Contents    Prev    Next    Last



            Title Alden Leeds, Inc. v. Occupational Safety and Health Review Commission

 

            Date 2002

            By Alito

            Subject Misc

                

 Contents

 

 

Page 1





61 of 238 DOCUMENTS


ALDEN LEEDS, INC., Petitioner v. OCCUPATIONAL SAFETY AND HEALTH REVIEW COMMISSION, Respondent


No. 00-2764


UNITED STATES COURT OF APPEALS FOR THE THIRD CIRCUIT



298 F.3d 256; 2002 U.S. App. LEXIS 15347; 2002 OSHD (CCH) P32,600; 19 OSHC (BNA)

1976


January 17, 2002, Argued

July 31, 2002, Filed


PRIOR   HISTORY:              **1        ON           PETITION FOR   REVIEW   OF   A   FINAL   ORDER   OF   THE OCCUPATIONAL SAFETY AND HEALTH REVIEW COMMISSION.       OSHRC                    Docket                     No.                           95-1143. Commissioners Rogers, Visscher, and Weisberg.


DISPOSITION: Reversed.


CASE SUMMARY:



PROCEDURAL  POSTURE:  Petitioner,   a  chemical company, was cited for 13 instances in which pool chem- icals had been improperly stored in its facility, and agreed to abate the violations. The company sought review of the Occupational  Safety  and  Health  Review  Commission's order which upheld a notification of failure to abate vi- olations (FTA) under Section 10(b) of the Occupational Safety and Health Act of 1970, 29 U.S.C.S. § 659(b).


OVERVIEW: The court decided only whether the FTA notification was proper, not whether the company com- mitted any lesser violation; whether the infractions cited in 1995 were properly penalized as a failure to abate the violations cited in 1993,  where none of the specific in- stances  of  improper  storage  listed  in  the  1993  citation was cited in the 1995 notification,  but all were for im- proper oxidizer storage. The Commission arbitrarily and capriciously held the 1993 citation both was based on the company's general storage practices and provided clear notice. The 1993 citation did not give adequate notice the storage practices were the violations it was obligated to abate. The citation did not state that the practices were the violations, nor that, to abate the violations, the practices had to be kept in compliance with all applicable industry storage requirements. The citation used "violation" to re- fer to each infraction, rather than to non-compliance with storage requirements collectively. The only fair reading of the 1993 citation and settlement agreement was that


the  company  was  charged  with,  and  had  to  abate,  the conditions specifically identified in the citation.


OUTCOME: The petition for review was granted, and the decision of the Commission was reversed.


LexisNexis(R) Headnotes


Administrative Law > Judicial Review > Standards of

Review > Abuse of Discretion

Labor  &  Employment  Law  >  Occupational  Safety  & Health > Administrative Proceedings

HN1   A  court  reviews  the  Occupational  Safety  And Health Review Commission's findings of fact as conclu- sive if supported by substantial evidence on the record, considered as a whole. 29 U.S.C.S. § 660(a). Adjudicatory conclusions are reviewed under a standard of arbitrary, capricious,  an  abuse  of  discretion,  or  otherwise  not  in accordance with the law.  5 U.S.C.S. § 706(2)(A).


Labor  &  Employment  Law  >  Occupational  Safety  & Health > Civil Liability

HN2  The Occupational Safety and Health Act of 1970 created a tiered system of civil monetary penalties so that an  employer  can  be  penalized  according  to  the  gravity of  its  violation.   29  U.S.C.S.  §  666(a)-(d).  In  order  of increasing severity, the tiers are as follows:  non-serious violation, serious violation, willful or repeated violation, and failure-to--correct violation. A failure-to--correct vi- olation--also  referred  to  as  a  failure-to--abate  violation and  the  tier  at  issue  here--differs  from  a  repeated  vio- lation. The former applies if the violation continuously existed between the initial and follow-up inspections; the latter applies if the violation was corrected after the initial inspection but then recurred.


