Secretary of Labor v. George's Branch Coal, Incorporated (ALJ decision, July 27, 1989)

Plain-English summary

George's Branch Coal requested a hearing on a proposed civil penalty and later discussed a possible settlement with the Secretary's solicitor. The company did not return the proposed joint settlement motion, did not respond to a show-cause order, and then sent a $441.33 check without an agreement reducing the original penalty. The order entered default and required immediate payment of $882.67, explaining that the operator could not unilaterally decide to pay only part of the assessed amount.

Decision snapshot

• Cited standard(s): None stated in this order.
• Outcome: Default was entered and George's Branch Coal was ordered to pay $882.67 immediately.
• Key point: A respondent cannot resolve a contested penalty by sending an unagreed partial payment after failing to comply with a show-cause order.

Full text (FMSHRC public release)

FEDERAL MINE SAFETY AND HEALTH REVIEW COMMISSION 1730 K STREET NW, 6TH FLOOR
WASHINGTON, D.C. 20006

July 27, 1989

SECRETARY OF LABOR,                :           CIVIL PENALTY PROCEEDING

MINE SAFETY AND HEALTH :
ADMINISTRATION (MSHA), : Docket No. KENT 89-12
Petitioner : A. C. No. 15-16216-03502
v. : No. 1 Mine
:
GEORGE'S BRANCH COAL,
:
INCORPORATED,
:
Respondent :

ORDER OF DEFAULT

On October 11, 1988, you signed a notice of contest (blue card) telling the Mine Safety and Health Administration (MSHA) that you wanted a hearing on the penalty which MSHA proposed.
The Secretary of Labor has certified that the Proposal in this case was mailed November 14, 1988.

Subsequent to filing the Proposal, the Solicitor in a letter dated February 1, 1989, stated that based on a January 31, 1989, telephone conversation with you she was forwarding a draft of a Joint Motion to Approve Settlement formalizing your negotiated settlement. You were to review this document and then return a signed copy to the Secretary. On April 13, 1989, the Solicitor orally advised she had not received the signed copy or heard from you since the January 31, telephone conversation.

Thereafter, on May 12, 1989, you were ordered to answer or show cause for your failure to do so. You were told that if you did not comply you would be held in default.

The Solicitor has now filed a motion for default. In her motion the Solicitor states that on July 12, 1989, MSHA advised that they had received a check from you in the amount of $441.33.
However, the Solicitor states that this represents payment of only one-third of the originally assessed amount and that no settlement was entered into reducing the original penalty. You cannot resolve this matter by deciding on your own initiative what amount you wish to pay without agreement by the Solicitor and approval by the Commission. Finally, you have not complied with the May 12 show cause order. Consequently, the Solicitor and this Commission have been forced to spend an inordinate amount of time on this matter.

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Accordingly, judgment by default shall enter in favor of the Secretary. As a result, you are hereby ORDERED TO PAY the sum of $882.67 immediately.

[illegible]
Distribution:
Paul Merlin
Chief Administrative Law Judge

Ann T. Knauff, Esq., Office of the Solicitor, U.S. Department of
Labor, 2002 Richard Jones Road, Suite B-201, Nashville, TN 37215
(Certified Mail)
Mr. David S. Strong, Owner, General Delivery, Whick, KY 41390
(Certified Mail)

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