ML20235T460

Response to M Gregory Notice of Withdrawal of Intervention.* Response Contests Az Roisman 870914 Notice Commenting on Ugliness of Tactics Used to Suppress Dissent in Licensing Proceedings.Settlement Agreement & Certificate of Svc Encl

ML20235T460
Person / Time
Site:	Comanche Peak
Issue date:	10/08/1987
From:	Downey B BISHOP, COOK, PURCELL & REYNOLDS, BROWN & ROOT, INC. (SUBS. OF HALLIBURTON CO.)
To:	Atomic Safety and Licensing Board Panel
Shared Package
ML20235T396	List: ML20235T394 ML20235T460
References
CPA, NUDOCS 8710130093
Download: ML20235T460 (16)

Text

i UNITED STATES NUCLEAR REGULATORY COMMISSTON Before the Atomic Safety and Licensing Board In the Matter of )

)

TEXAS UTILITIES ELECTRIC COMPANY, )

et al., ) Dkt. No. 50-445-CPA

)

(Comanche Peak Steam Electic Station )

Unit 1) )

RESPONSE TO MEDDIE GREGORY'S NOTICE OF WITHDRAWAL OF INTERVENTION On September 14, 1967, Anthony Z. Roisman, counsel for Meddie Gregory in this proceeding, filed a notice of withdrawal of intervention. The notice states that Ms. Gregory died on August 21. The notice, however, goes on to make numerous misstatements of fact and to conclude that the handling of the i

settlement of Ms. Gregory's Section 210 complaint by Brown & i Root, Inc. (" Brown & Root"), and Texas Utilities Electric Co.

(" Texas Utilities") revealed the " ugliness (of] the tactics . . . 1 (they] were willing to use in order to suppress dissent and prevent the truth from being told in these licensing proceed-ings." This memorandum recites the facts that led to the settle-ment between Ms. Gregory and Brown & Root, and in doing so, it exposes Mr. Roisman's assertions for what they are: an unfounded, ad hominem attack on Brown & Root, Texas Utilities, and their counsel.

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Meddie Gregory's employment at Comanche Peak was terminated in July, 1984, as part of a reduction-in-force in the Quality Assurance / Quality Control group. At the time of her termination, Ms. Gregory was extended the opportunity, available to all Brown

& Root employees, to convert her medical insurance from a group plan to a private plan, but she declined to do so. Accordingly, Ms. Gregory's insurance coverage lapsed on August 31, 1984.

On August 10, 1984, Ms. Gregory filed a charge against Brown

& Root with the Department of Labor pursuant to Section 210 of the Energy Reorganization Act of 1974, as amended. The charge alleged that Ms. Gregory had been selected for termination because she had engaged in protected activity as defined by the statute. Ms. Gregory raised similar tilegations concerning the reduction-in-force in the Comanche Peah licensing proceeding, In re: Texas Utilities Company, et al., Docket Nos. 50-445-2 and

)

50-446-2. 1 i

l Ms. Gregory's Section 210 case was tried before the Honorable Kenneth A. Jennings, Administrative Law Judge, on November 13, 1984, but the case was never decided because of the parties' l

settlement agreement. On January 24, 1985 (after trial, but i i

before a decision by Judge Jennings), Billie Pirner Garde, coun-  !

sel for Ms. Gregory, telephoned Bruce L. Downey, counsel for Brown & Root, and invited Brown & Root to settle the case. In that conversation Ms. Garde informed Mr. Downey that Ms. Gregory wanted to settle because she had been diagnosed as having cancer and that she needed health insurance to pay for her treatment.

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In the conversation of January 24, or in other conversations held during the last week of January and the first week of February, Ms. Garde indicated any settlement required at least two ele-mentr: (1) an agreement by Brown & Root to pay Ms. Gregory's medical bills, and (2) a cash amount sufficient to pay certain overdue financial obligations Ms. Gregory had incurred. Brown &

Root was. agreeable to a settlement along the lines suggested by Ms. Garde, so long as Ms. Gregory executed a general release and there was no direct payment of damages or costs to Ms. Gregory or any payment of attorney's fees to her counsel.

Once the parties made their positions clear, Ms. Garde and Mr. Downey agreed to terms that met the bottom-line objectives of their respective clients. The principal terms of the agreement

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provided that:

(1) Ms. Gregory would be reinstated to her position retroactive to July 13, the date of her termination, which reinstatement would also retroactively reinstate Ms. Gregory's I entitlement to participate in Brown & Root's I group health insurance pray am; (2) Ms. Gregory would e.r(4- e a request for leave-without-pay to be etrective retroactive i to July 13, 1984, and submit a letter of )

resignation to be effective July 13, 1985; (3) Brown & Root would grant the request for leave-without-pay and accept the letter of resignation; (4) Brown & Root would co-sign a note which would permit Ms. Gregory to borrow the money she needed to meet her overdue financial obli-gations; and (5) Ms. Gregory would execute a standard general release discharging Brown & Root, Texas Utilities, and all other firms and 1

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persons connected with the comanche Peak project from any claims Ms. Gregory might bring as a result of her employment at the site.

(A copy of the settlement agreement is appended to this memoran-dum as Attachment 1.) The c.ettlement agreement did not require, and Brown & Root did not request, that Ms. Gregory recant the allegations she made to the Licensing Board or the Department of Labor as a condition of settlement. Indeed, the settlement agreement specifically stated that.it should not be construed as an admission by either party on the issues raised in the case.1/

The facts recited above refute several misstatements of fact (and the inferences based on those misstatements) contained in the notice of withdrawal. First, the settlement discussions between Ms. Gregory and Brown & Root were initiated by Ms.

Gregory's counsel. Second, the settlement agreement accommodated Ms. Gregory's immediate needs as described by her counsel in the settlement discussions. These facts clearly dispel the conten-tion that " Brown and Root and Texas Utilities gave . . . [Ms.

Gregory] a choice: she could either pursue her legal rights or retain insurance coverage that was essential for her treatment."

Third, the settlement agreement was limited to Ms. