give effect to the unambiguously expressed intent of Congress,” and (2) if Congress has not directly addressed the precise question at issue, whether the agency‘s answer to the question is a permissible construction of the statute. Chevron, U.S.A., Inc. v. Natural Res. Def. Council, Inc., 467 U.S. 837, 842-43 (1984). To determine Congress‘s intent, the traditional tools of statutory construction are employed. See id. at 843 n. 9. In determining whether Congress has directly spoken to the question at issue, the starting point is to examine the language and structure of the statute itself, for “[i]f the intent of Congress is clear, that is the end of the matter.” Good Samaritan Hosp. v. Shalala, 508 U.S. 402, 409 (1993) (quoting Chevron, 467 U.S. at 842); see Trilles v. West, 13 Vet.App. 314, 321 (2000) (en banc); Gardner v. Derwinski, 1 Vet.App. 584, 586-87 (1991), aff‘d sub nom. Gardner v. Brown, 5 F.3d 1456 (Fed. Cir. 1993), aff‘d, 513 U.S. 115 (1994).
The language of section 7107 plainly states that, except as provided therein, “each case received pursuant to application for review on appeal shall be considered and decided in regular order according to its place upon the docket.”
What then is the logical outcome of such a plain-meaning interpretation under the circumstances presented in this petition? We conclude that strict adherence to docket order in the consideration and decision of cases before the Board would necessarily lead to an absurd result when considering the statute‘s overall structure and concepts relating to effective review of appeals. See Trilles, 13 Vet.App. at 321-24 (holding that language of
Next, a literal reading of the language of section 7107 would mean that one member of the Board who is ready to issue a decision in one appeal would not be able to do so if another member of the Board is considering another appeal bearing a docket number assigned before that of the appeal ready for issuance of a decision. Requiring that Board decisions be issued strictly in the “regular order” of their docket numbers in a system where there are approximately 56 members of the Board (not including acting Board members) who are considering over 40,000 appeals, see Report of the Chairman, Board of Veterans Appeals Fiscal Year 2004 at 6-8, produces an absurd result because it unnecessarily delays the processing of appeals at the Board. At oral argument, the petitioners conceded that, under the circumstances presented in this second example, the Board member considering the appeal with the newer docket number should be able to issue that decision even though another Board member is still considering an appeal with an older docket number. Yet, such a sensible accommodation is outside the plain language of the statute.
Indeed, the petitioners have provided the Court with two Board decisions on bilateral tinnitus cases that were issued, as a matter of course, out of “regular order.” A. at 31, 32. These two Board decisions were issued in appeals with docket numbers beginning with “04,” which indicates that they were docketed in 2004. A. at 31, 32. Both were decided in March 2005, before the Board Chairman‘s April 2005 Memorandum and the May 2005 stay imposed in the petitioners’ own appeals. Moreover, these decisions were issued prior to any Board decision in the petitioners’ appeals, which have older docket numbers (i.e., numbers beginning with “03“). Before any stay was imposed, the Board issued these two bilateral tinnitus decisions out of regular docket order. We doubt that these two decisions, cited by the peti-
Accordingly, as shown by the illustrative examples above, we conclude that administering section 7107 as written would unavoidably lead to absurd results while simultaneously depriving the appeals system of the flexibility it requires to manage its caseload. Therefore, section 7107 cannot be read literally. See Trilles, 13 Vet.App. at 321. We conclude that section 7107 must be read so as to afford the Board some flexibility in considering and deciding appeals so that efficiency and fairness in processing appeals is promoted and that, therefore, section 7107 cannot be read as a mandated, exclusive set of rules by which the Board must consider and decide cases.
As discussed above, the petitioners’ interpretation of section 7107(a) (i.e., a plain reading of the statute) would lead to absurd results inconsistent with the overall statutory scheme—the Board Chairman could never stay proceedings in an appeal even where Board review of the claim is dependent on a regulation whose validity has been called into question by the Federal Circuit (see NOVA I and NOVA II, both supra) or where the outcome would be affected favorably by a final regulation that is soon to be promulgated. See X-Citement Video, Inc., 513 U.S. at 68-69 (“Some applications of respondent‘s position would produce results that were not merely odd, but positively absurd.... We do not assume that Congress, in passing laws, intended such results.“); Timex V.I., Inc., 157 F.3d at 886 (“[S]tatutory construction that causes absurd results is to be avoided if at all possible.“). Because the petitioners’ asserted plain language interpretation of section 7107(a) would dictate unthinking reliance on docket order to manage a complex, proveteran adjudicatory process, thus leading to absurd results and interruption of the statutory scheme to treat all veterans’ claims fairly and efficiently, we cannot adopt that interpretation.
2. Congressional Intent
Having concluded that a literal reading, demanding rote adherence to strict docket order in interpreting this statute, would yield absurd results, we examine next the legislative history to discern congressional intent with respect to the processing of appeals at the Board. The parties agree that the legislative history is scant. A 1933 “Veterans Regulation” promulgated by Executive Order No. 6230 contained provisions that formed the basis for current section 7107(a). Veterans Regulation No. 2(a), Part II, para. IX, Ex. Ord. No. 6230 (July 28, 1933). The regulation provided in part:
All cases received pursuant to application for review on appeal shall be considered and decided in regular order according to their places upon the docket; however, for cause shown a case may be advanced on motion for earlier consideration and determination. Every such motion shall set forth succinctly the grounds upon which it is based. No such motion shall be granted except in cases involving interpretation of law of general application affecting other claims, or for other sufficient cause shown.
Id. President Franklin D. Roosevelt promulgated this Veterans’ Regulation pursuant to his authority under section 9, title I, of
Claims for benefits under this title shall be filed with the Veterans’ Administration under such regulations, including provisions for hearing, determination, and administrative review, as the
President may approve.... No person who is entitled to any benefits under this title shall participate in any determination or decision with respect to any claim for benefits under this title.
Notably, this original provision existed 55 years before this Court and judicial review were established. The last sentence of section 9 of the original 1933 authorizing legislation, which prohibited any VA adjudicator who was entitled to veterans’ benefits from participating in any decision with respect to any claim for veterans’ benefits, is instructive in establishing the context in which these regulations were originally promulgated. It appears that Veterans’ Regulation 2(a) was promulgated at a time when there was concern that claims be adjudicated in a fair and impartial manner, free from cronyism. The publication of Veterans Regulation No. 2(a), part II, para. IX, providing that appeals be considered and decided in regular order according to their places upon the docket and that, for cause shown, a case may be advanced on motion for earlier consideration and decision, is consistent with this concern that each veteran‘s claim not be subjected to unfair manipulation in order to obtain favorable or expedited treatment or to obtain an unfair advantage in having his or her case decided ahead of that of another claimant.
The statute has been amended three times during the Court‘s existence. In July 1994, section 7107 was amended to add provisions relating to hearings, including new section 7107(b), which stated: “The Board shall decide any appeal only after affording the appellant an opportunity for a hearing.”
In November 1994, section 7107 was again amended to permit early screening of appeals at the Board to determine whether further development of individual appeals is warranted.
Although there is little in this legislative background to help discern explicit congressional intent on the question at hand, the petitioners’ counsel at oral argument argued that Senator Rockefeller‘s statements indicated a desire to reduce delay in deciding cases. To be sure, Senator Rockefeller‘s statement included an allusion to the value of timely decisionmaking. Fairness and efficiency were also cited by Senator Rockefeller as critical to VA‘s mission.
We conclude that there is nothing in the legislative history that indicates a clear intent that section 7107 be read as an exclusive set of rules by which the Board must consider and decide cases. It is more reasonable to conclude that Congress did not intend to micromanage the Board. The limited legislative history that is available states a concern only that veterans and their families receive fair, efficient, and timely adjudication of their benefits claims and that there be fairness in adjudications among and between veterans. Nevertheless, this history is instructive in that these concerns are better met when the Board is given some flexibility in managing the appeals. In this regard, we believe that the purpose of section 7107 was to set broad guidelines for the general order of processing of appeals at the Board to ensure fairness, efficiency, and timeliness in consideration and decision of appeals. At its genesis, the statute was designed to provide fair treatment to all claimants by ensuring that cases were not advanced on the docket for other than good cause and were not advanced based on personal favoritism or other inappropriate influence. The fact that this provision had a lengthy history in Agency regulations prior to the creation of section 7107 or the establishment of judicial review supports the position that its purpose had nothing to do with limiting the Secretary‘s ability, in considering an appeal or group of appeals that involve the same legal issue and that he has determined would be affected by an interpretation of law provided in a soon-to-be-promulgated regulation or opinion of the General Counsel or this Court or the Federal Circuit, to stay the appeal(s).
As it currently exists, this statute establishes some criteria for accelerating and delaying the adjudication of claims in enumerated circumstances. In that regard, the statute maintains its focus on providing a fair process for all claimants. Thus, we hold that Congress could not have intended to totally preempt the authority of the Secretary, Chairman, and Board to manage the Board and its work to produce fair, efficient, timely, effective review of appeals.
“[I]t [is] fundamental that a section of a statute should not be read in isolation from the context of the whole act, and that in fulfilling our responsibility in interpreting legislation, ‘we must not be guided by a single sentence or member of a sentence, but [should] look to the provisions of the whole law, and to its object and policy.‘”
Moreau v. Brown, 9 Vet.App. 389, 396 (1996) (quoting Richards v. United States, 369 U.S. 1, 11 (1962) (quoting Mastro Plastics Corp. v. NLRB, 350 U.S. 270, 285 (1956))), aff‘d, 124 F.3d 228 (Fed. Cir. 1997).
3. Section 7107 Does Not Prohibit a Stay of Proceedings
As held above, Congress has not specifically addressed in section 7107 (or elsewhere in title 38) the question whether the Secretary may stay the ultimate disposition of a case at the Board pending an interpretation of law. The Secretary has promulgated an implementing regulation concerning section 7107. In pertinent part, it provides:
(a) Docketing of appeals. Applications for review on appeal are docketed in the order in which they are received. Cases returned to the Board following action pursuant to a remand assume their original places on the docket.
(b) Appeals considered in docket order. Except as otherwise provided in this Rule, appeals are considered in the order in which they are entered on the docket.
(c) Advancement on the docket. (1) Grounds for advancement. A case may be advanced on the docket on the motion of the Chairman, the Vice Chairman, a party to the case before the Board, or such party‘s representative. Such a motion may be granted only if the case involves interpretation of law of general application affecting other claims, if the appellant is seriously ill or is under severe financial hardship, or if other sufficient cause is shown. “Other sufficient cause” shall include, but is not limited to, administrative error resulting in a significant delay in docketing the case or the advanced age of the appellant....
....
(d) Consideration of appeals remanded by the United States Court of Appeals for Veterans Claims. A case remanded by the United States Court of Appeals for Veterans Claims for additional development or other appropriate action will be treated expeditiously by the Board without regard to its place on the Board‘s docket.
(e) Postponement to provide hearing. Any other provision of this Rule notwithstanding, a case may be postponed for later consideration and determination if such postponement is necessary to afford the appellant a hearing.
Generally, where a veterans benefits statute is ambiguous, “interpretive doubt is to be resolved in the veteran‘s favor.” Gardner, 513 U.S. at 118 (citing King v. St. Vincent‘s Hosp., 502 U.S. 215, 220-21 n. 9 (1991)); see Allen (Alfred) v. Brown, 7 Vet.App. 439, 448 (1995) (en banc) (applying Gardner principle to rule in appellant‘s favor on question of statutory interpretation). Even assuming that the statute in question is a veterans benefits statute rather than a statute setting general guidance for fairness, we cannot conclude that resolution of interpretative doubt in favor of the veteran would favor the petitioners’ argument over that of the Secretary. To interpret the statute in the manner suggested by the petitioners could lead to results in many situations not favorable for veterans. Based on the foregoing considerations, we hold that section 7107 is not an absolute limitation on the Secretary‘s and Board Chairman‘s authority to manage the ad-
Our colleague in her thoughtful separate opinion agrees that a literal reading of section 7107 to require that the Board decide cases in strict docket number order yields absurd results but, to avoid those absurd results, offers a different interpretation of section 7107. Rather than read section 7107 as not precluding the Secretary from determining whether it is appropriate to stay an appeal (or group of appeals) pending before the Board, our colleague offers an interpretation of section 7107 that essentially creates additional exceptions that effectively dictate to the Secretary how best to manage cases pending before the Board. On the one hand, the separate opinion states that section 7107 provides an absolute set of rules, to which Congress intended no exceptions other than those expressly stated, and narrowly reads section 7107 as prohibiting VA from staying cases pending before the Board. It states that a “broad exception” to the general docket number order rule in section 7107 in permitting stays is at odds with the plain meaning of section 7107 and is not required to avoid the absurd result reached from a literal reading of section 7107.
On the other hand, the separate opinion would broadly read section 7107 not to require the Board to decide appeals in regular docket order. For example, our colleague would hold that the Board “may issue a decision in docket number 16 before, but relatively contemporaneous with, a decision in docket number 15,” and that the Board could decide later-docketed appeals months after some earlier-docketed appeals. Post at 41-42 (emphasis in original). In addition, our colleague finds reasonable an interpretation of the terms “considered and decided” in section 7107, which provides that appeals before the Board “shall be considered and decided in regular order,” as meaning only “considered.” Under such interpretation, the Board complies with section 7107 so long as the appeals reach the Board members for a decision in docket number order but that, because of the complexity or number of issues in an appeal, the appeals need not be “decided” in docket number order. Post at 41-43. Our colleague would further interpret section 7107 so as to allow the Board not to consider cases in regular docket order where the Board needs “guidance on issues necessary to adjudicate those claims.” Post at 43-44.
An interpretation of section 7107 to allow such numerous and vast deviations from the strict docket order effectively rewrites the statute. The creation of these additional exceptions, without interpreting any particular terms in the statute, necessarily goes beyond any plain meaning of the statute. In our view, there are a number of circumstances that could warrant the Secretary‘s having to stay an appeal that is pending before the Board, and, where Congress has chosen not to do so, it is not the role of the Court to dictate to the Secretary how most effectively to administer the VA benefits system to ensure timeliness and fairness. We cannot supplant agency discretion with action by the Court that constrains the authority of the agency to act in the first instance. Cf. Norton v. S. Utah Wilderness Alliance, 542 U.S. 55, 66-67 (2004) (describing principal purpose of certain limitations under the Administrative Procedure Act—and of traditional limitations upon mandamus from which they were derived—“is to protect agencies from undue judicial interference with their lawful discretion, and to avoid judicial entanglement in abstract policy disagreements which courts lack both expertise and information to resolve;” noting
D. Evaluating Stay in Instant Cases
The Secretarial directive and the Board Chairman‘s Memorandum state that the bases for the Board‘s stay of proceedings in appeals at the Board that involve tinnitus claims affected by this Court‘s decision in Smith, supra, are “[t]o avoid burdens on the adjudication system, delays in adjudication of other claims, and unnecessary expenditure of resources through remand of final adjudication of claims based on court precedent that may ultimately be overturned on appeal.” A. at 1, 4. Regarding the length of the stay, the Board Chairman‘s Memorandum noted that it was staying action on the claims until the Secretary‘s directive is rescinded or “until the [Office of General Counsel] provides advice and instruction upon resolution of the ongoing litigation.” A. at 4. Regarding the scope of the stay, the Board Chairman stated that the following claims would be stayed: (1) All claims in which a claim for tinnitus was filed prior to June 13, 2003, and a disability rating for tinnitus of greater than 10% is sought; and (2) all claims in which a claim for service connection for tinnitus filed prior to June 10, 1999, was denied on the basis that the veterans’ tinnitus was not persistent for purposes of DC 6260. A. at 4-5. The stay also applied to tinnitus claims affected by Smith, supra, that are remanded to the Board by the Court. A. at 7. The Memorandum directed, however, that the Board process in the usual manner cases not affected by the Court‘s decision in Smith, such as those involving increased-rating claims filed after June 13, 2003, and that the Board adjudicate, as appropriate, in multiple-issue cases all issues that are not subject to the stay. A. at 5.
As previously outlined, section 7107 predates the creation of this Court and the provision of judicial review for final decisions of the Board. No decision of this Court has previously addressed the implications of the Secretary‘s authority to stay cases pending before the Board while he seeks to appeal a decision potentially affecting such cases. But, it is clear to the Court that that issue is not governed by section 7107.