Labor  &  Employment  Law  >  Occupational  Safety  & Health > Compliance & Defenses

HN3  Under the Occupational Safety and Health Act of


298 F.3d 256, *; 2002 U.S. App. LEXIS 15347, **1;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 2


1970, the Occupational Safety and Health Administration

(OSHA) is authorized to issue a citation to an employer if upon inspection or investigation OSHA believes that an  employer has  violated  any  of  the  standards  or  rules promulgated under the Act.  29 U.S.C.S. § 658(a). Each citation shall fix a reasonable time for the abatement of the violation. If an employer has failed to correct a vi- olation for which a citation  has been  issued within the period permitted for its correction, then OSHA may serve the employer with notification of its failure to abate.  29

U.S.C.S. § 659(b).


Labor  &  Employment  Law  >  Occupational  Safety  & Health > Administrative Proceedings

HN4  Consistent with the constitutional mandates of due process, a defendant in an Occupational Safety and Health Administration (OSHA) enforcement action must receive adequate notice. The Occupational Safety and Health Act of 1970 protects this right by requiring that a citation de- scribe with particularity the nature of the violation.   29

U.S.C.S. § 658(a). It has been held that, although the de- scription of the violation charged need not be elaborate or technical or drafted in a particular form, the description must fairly characterize the violative condition so that the citation is adequate both to inform the employer of what must be changed and to allow the Commission, in a subse- quent failure-to--correct action, to determine whether the condition was changed. The citation must be drafted with sufficient  particularity  to  inform  the  employer  of  what he  did  wrong,  i.e.,  to  apprise  reasonably  the  employer of the issues in controversy. Before penalizing a failure to correct a cited violation, the Commission must satisfy itself  that  the  citation  defines  the  uncorrected  violation with particularity. OSHA may issue FTA notification if the  condition  or  hazard  found  upon  reinspection  is  the identical one for which respondent was originally cited and the condition existed continuously through the period ending with re-inspection.


Labor  &  Employment  Law  >  Occupational  Safety  & Health > Administrative Proceedings

HN5    In   general,   Occupational   Safety   and   Health Administration citations should be construed liberally and amended easily, because a narrow construction of the lan- guage of a citation would unduly cripple enforcement of the Occupational Safety and Health Act of 1970.


COUNSEL:  ERIC  S.  ARONSON  (Argued),  STEVEN R. ROWLAND, Sills Cummis Radin Tischman Epstein

& Gross, P.A., Newark, NJ, Counsel for Petitioner. HOWARD   M.   RADZELY,   JOSEPH   WOODWARD, ANN ROSENTHAL, RONALD J. GOTTLIEB (Argued), Office   of   the   Solicitor,   U.S.   Department   of   Labor, Washington, D.C., Counsel for Respondent.


JUDGES: Before:  ALITO and ROTH, Circuit Judges, and SCHWARZER, n1 District Judge.





n1 The Honorable William W Schwarzer,  Senior District   Judge   for   the   Northern   District   of California, sitting by designation.




OPINIONBY: ALITO


OPINION:   *257

OPINION OF THE COURT ALITO, Circuit Judge:


Alden  Leeds,   Inc.  ("Alden  Leeds")  petitions  for review  of  an  order  of  the  Occupational  Safety  and Health Review Commission ("Commission"), which up- held  a  notification  of  failure  to  abate  violations  ("FTA notification")  issued  pursuant  to  Section  10(b)  of  the Occupational  Safety  and  Health  Act  of  1970  ("Act"),

29 U.S.C. § 659(b). In 1993, Alden Leeds was cited for

13  instances  in  which  pool  chemicals  had  been   **2  improperly  stored  in  its  facility,  and  Alden  Leeds  en- tered into a settlement agreement under which it agreed to  abate  the  violations  for  which  it  had  been  cited.  In

1995, the Occupational Safety and Health Administration

("OSHA"), exercising power delegated by the Secretary of the Department of Labor, issued the "FTA" notification, which listed 33 different instances of improper storage of pool chemicals.


Alden Leeds contends that the 13 specific instances of improper storage cited in 1993 (i.e., the specific piles of chemicals described in that citation) constitute the "vi- olations" that had to be abated. Because those particular piles no longer contravened storage requirements at the time of the reinspection in 1994, Alden Leeds argues that the  FTA  notification  was  unfounded.  The  Secretary,  in contrast,  argues that improper storage practices in gen- eral constituted the "violations" and that the persistence of these practices at the Alden Leeds facility justified the FTA notification. The Secretary interprets the decision of the Commission as resting on this broad reading of the earlier  citation  and  settlement.  We  hold  that  this  broad reading of the citation and settlement is arbitrary **3  and capricious, and we thus grant the petition for review and reverse the Commission's decision.

