Baxter v. Sullivan

• Decision Date: 23 January 1991
• Docket Number: No. 89-55782,89-55782
• Parties: , Unempl.Ins.Rep. CCH 15865A Lavonne BAXTER, Plaintiff-Appellant, v. Louis SULLIVAN, M.D., Secretary of Health and Human Services, * Defendant-Appellee.
• Court: U.S. Court of Appeals — Ninth Circuit

Page 1391

923 F.2d 1391

32 Soc.Sec.Rep.Ser. 248, Unempl.Ins.Rep. CCH 15865A

Lavonne BAXTER, Plaintiff-Appellant, v. Louis SULLIVAN, M.D., Secretary of Health and Human

Services, ^* Defendant-Appellee.

No. 89-55782.

United States Court of Appeals, Ninth Circuit.

Argued and Submitted Oct. 4, 1990.

Decided Jan. 23, 1991.

James A. Skidmore, II, Joshue Tree, Cal., for plaintiff-appellant.

Dennis J. Mulshine, Asst. Regional Counsel, Dept. of Health and Human Services, San Francisco, Cal., for defendant-appellee.

Appeal from the United States District Court for the Central District of California.

Before PREGERSON, REINHARDT and HALL, Circuit Judges.

PREGERSON, Circuit Judge:

The Secretary of Health and Human Services denied Lavonne Baxter's application for disability insurance benefits. The district court affirmed the decision of the Secretary, and Baxter filed this timely appeal. We have jurisdiction under 28 U.S.C. Sec. 1291 (1982). We reverse.

BACKGROUND

Except for an unsuccessful three-month attempt to resume working in 1985-86, Lavonne Baxter has been unemployed since January 1982. In June 1986, she filed for benefits under Title II and Title XVI of the Social Security Act. She initially asserted that she had been unable to work since February, 1986, due to bronchitis, emphysema and asthma. She successfully established that she was disabled as of June 1, 1986. Although she therefore met the medical qualifications for receiving Supplemental Security Income payments under the provisions of Title XVI, her husband's income rendered her ineligible for the benefits of that need-based program.

Eligibility for disability insurance benefits under Title II, however, does not depend on income. But Baxter's initial application for Title II benefits foundered when it became clear that she was insured only until June 30, 1982. Baxter then amended her claim and asserted that she became disabled after a car accident in January 1982.

After a hearing in which Baxter was not represented by counsel, an Administrative Law Judge (ALJ) determined that in 1982, Baxter was severely impaired but nevertheless retained the ability to perform her past work as a floral designer. The ALJ therefore concluded that Baxter did not become After the Appeals Council denied review, the ALJ's ruling became the final decision of the Secretary. Baxter filed a challenge in district court, where the case was referred to a magistrate. After cross-motions for summary judgment, the magistrate recommended that the district court grant summary judgment for the Secretary. Baxter filed no objections to the magistrate's report and recommendation, and the district court adopted it and granted summary judgment for the Secretary.

disabled during the time she was still insured.

To prevail at the administrative hearing, Baxter had to prove that she had been disabled more than four years earlier. Baxter explained that her breathing problems had already forced her to miss five weeks of work just before the automobile accident in January 1982. In addition, Baxter contended that whiplash from the automobile accident aggravated a preexisting problem with degenerative disc disease. She argued that the injury and its accompanying pain, combined with her breathing problems, prevented her from returning to work.

No doctors testified personally at the hearing, but Baxter produced medical records and the deposition testimony of Dr. Willard Christiansen, who treated Baxter between 1982 and 1984. Dr. Christiansen's deposition had been taken in preparation for the trial of a suit arising from the 1982 auto accident. Baxter also produced some documentary evidence of other medical treatment she received both before the accident and afterwards. These records showed that in 1979, she had discogenic disease of the lumbrosacral spine and spondylosis, an abnormal growing together of two or more vertebrae. Physical therapy, exercises, and tranquilizers failed to help.

After the car accident, Baxter spent a week in the hospital in traction. X-rays showed that the space between the C-5 and C-6 vertebrae was half its normal width. She used a transcutaneous nerve stimulator for about four months. She discontinued her outpatient therapy for pain after she could no longer afford to pay for it.

