The Discussion question for \"The legal and regulatory environment of business\"

Question

The Discussion question for "The legal and regulatory environment of business" 16 edition, page 499

Business Discussion

3. You are chief executive officer of a toy manufacturing firm. your firm has been inspected by officials at OSHA, the federal Occupational Safety and Health Administration, for alleged violations of workplace safety regulations. The evidence presented to the agency was confusing and conflicting. You feel strongly that the company should not be penalized. Nevertheless your firm has been ordered to pay a substantial fine, and an administrative law judge ordered you to make some very expensive modifications in its manufacturing processes.

Should you continue to seek review of your case before the agency's officials?

Should you appeal by filing a lawsuit to reverse the agency's decision?

If you are successful in court, under what circumstances can you recover your attorney's fees?

Explanation / Answer

According to the situations, in the given case law i will strongly prefer to file a lawsuit to reverse the decision of the agency as,the firm strongly belives. May be the evidence submitted was confusing but it might not be penalised for unfollowing of the saftey rules.

therefore company have to file a lawsuit against to reverse the agency decision.

If firm got successful in court, the court will award attorney fees. this will deal under the standard number of1987.110

Any party desiring to seek review, including judicial review, of a decision of the ALJ, or a respondent alleging that the complaint was frivolous or brought in bad faith who seeks an award of attorney fees, must file a written petition for review with the ARB. A petition must be filed within 14 days of the date of the decision of the ALJ.

If a timely petition for review is filed pursuant to this section, the decision of the ALJ will become the final order of the Secretary unless the ARB, within 30 days of the filing of the petition, issues an order notifying the parties that the case has been accepted for review. If a case is accepted for review, the decision of the ALJ will be inoperative unless and until the ARB issues an order adopting the decision, except that any order of reinstatement will be effective while review is conducted by the ARB, unless the ARB grants a motion by the respondent to stay that order based on exceptional circumstances. The ARB will specify the terms under which any briefs are to be filed. The ARB will review the factual determinations of the ALJ under the substantial evidence standard. If no timely petition for review is filed, or the ARB denies review, the decision of the ALJ will become the final order of the Secretary. If no timely petition for review is filed, the resulting final order is not subject to judicial review.

1987.110(c)

The final decision of the ARB will be issued within 120 days of the conclusion of the hearing, which will be deemed to be 14 days after the date of the decision of the ALJ, unless a motion for reconsideration has been filed with the ALJ in the interim. In such case the conclusion of the hearing is the date the motion for reconsideration is denied or 14 days after a new decision is issued. The ARB's final decision will be served upon all parties and the Chief Administrative Law Judge by mail. The final decision will also be served on the Assistant Secretary and on the Associate Solicitor, Division of Fair Labor Standards, U.S. Department of Labor, even if the Assistant Secretary is not a party.

1987.110(d)

If the ARB concludes that the respondent has violated the law, the ARB will issue a final order providing relief to the complainant. The final order will require, where appropriate: affirmative action to abate the violation; reinstatement of the complainant to his or her former position, together with the compensation (including back pay and interest), terms, conditions, and privileges of the complainant's employment; and payment of compensatory damages, including, at the request of the complainant, the aggregate amount of all costs and expenses (including attorney and expert witness fees) reasonably incurred. Interest on back pay will be calculated using the interest rate applicable to underpayment of taxes under 26 U.S.C. 6621 and will be compounded daily. The order will also require the respondent to submit appropriate documentation to the Social Security Administration (SSA) allocating any back pay award to the appropriate calendar quarters.

1987.110(e)

If the ARB determines that the respondent has not violated the law, an order will be issued denying the complaint. If, upon the request of the respondent, the ARB determines that a complaint was frivolous or was brought in bad faith, the ARB may award to the respondent a reasonable attorney fee, not exceeding $1,000.

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