I. A.


The  facts  relevant  to  our  decision  are  undisputed.


298 F.3d 256, *257; 2002 U.S. App. LEXIS 15347, **3;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 3


Alden Leeds is in the business of distributing chemicals for swimming pools. Its facility in South Kearny,  New Jersey, includes three warehouses in which chemicals are stored  and  staged  for  shipping.  Most  of  the  chemicals are not hazardous, but some of them are "oxidizers" that promote burning or even spontaneous combustion under certain conditions. The chemicals are stored in containers that are stacked in piles. Inventory is constantly moved around the warehouse and turns over three or four times annually.   *258    OSHA  has  not  promulgated its  own standards  concerning  the  storage  of  oxidizers.  Instead, OSHA  relies  on  three  sets  of  privately  issued  guide- lines:  a standard issued by the National Fire Protection Association ("NFPA"), a uniform building code for state and local governments referred to as BOCA, and a chemi- cal industry guidebook known as the Bluebook. Although these guidelines differ in details not relevant here,  they all contain certain types of requirements. Among other things,  they  all  limit  the  maximum  tonnage  in  a   **4  single building, the maximum tonnage in a single pile of chemical containers, the maximum height of a pile, the minimum  aisle  width  between  piles,  and  the  minimum distance between oxidizers and incompatible chemicals. n2


n2  Incompatible  chemicals  are  those  that,  if mixed  with  oxidizers,  can  produce  a  dangerous exothermic reaction or explosion.



In the 1990's, OSHA conducted three inspections of the Alden Leeds warehouses. All three were conducted by  the  same  compliance  officer,  and  all  three  resulted in citations for similar, storage-related infractions. This case focuses on the second and third inspections, which occurred  in  1993  and  1994,  respectively.  The  1994  in- spection (also referred to as the "reinspection") resulted in the 1995 FTA notification at issue here.


The 1993 inspection followed a fire at the Alden Leeds facility. The OSHA inspector issued a citation under the Act's General Duty Clause, 29 U.S.C. § 654(a). n3 After referring to this statutory provision,  the citation stated:

**5


The  employer  did  not  furnish  employment and a place of employment which were free from recognized hazards that were causing or likely to cause death or serious physical harm to the employee in that: employees were ex- posed to the hazard of fire from the improper storage of highly reactive oxidizing agents:


a)  55  Jacobus  Avenue --  Warehouse  2  and

3B; Class two oxidizers were not stored in


accordance with the National Fire Protection Association  (NFPA)  document  43A-1990, Table  A-2  (Storage  of  Class  2  Oxidizers) in that the maximum tonnage requirements were exceeded approximately 120 tons were stored in warehouse B. The maximum ton- nage allowed for sprinklered segregated stor- age  is  100  tons  of  class  two  oxidizers. Violation observed on or about 8/25/93.


The citation then went on to list 12 other instances of  improper  storage.  These  instances  related  to  what the Secretary characterizes as "seven categorical require- ments," viz., the maximum tonnage limits for warehouses and piles, the maximum height and width limits for piles, and the minimum separation distance between compat- ible  oxidizers,  between  incompatible  oxidizers,  or  be- tween  oxidizers  and  walls.  The  citation  offered   **6  compliance  with  NFPA  requirement  43A  as  a  feasible method of abatement. Alden Leeds contested the citation. Under the settlement reached by the parties in July 1994, Alden  Leeds  agreed  to  abate  "all  violations  alleged  in the Citation and complaint" by October 15, 1994. ALJ-4, Exhibit D.


n3 The Act's General Duty Clause imposes on every covered employer the obligation to provide a working environment "free from recognized haz- ards that are causing or are likely to cause death or serious physical harm to his employees." 29 U.S.C.

§ 654(a). Here, the recognized hazard was fire ini- tiated or promoted by oxidizers.