Baxter appears to have relied primarily on the deposition of Dr. Christiansen, who first saw her in October 1982. At that time, Baxter complained of pain in the neck, pain in the left shoulder when moving, and a chronic ache. She also complained that she had difficulty gripping, dropped objects, and that her left arm tired easily. Dr. Christiansen noted that Baxter suffered pain when she extended her left arm, when she looked upwards, and when she hyperextended her neck. He noted that her ability to raise her neck was restricted by about 30-35 percent, and her ability to rotate her neck to the side was restricted by about 25 percent. Dr. Christiansen reported that when he first saw Baxter, she was unable to resume her past work as a floral arranger because of her inability to work at or above shoulder level, her pain when hyperextending her neck, and her easily-fatigued left arm. After taking x-rays, Dr. Christiansen noted that Baxter had degenerative cervical disk disease, with significant narrowing of the space between the C-5 and C-6 disks and additional narrowing between the C-6 and C-7 disks. He concluded that Baxter suffered from acute cervical strain superimposed on cervical degenerative disc disease, with a persistent radiculopathy of the left arm. He attributed the persistent radiculopathy to a severe flexion-extension injury of the neck.

On subsequent visits, the doctor noted that Baxter continued to suffer radicular pain. In January, 1983, he noted that Baxter suffered from persistent pain paresthesia and headaches and gained no relief from therapy. In February 1983, an E.M.G. revealed weakness in Baxter's muscles, and Dr. Christiansen also noted a prolonged distal motor latency in the median nerve. Although the doctor concluded in May 1983 that no treatment would help, Baxter returned in December 1983 and complained of chronic pain. Dr. Christiansen believed that the auto accident was the cause of that pain.

In his deposition, Dr. Christiansen stated that as of May 1984, the last time he saw Baxter, she still could not return to her Baxter submitted additional radiological evidence that showed significant narrowing of the space between the C-5 and C-6 vertebrae. She also submitted the treatment notes of Dr. David Ardel, which reveal that Baxter regularly sought treatment and medication for pain between early 1981 and June 1982.

past work as a floral designer. He said that her work required her to keep her arms up while she arranged flowers, and Baxter was no longer able to hold her arms up for any length of time.

Baxter visited Dr. Sheffel in December 1982. Sheffel's notes from this visit state that Baxter suffered from headaches only "periodically," had no numbness or tingling in her arms or shoulders, and enjoyed the full range of motion in both her neck and shoulders. While the shoulders were still tender, sensation and reflexes were normal and there was no atrophy of the shoulder girdle. X-rays taken by Sheffel revealed early degenerative disc disease but disclosed good mobility on the lateral flexion and extension views.

Baxter was the only witness at the administrative hearing. She submitted her medical records and briefly answered questions posed by the ALJ but was never asked to describe how her injuries and her pain interfered with her ability to work in 1982. It appears that both Baxter and the ALJ intended that the documentary records would provide the basis for decision.

STANDARD OF REVIEW

We review de novo the district court's grant of summary judgment in favor of the Secretary. Hammock v. Bowen, 879 F.2d 498, 501 (9th Cir.1989). To survive our review, the findings of the Secretary must be supported by substantial evidence and the denial of benefits must be otherwise free of legal error. Bates v. Sullivan, 894 F.2d 1059, 1061 (9th Cir.1990). Substantial evidence means "more than a mere scintilla," Richardson v. Perales, 402 U.S. 389, 401, 91 S.Ct. 1420, 1427, 28 L.Ed.2d 842 (1971), but "less than a preponderance." Bates, 894 F.2d at 1061. "It means such relevant evidence as a reasonable mind might accept as adequate to support a conclusion." Perales, 402 U.S. at 401, 91 S.Ct. at 1427. We cannot affirm the Secretary by simply isolating a certain amount of supporting evidence. We must consider the administrative record as a whole, weighing evidence that undermines as well as evidence that supports the Secretary's decision. See Gonzalez v. Sullivan, 914 F.2d 1197, 1200 (9th Cir.1990).

DISCUSSION

The Secretary first argues that Baxter waived her right to appeal because she filed no objections to the magistrate's report and recommendation. We disagree.

In the Federal Magistrates Act, Congress provided that district court judges "shall make a de novo determination of those portions of the [magistrate's] report or specified proposed findings or recommendations to which objection is made." 28 U.S.C.A. Sec. 636(b)(1) (West Supp.1990). The rule in some circuits is that a party who fails to object to the magistrate's findings waives the right to contest them on appeal. Thomas v. Arn, 474 U.S. 140, 145-46 & n. 4 106 S.Ct. 466, 469-70 & n. 4, 88 L.Ed.2d 435 (1985) (First, Second, Fourth, Fifth and Sixth Circuits). In Arn, the Supreme Court held that courts may validly impose such a rule as a legitimate exercise of their supervisory power. 474 U.S. at 147, 106 S.Ct. at 471. The Ninth Circuit, however, has noted that the language of the Magistrates Act does not require a rule of waiver. Britt v. Simi Valley Unified School Dist., 708 F.2d 452, 454 (9th Cir.1983). In Britt and subsequent cases, we have held that parties who do not object to a magistrate's report...