While the Court in the past has alluded to the understandable desire of an agency, on occasion, to seek review of a decision of this Court and perhaps to stay its application, pending appeal, to other cases, see Tobler, 2 Vet.App. at 12, the Court has never addressed the appropriate avenue to seek such a stay. We hold now that the Secretary‘s authority to stay cases at the Board does not include the unilateral authority to stay cases at the Board (or RO) pending an appeal to the Federal Circuit of a decision by this Court. To allow such a stay would permit a unilateral action by the Secretary to stay the effect
This Court‘s decisions are “binding as of the date the decision is issued and are to be considered and, when applicable, are to be followed by VA agencies of original jurisdiction, the Board ... and the Secretary in adjudicating and resolving claims.” Tobler, 2 Vet.App. at 14. The binding nature of our decisions stems from the common law doctrine of precedent or stare decisis. See Allegheny Gen. Hosp. v. NLRB, 608 F.2d 965, 969-70 (3rd Cir. 1979). The essence of the doctrine is that “the rule of the case creates a binding legal precept.” Id. “A judicial precedent attaches a specific legal consequence to a detailed set of facts in an adjudged case or judicial decision, which is then considered as furnishing the rule for the determination of a subsequent case involving identical or similar material facts and arising in the same court or a lower court in the judicial hierarchy.... ‘[P]recedents set by the higher courts ... are conclusive on the lower courts, and leave to the latter no scope for independent judgment or discretion.‘” Id. (quoting H.C. BLACK, LAW OF JUDICIAL PRECEDENTS 10 (1912)). Although a stay by the Secretary of all cases potentially affected by this Court‘s decision is not a refusal to consider the applicability of a controlling precedent of this Court, it nevertheless constitutes an action withholding application of this Court‘s precedent. The Secretary, however, is bound by the decisions of this Court. Thus, “a disagreement by the [Secretary or Board Chairman] with a decision of this Court is simply an academic exercise that possesses no authoritative effect” and for the Board to predicate an order on its disagreement with this Court‘s interpretation of a statute or regulation is for it to operate outside the law. Id. at 970. To hold otherwise would allow the Secretary to stay the effect of one of this Court‘s decisions every time he considers the possibility of appeal of one of our decisions or actually undertakes such an appeal. The Secretary‘s otherwise permissible discretion cannot act to eviscerate this Court‘s authority and the rule of precedent.
The Court now holds that where the Secretary desires to stay the effect of any decision from this Court pending ap-
Accordingly, as to the nature of the Secretary‘s action and the Board Chairman‘s stay here, it is based on this Court‘s decision in Smith, supra, and the Secretary‘s desire to pursue an appeal of that decision in the Federal Circuit. He has unilaterally stayed the effect of this Court‘s decision pending his appeal. The stay does not affect solely the Secretary‘s own internal matters but directly impacts this Court‘s directive in Smith that certain tinnitus claims be adjudicated in a certain manner. To proceed with a stay without filing a motion for a stay at the appropriate appellate court and unilaterally continue a stay of the effect of this Court‘s decision in Smith is henceforth unlawful. See Tobler, 2 Vet.App. at 14. We stay our judgment here, however, for 30 days. Pursuant to Rule 36 of this Court‘s Rules of Practice and Procedure, judgment will enter 30 days after the date of this opinion. U.S. VET. APP. R. 36. This limited stay will afford the Secretary the opportunity to file a motion for a stay in Smith in the Federal Circuit, which is the court that currently has jurisdiction over Smith, and it is the implementation of Smith the Secretary wishes to stay. See NOVA I and NOVA II, both supra (directing Secretary to stay processing of certain claims under sections 1311(a)(2) and 1318); Levi v. Principi, 16 Vet.App. 87, 87-88 (2002) (per curiam order) (filing of notice of appeal seeking review in Federal Circuit deprives this Court of jurisdiction over an appeal). The procedural posture of Smith necessitates that any motion to stay the effect of Smith be filed in the Federal Circuit. This does not, however, change a preferred approach that a litigant file any such motion in this Court during the period that this Court has jurisdiction over the particular case. Cf. Fed. R. App. P. 8 (providing that party “must ordinarily move first in the district court” for “a stay of the judgment or order of a district court pending appeal“). The petitioners are not precluded from filing a petition in this Court after this 30-day period based on any action by the Secretary that is “unlawfully withheld or unreasonably delayed.”