The   Alden   Leeds   facility   was   reinspected   in December  1994.  Although  the  13  specific  instances  of improper  storage  cited  in  1993  had  all  been  corrected, this time OSHA identified 33 different instances of im- proper storage. These instances concerned   *259   six of the seven categories of requirements involved in the 1993 citation. OSHA issued a FTA notification in June 1995 and assessed a penalty **7   of $107,100. n4


n4 A failure to abate citation carries a penalty of up to $7,000 for each day the violation remains unabated. See 29 U.S.C. § 666(d). OSHA typically caps  the  number  of  days  at  30.  Here,  OSHA  re- duced the potential maximum fine ($ 210,000) by

15 because "Alden Leeds had abated some of the specific conditions found in 1993" and again by 40 because it is a small employer, yielding a total of

$107,100. App. at 45.



B.


298 F.3d 256, *259; 2002 U.S. App. LEXIS 15347, **7;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 4


Alden Leeds challenged the FTA notification before an administrative law judge. The ALJ noted that the par- ties took sharply conflicting positions as to the nature of the 1993 violations. App. 41. The ALJ observed that it was the Secretary's position that the 1993 citation concerned Alden Leeds's "storage practices, not specific conditions which violated NFPA 43A (1990)." Id. at 40. By contrast, the ALJ wrote, Alden Leeds's defense "focused on the fact that the specific conditions in its warehouses" had been changed by the time of the reinspection in 1994.   **8  Id. Interpreting the 1993 citation, the ALJ stated that it

"does not specifically refer to storage practices" and that the listed violations "clearly refer to specific conditions, not practices." Id. at 42. The ALJ described the question before him as whether charging Alden Leeds "with spe- cific  conditions"  that  exposed  employees  to  the  hazard of fire from improper storage of the chemicals "clearly informed" Alden Leeds that its storage procedures were deemed hazardous by the Secretary. Id. at 42-43. The ALJ stated that the question was "close," but he concluded that Alden Leeds had been clearly informed that its practices, not just the specific instances of improper storage,  had been cited. Id. The ALJ observed that reading the cita- tion as limited to the specific instances mentioned would

"blink  the  reality  of  the  hazard"  in  warehouses  where inventory is constantly changing and piles are regularly moved. Id. at 43.


Alden  Leeds  appealed  to  the  Commission,  but  a divided  panel  affirmed,   with  each  Commissioner  is- suing  a  separate  opinion.  Alden  Leeds,   Inc.,   2000

OSAHRC  LEXIS  60,  19  OSHC  (BNA)  1007  (No.  95-

1143,  2000);  App. at 12-33. The lead opinion,  written by Commissioner **9   Rogers, concluded that the 1993 citation gave Alden Leeds adequate notice that the hazard to be abated was not the 13 specific instances of improper storage listed in the 1993 citation or even the seven "cate- gorical requirements" to which the Secretary now refers, but "the fire hazard caused by its storage practices." App. at 17. See also id. at 15-16 (agreeing with the ALJ that

"Alden  Leeds'  storage  practices  constituted  the  hazard that the Secretary sought to have remedied.") Concurring, Commissioner Weisberg stated, among other things, that although it was undisputed that the 13 specific instances of improper storage listed in the 1993 citation no longer existed at the time of the reinspection,  those violations had  not  been  abated.  See  id.  at  22-23.  Commissioner Weisberg observed that the record strongly suggested that the company had not taken corrective action with respect to those specific conditions but had simply moved chem- icals around in the ordinary course of its business. See id. at 23. Thus, Commissioner Weisberg seemed to take the position that abatement requires not only the elimination of  the  hazardous  condition  but  also  a  specific  intent  to


eliminate the hazard. n5 **10


n5   See   App.   at   30   (Dissenting   Opinion)

(Commissioner      Weisberg               "would    have        the Commission  disallow  abatements  that  have  oc- curred  through  'changing  conditions'  within  the workplace.").


*260


Commissioner Visscher dissented and concluded that the majority had "misconstrued the 1993 citation." App. at 29. He stated that "the only fair reading of the 1993 ci- tation and settlement agreement is that Alden Leeds was charged  with,  and  therefore  required  to  abate,  thirteen conditions specifically identified in the citation." Id . at

30. He continued that even if it were possible to read the citation more broadly, Alden Leeds had not been clearly informed  of  any  broader  abatement  obligation.  See  id.

