Alvin R. Rose, Complainant,v.Anthony J. Principi, Secretary, Department of Veterans Affairs, Agency.

Equal Employment Opportunity CommissionSep 8, 2003
01A24905_r (E.E.O.C. Sep. 8, 2003)

01A24905_r

09-08-2003

Alvin R. Rose, Complainant, v. Anthony J. Principi, Secretary, Department of Veterans Affairs, Agency.


Alvin R. Rose v. Department of Veterans Affairs

01A24905

September 8, 2003

.

Alvin R. Rose,

Complainant,

v.

Anthony J. Principi,

Secretary,

Department of Veterans Affairs,

Agency.

Appeal No. 01A24905

Agency No. 98-136

DECISION

On July 17, 2002, complainant filed an appeal with this Commission,

claiming that the agency was in breach of a March 30, 1999 settlement

agreement.

Paragraph 2a of the settlement agreement provided that the agency was

�[t]o disburse monies in the amount of $55,000 to complainant for any

and all damages he has affirmed that he has incurred that led up to the

filing of this complaint.�

On appeal, complainant alleged that the agency was in breach of the

settlement agreement when the agency reported on a Form 1099 submitted to

the Internal Revenue Service (IRS) that complainant had received $55,000

from the agency. Complainant also asserted that the $55,000 was payment

for �incurred damages,� that the payment was intended to be tax free,

and that the agency was to pay all taxes on the $55,000.

In its February 12, 2003 decision, the agency determined that complainant

failed to provide the agency with timely notice of the alleged breach.

The agency noted that complainant received IRS Form 1099 in the year

2000, but waited until July 2002 to raise his allegation of breach.

The agency also stated that even if the notice of alleged breach was

timely, the agency did not breach the settlement agreement, noting, among

other things, that there was no provision in the settlement agreement

regarding taxes, that it was the agency's intention that complainant

be responsible for all tax liability, and that the agency had indicated

that the $55,000 was payment for compensatory damages.

EEOC Regulation 29 C.F.R. � 1614.504(a) provides that if a complainant

believes that the agency has failed to comply with the terms of a

settlement agreement, the complainant shall notify the EEO Director

in writing of the alleged noncompliance within 30 days of the alleged

noncompliance. EEOC Regulation 29 C.F.R. � 1614.504(b) further provides

that the agency shall resolve the matter and respond to the complainant

in writing. If the agency has not responded to the complainant or if

the complainant is not satisfied with the agency's attempt to resolve the

matter, the complainant may appeal to the Commission for a determination

as to whether the agency has complied with the terms of the settlement

agreement or final decision. The complainant may file such an appeal

within 35 days after he has served the agency with the allegations of

noncompliance but must file an appeal within 30 days of his receipt of

the agency's determination.

The record contains a copy of a check dated April 23, 1999, which was

issued to complainant by the agency in the amount of $55,000. The record

also contains a Form 1099 for Miscellaneous Income for the tax year

1999 which the agency issued to complainant. The $55,000 is identified

thereon under item 7 as nonemployee compensation. The Form 1099 also

contains instructions to the recipient indicating that the amount shown

may or may not be taxable but that if the amount was taxable, it had to

be reported on the individual's tax return, schedule C of Form 1040.

The agency issued a decision finding no breach of the agreement.

Complainant first alleged breach in July 2002. We find, however,

that complainant knew or should have known of the alleged breach once

he received the 1999 Form 1099. Complainant was therefore required to

make his allegation of breach within 30 days of the date he received the

Form 1099. Accordingly, when complainant alleged breach in July 2002,

his allegation was untimely. Even if complainant did timely raise his

breach claim, we find that complainant has failed to show that the agency

breached the agreement.

Accordingly, the agency's decision finding no breach of the settlement

agreement is AFFIRMED.

STATEMENT OF RIGHTS - ON APPEAL

RECONSIDERATION (M0701)

The Commission may, in its discretion, reconsider the decision in this

case if the complainant or the agency submits a written request containing

arguments or evidence which tend to establish that:

1. The appellate decision involved a clearly erroneous interpretation

of material fact or law; or

2. The appellate decision will have a substantial impact on the policies,

practices, or operations of the agency.

Requests to reconsider, with supporting statement or brief, must be filed

with the Office of Federal Operations (OFO) within thirty (30) calendar

days of receipt of this decision or within twenty (20) calendar days of

receipt of another party's timely request for reconsideration. See 29

C.F.R. � 1614.405; Equal Employment Opportunity Management Directive for

29 C.F.R. Part 1614 (EEO MD-110), 9-18 (November 9, 1999). All requests

and arguments must be submitted to the Director, Office of Federal

Operations, Equal Employment Opportunity Commission, P.O. Box 19848,

Washington, D.C. 20036. In the absence of a legible postmark, the

request to reconsider shall be deemed timely filed if it is received by

mail within five days of the expiration of the applicable filing period.

See 29 C.F.R. � 1614.604. The request or opposition must also include

proof of service on the other party.

Failure to file within the time period will result in dismissal of your

request for reconsideration as untimely, unless extenuating circumstances

prevented the timely filing of the request. Any supporting documentation

must be submitted with your request for reconsideration. The Commission

will consider requests for reconsideration filed after the deadline only

in very limited circumstances. See 29 C.F.R. � 1614.604(c).

COMPLAINANT'S RIGHT TO FILE A CIVIL ACTION (S0900)

You have the right to file a civil action in an appropriate United States

District Court within ninety (90) calendar days from the date that you

receive this decision. If you file a civil action, you must name as

the defendant in the complaint the person who is the official agency head

or department head, identifying that person by his or her full name and

official title. Failure to do so may result in the dismissal of your

case in court. "Agency" or "department" means the national organization,

and not the local office, facility or department in which you work. If you

file a request to reconsider and also file a civil action, filing a civil

action will terminate the administrative processing of your complaint.

RIGHT TO REQUEST COUNSEL (Z1199)

If you decide to file a civil action, and if you do not have or cannot

afford the services of an attorney, you may request that the Court appoint

an attorney to represent you and that the Court permit you to file the

action without payment of fees, costs, or other security. See Title VII

of the Civil Rights Act of 1964, as amended, 42 U.S.C. � 2000e et seq.;

the Rehabilitation Act of 1973, as amended, 29 U.S.C. �� 791, 794(c).

The grant or denial of the request is within the sole discretion of

the Court. Filing a request for an attorney does not extend your time

in which

to file a civil action. Both the request and the civil action must be

filed within the time limits as stated in the paragraph above ("Right

to File A Civil Action").

FOR THE COMMISSION:

______________________________

Carlton M. Hadden, Director

Office of Federal Operations

September 8, 2003

__________________

Date