III. CONCLUSION
On the basis of the foregoing analysis and upon consideration of the parties’ pleadings and argument, the Court holds that the petitioners have not established a clear right to a writ, and the petition is therefore DENIED. The Clerk will enter judgment 30 days after the date of this opinion. U.S. VET. APP. R. 36.
SCHOELEN, Judge, filed an opinion concurring in part and dissenting in part.
SCHOELEN, Judge, concurring in part and dissenting in part:
I fully agree with the Court‘s conclusion that the Secretary does not have the au-
a decision of this Court, unless or until overturned by this Court en banc, the United States Court of Appeals for the Federal Circuit, or the Supreme Court, is a decision of the Court on the date it is issued; any rulings, interpretations, or conclusions of law contained in such a decision are authoritative and binding as of the date the decision is issued and are to be considered and, when applicable, are to be followed by VA agencies of original jurisdiction, the Board of Veterans’ Appeals, and the Secretary in adjudicating and resolving claims.
Id. at 14 (second and third emphases added). I further agree with the Court‘s conclusion that, “where the Secretary desires to stay the effect of any decision from this Court pending appeal, the proper course is to file in the court that has jurisdiction over the particular case a motion to stay the effect of that case.” Ante at 38-39. I write separately, however, because I disagree with the Court‘s interpretation of
I. INTERPRETATION OF 38 U.S.C. § 7107
The petitioners argue that
Section 7107 is silent regarding whether the Secretary may stay consideration of appeals pending the issuance of an interpretation of law that would affect those appeals—such as, in this case, a Federal Circuit decision either upholding or reversing our decision in Smith. The Secretary seeks a new exception to the general docket-number-order rule in section 7107 for instances when the Secretary disagrees with a precedential opinion of this Court, for the Secretary to seek review of that decision in the Federal Circuit. This exception has no basis in statute or in the Secretary‘s own regulation interpreting that statute. See
The Court reaches the conclusion that a literal application of the statute would yield an absurd result. Ante at 30-31. I generally agree that a literal reading of section 7107 to require that the Board decide cases in strict docket number order, e.g., 1, 2, 3, 4, ..., etc., would yield absurd results. However, a general rule of statutory construction provides that statutes
Turning to the intent of Congress in drafting section 7107, it is Congress‘s silence regarding whether appeals pending before the Board may be stayed that speaks volumes regarding Congress‘s intent. The legal maxim “expressio unius est exclusio alterius” means “[t]he expression of one thing is the exclusion of another.” BLACK‘S LAW DICTIONARY 1635 (7th ed.1999); see SUTHERLAND § 47.23. Because Congress (and the Secretary by regulation) provided specific, enumerated exceptions to the general docket-number-order rule in section 7107, I would conclude that Congress did not intend to provide any other exceptions that it did not expressly create. See, e.g., Cook v. Principi, 318 F.3d 1334, 1339 (Fed. Cir. 2002) (en banc) (concluding that “Congress did not intend to allow exceptions to the rule of finality in addition to [those] that it expressly created” (citing, e.g., Leatherman v. Tarrant County Narcotics Intelligence & Coordination Unit, 507 U.S. 163, 168 (1993))).
Another applicable rule of statutory interpretation is that “[i]n attempting to apply a statute to a situation that was not intended by its drafters, the interpreting court should not rely on literalisms, technical constructions, or so-called formal rules of interpretation, but rather should rely on the breadth of objectives of the legislation and the common sense of the situation.” SUTHERLAND § 46.02; see also Gardner, 1 Vet.App. at 587 (stating that the “‘absurd result’ exception to the plain meaning rule is, however, narrow and limited to situations ‘where it is quite impossible that Congress could have intended the result ... and where the alleged absurdity is so clear as to be obvious to most anyone.‘” (quoting Pub. Citizen, 491 U.S. at 470-71 (Kennedy, J., concurring))). Common sense in this case would dictate that Congress did not intend that the Board must issue its decisions in strict docket number order. Rather, the clear and unambiguous language in section 7107 states that the Board cannot expedite or
A broad exception to the general docket-number-order rule in section 7107(a)(1) for staying appeals affected by a case pending in the Federal Circuit is at odds with the plain meaning of section 7107. Indeed, no veterans benefits statute or regulation supports the notion that claims can be stayed for some indefinite period rather than adjudicated as promptly as possible. However, the absurd result reached by reading section 7107 literally can be avoided merely by holding that the Board is not required to issue decisions in strict docket number order, but, for example, may issue a decision in docket number 16 before, but relatively contemporaneous with, a decision in docket number 15.1 Hence, the broad exception to section 7107 that the Secretary suggests is in no way required to avoid the absurd result reached from a literal reading of the statute.