"The 1993 citation," he wrote, "did not explicitly inform Alden Leeds that it was being cited for its overall chemical storage practices on an on-going basis, and therefore it cannot be enforced against the company in that manner." Id. at 31.


Alden  Leeds  filed  a  timely  petition  for  review  un- der 29 U.S.C. § 660(a)   **11    . HN1  We review the Commission's findings of fact as conclusive if supported by  substantial  evidence  on  the  record,  considered  as  a whole. See 29 U.S.C. § 660(a). Adjudicatory conclusions are reviewed under a standard of "arbitrary,  capricious, an  abuse  of  discretion,  or  otherwise  not  in  accordance with  the  law."  5  U.S.C.  §  706(2)(A);  Atlantic  &  Gulf Stevedores,  Inc. v. OSHRC, 534 F.2d 541,  547 (3d Cir.

1976). II. A.


HN2  The Act created a tiered system of civil mon- etary penalties so that an employer can be penalized ac- cording to the gravity of its violation. See 29 U.S.C. §

666(a)-(d). In order of increasing severity,  the tiers are as follows: non-serious violation, serious violation, will- ful or repeated violation, and failure-to--correct violation. See id. A failure-to--correct violation --  also referred to as a failure-to--abate violation and the tier at issue here -- differs from a "repeated" violation. The former applies if the violation continuously existed between the initial and follow-up inspections;  the latter applies if the vio- lation was corrected after the initial inspection but then recurred.   **12   See Braswell Motor Freight Lines, Inc.,

1977 OSAHRC LEXIS 761, 5 OSHC (BNA) 1469, 1471

(No. 9480, 1977). In this proceeding, we consider only whether Alden Leeds's FTA notification was proper, not


298 F.3d 256, *260; 2002 U.S. App. LEXIS 15347, **12;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 5


whether it committed any lesser violation. n6


n6   On   at   least   one   prior   occasion,         the Commission explicitly declined to convert a FTA notification into a lesser violation for several rea- sons: inadequate notice, possibly different eviden- tiary standards,  and the late stage of proceedings that  reach  the  Commission.  See  Braswell  Motor Freight Lines, Inc., 1977 OSAHRC LEXIS 761, 5

OSHC (BNA) 1469, 1471 (No. 9480, 1977).



The specific issue before us is whether the 33 infrac- tions cited in 1995 may properly be penalized as a "failure to abate" the violations cited in 1993, where none of the

13  specific  instances  of  improper  storage  listed  in  the

1993  citation  was  cited  in  the  1995  notification  but  all of the infractions listed on both occasions related to the improper storage of oxidizers. As was **13    the case before the ALJ and the Commission, the the parties differ sharply about the nature of the violations cited in 1993. The Secretary defends the reasoning of the majority of the Commission, namely, that in 1993 Alden Leeds was cited for --  and was given clear notice that it had been cited for -- its general storage practices, not just the particular instances of improper storage listed in the citation or even particular types of improper storage, such as having piles that exceeded the maximum height. As the Secretary puts it, "To correct the violation cited in 1993 , Alden   *261  Leeds  had  to  'free'  its  workplace  of  the  'hazard  of  fire from  the  improper  storage'  of  oxidizers."  Respondent's Br. at 27. Alden Leeds, on the other hand, argues that the

"violations" cited in 1993 were the 13 individual piles of chemicals and that once the offending characteristics of those piles were remedied (e.g., by reducing piles cited as too heavy or too high), the 1993 violations had been abated. We hold that the majority of the Commission acted arbitrarily and capriciously in concluding that the 1993 citation both was based on Alden Leeds' general storage practices and provided clear notice to Alden **14  Leeds of that basis.


B.


HN3  Under the Act, OSHA is authorized to issue a  citation  to  an  employer if  "upon  inspection  or  inves- tigation OSHA believes that an employer has violated" any of the standards or rules promulgated under the Act.

29  U.S.C.  §  658(a).  "Each  citation  shall  .  .  .  fix  a  rea- sonable time for the abatement of the violation." Id. If

"an employer has failed to correct a violation for which a  citation  has  been  issued  within  the  period  permitted for its correction," then OSHA may serve the employer with notification of its failure to abate. 29 U.S.C. § 659(b)

(emphasis added).


HN4  Consistent with the constitutional mandates of due process, a defendant in an OSHA enforcement action must receive adequate notice. The Act protects this right by requiring that a citation "describe with particularity the nature of the violation . . . ." 29 U.S.C. § 658(a) (empha- sis added). Other courts of appeals have interpreted this particularity requirement. It has been held that, although the description of the violation charged need not be "elab- orate or technical or drafted in a particular form , " the description must "fairly **15   characterize the violative condition so that the citation is adequate both to inform the employer of what must be changed and to allow the Commission, in a subsequent failure-to--correct action, to determine whether the condition was changed." Marshall v. B.W. Harrison Lumber Co., 569 F.2d 1303, 1308 (5th Cir. 1978). The citation "must be drafted with sufficient particularity to inform the employer of what he did wrong, i.e., to apprise reasonably the employer of the issues in controversy." Brock v. Dow Chemical, 801 F.2d 926, 930

(7th Cir. 1986). Despite the liberality generally afforded to administrative pleadings, n7 "before penalizing a failure to correct a cited violation, the Commission must satisfy itself that the citation defines the 'uncorrected' violation with particularity." National Realty & Construction Co. v. OSHRC, 160 U.S. App. D.C. 133, 489 F.2d 1257, 1264 n.31 (D.C. Cir. 1973). The Commission's own precedents confirm  that  OSHA  may  issue  FTA  notification  if  "the condition or hazard found upon reinspection is the iden- tical one for which respondent was originally cited" and the condition existed continuously through the period end- ing **16   with re-inspection. n8 York Metal Finishing

*262   Co., 7 OSAHRC 845, 1 OSHC (BNA) 1655, 1656

(No. 245, 1974); Braswell, 5 OSHC (BNA) 1469 at 1470. n7  We  acknowledge  that,   HN5   in  general, OSHA citations should be construed liberally and amended easily, because "a narrow construction of the language of a citation would unduly cripple en- forcement of the Act." Dow Chemical, 801 F.2d at

930 (remanding because unclear whether citation was sufficiently particular to give employer fair no- tice);  see also Babcock & Wilcox Co. v. OSHRC,

622  F.2d  1160,  1164  (3d  Cir.  1980);  National Realty  &  Construction  Co.  v.  OSHRC,  160  U.S. App.  D.C.  133,  489  F.2d  1257,  1264  (D.C.  Cir.

1973).


n8 For a FTA notification to be proper, the vi- olation  must  have  existed  continuously  from  the initial citation through the re-inspection. Because we hold that the 1993 citation cannot be considered adequate  notice  for  a  FTA  notification  of  inade- quate general storage practices, we need not reach the issue of continuity.


298 F.3d 256, *262; 2002 U.S. App. LEXIS 15347, **16;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 6




**17


1. The 1993 citation. In the present case, we think that the 1993 citation did not give Alden Leeds adequate no- tice that its general "storage practices" (App. 15) were the

"violations" that it was obligated to abate. Nowhere did the 1993 citation state that Alden Leeds's general "storage practices" constituted the violations, nor did the citation state that, to abate the violations, all of Alden Leeds' stor- age practices had to be kept in compliance with all appli- cable storage requirements of the NFPA (not to mention BOCA and the Bluebook).


We  find  somewhat  instructive  the  manner  in  which OSHA uses the term "violation" in the text of the 1993 ci- tation. After identifying the hazard as the risk of fire from

"improper storage" in the introductory paragraph, the cita- tion proceeded to describe the thirteen infractions caused by piles exceeding certain measures. The description of each infraction (or small cluster of infractions) concluded:

"Violation observed on or about date ." App. at 25 et seq.

(emphasis added). In other words, OSHA's citation used the term "violation" to refer to the described infractions individually,  rather  than  to  non-compliance  with  stor- age requirements collectively.   **18   Nevertheless, the Commission upheld the FTA notification on the grounds that "Alden Leeds' storage practices constituted the haz- ard that the Secretary sought to have remedied" and that

"the citation made it abundantly clear to Alden Leeds . . . that it was required to free its workplace of the fire hazard caused by its storage practices." App. 15-16.