II. INTERPRETATION OF 38 C.F.R. § 20.900
The Secretary has issued a regulation,
Furthermore, although the Court holds that § 20.900 does not provide any more insight into the interpretation of section 7107, see ante at 35, I would respectfully disagree. At oral argument, the parties disputed the meaning of the phrase “considered and decided” in section 7107(a)(1). To the extent that there may be ambiguity in that phrase, and to the extent a literal reading of section 7107 yields an absurd result, I would hold that § 20.900 reasonably interprets the phrase “considered and decided” in section 7107(a)(1) in a manner that avoids an absurd result. See Gallegos v. Principi, 283 F.3d 1309, 1312 (Fed. Cir. 2002) (holding that to the extent the “unambiguously expressed intent of Congress” is not clear, VA may issue regulations “based on a permissible construction of that statute‘” (citing Chevron, 467 U.S. at 843)). The key difference between section 7107 and § 20.900 is that § 20.900(b) states that “appeals are considered in the order in which they are entered on the docket.” Section 7107 provides that appeals before the Board “shall be considered and decided in regular order.” I would hold that any potential absurd result reached by a literal interpretation of section 7107 is avoided by the Secretary‘s interpretation of the phrase “considered and decided” as “considered.”2 Compare
III. CASES INVOLVING STAYS
The Secretary cites two prior instances where Board stays have been approved. First, in Lane v. West, 11 Vet.App. 506 (1998) (per curiam order), the Court considered whether to issue a writ of mandamus compelling the Board to issue a decision on the petitioner‘s CUE claim. However, the circumstances in Lane can be distinguished from those of the instant case. The CUE motions stayed by the Board in Lane were stayed because there was no guidance implementing the 1997 CUE Act. See id. at 508. That is, there were no standards by which the Board could adjudicate a CUE claim until the Secretary could issue final rules implementing the 1997 CUE Act. In the petitioners’ cases, the issues are ripe for a Board decision. The Board has guidance on how to proceed. Our holding in Smith, supra, is presently binding on the Board and controls the interpretation of law involved in the petitioners’ claims. See Tobler, 2 Vet.App. at 14.
The Secretary also relies on the Federal Circuit‘s decisions in NOVA I and NOVA II. In NOVA I, the Federal Circuit directed VA to stay the processing of claims under
I respectfully find the Court‘s determination that
IV. CONCLUSION
In light of the foregoing, I would avoid the absurd result reached by a literal reading of section 7107 without reading the statute so broadly as to provide the Secretary the general authority to stay appeals pending before the Board. I would read section 7107 to give the Board the flexibility to decide later-docketed appeals before earlier-docketed appeals in the ordinary course of business so long as the decisions are issued relatively contemporaneously. Thus, I would conclude that section 7107 prevents the Secretary or the Board Chairman from staying a broad class of cases indefinitely because the plain, obvious intent of section 7107, and the Secretary‘s implementing regulation, § 20.900, is to require that the Board generally decide appeals in the order in which they are docketed.
Furthermore, I read very narrowly the Court‘s conclusion that the Secretary‘s management authority over the Board to include “a decision on whether a particular appeal pending at the Board must be stayed pending an interpretation of law—an interpretation to be provided by the Secretary in a regulation or a General Counsel Opinion.” Ante at 27. I believe that this authority to stay is limited solely to instances where an interpretation of law is absolutely necessary to adjudicate a claim (see NOVA II, NOVA I, and Lane, all supra), and without such an interpretation, the Board clearly cannot decide the appeal. In these instances, section 7107 should not be read to prevent the Board from staying such appeals for the Secretary or the General Counsel to provide interpretive guidance expeditiously. However, in spite of my different interpretation of section 7107 and § 20.900, I join the holding of the Court that the proper course of action for the Secretary in this case is to file a motion in the Federal Circuit for a stay of the appeals affected by Smith, supra.