We cannot agree with these grounds upon which the Commission based its decision. Instead,  we agree with the dissenting Commissioner that "the only fair reading of the 1993 citation and settlement agreement is that Alden Leeds was charged with, and therefore required to abate, thirteen conditions specifically identified in the citation." App. 30.


2. Actual knowledge. The Secretary argues that the Commission found as a fact that "Alden Leeds had actual knowledge  that  its  abatement  obligations  required  it  to adopt safe storage practices (App. 16)." Respondent's Br. at 43. We disagree. The Commission wrote in pertinent part as follows:


The  1993  citation  clearly  stated  what  haz- ard was to be abated, and Alden Leeds has never  contended  that  it  did  not  know  how to  comply  with  the  safety  requirements  of the NFPA. Indeed, as noted above,   **19  in June 1991, Alden Leeds' president wrote to OSHA that the company's storage of ox- idizers was in conformance with the NFPA


requirements.  This  letter  shows  that  Alden Leeds  was  well  aware,  even  in the  context of the 1990 citation, that its storage practices were at issue and that Alden Leeds knew how to abate the violation.


App. 16 (emphasis added).


We  see  nothing  in  this  passage  that  may  be  inter- preted as a factual finding that Alden Leeds knew that its abatement obligation following the settlement of the 1993 citation had the breadth claimed by the Secretary. First, the Commission's finding that Alden Leeds " knew  how to  comply  with  the  safety  requirements  of  the  NFPA" is  obviously  very  different  from  a  finding  that  it  knew that its abatement obligation required it to keep all of its storage practices (or even all of its storage   *263   prac- tices regarding oxidizers) in compliance with the NFPA standards.  Second,  it  is  difficult  for  us  to  see  how  the Commission's statements about a letter written by Alden Leeds's president in 1991 can be interpreted as findings re- garding Alden Leeds's actual knowledge about the scope of violations for which it was cited two years later. We thus **20   do not agree that the Commission made the factual finding to which the Secretary refers. Moreover, if the Commission's opinion is interpreted as containing such a finding, we hold that the finding is not supported by  substantial  evidence.  Certainly  no  such  evidence  is mentioned  by the Commission  on the cited page of its opinion, and the Secretary has not called such evidence to our attention.


C.


In order to prevent any misunderstanding of the scope of our holding, we wish to make its limits clear. We do not hold that the 1993 citation could not have cited Alden Leeds for categorical storage practices. We appreciate the force of the Secretary's argument that the purposes of the Act would be thwarted if an employer like Alden Leeds could escape an FTA violation (as opposed to a repeated violation) simply by,  for example,  moving the location of a pile of chemicals that was previously cited. Such an employer could simply roll barrels from a pile previously cited as too high to a second pile (not previously cited), building this second pile above the height limit. In this manner, the same pile could never be cited in two consec- utive inspections, thus ever eluding an FTA notification.

**21   We have no doubt that 29 U.S.C. § 666(d) was not intended to permit such evasive maneuvers.


We appreciate the possibility,  which the Secretary's brief  highlights,  that  Alden  Leeds  may  have  persisted during the relevant period in certain types or categories of improper storage practices. The Secretary's brief notes that the 13 infractions cited in 1993 can be grouped into


298 F.3d 256, *263; 2002 U.S. App. LEXIS 15347, **21;

2002 OSHD (CCH) P32,600; 19 OSHC (BNA) 1976

Page 7


seven distinct categories,  see supra,  and that the 33 in- fractions identified during the reinspection fall into six of the same seven categories. The 1993 citation,  however, did not give Alden Leeds adequate notice that it would be subject to an FTA notification if it did not correct these categories of improper storage practices,  as opposed to the specific instances of improper storage that the citation listed. Our holding is based on the specific wording of the


1993 citation and the broad reading of that wording that the Commission adopted. That interpretation, we hold, is arbitrary and capricious and cannot be sustained.


III.


For the foregoing reasons, the petition for review is granted, and the decision of the Commission is reversed.



Contents    Prev    Next    Last


Seaside Software Inc. DBA askSam Systems, P.O. Box 1428, Perry FL 32348
Telephone: 800-800-1997 / 850-584-6590   •   Email: info@askSam.com   •   Support: http://www.askSam.com/forums
© Copyright 1985-2011   •   Privacy Statement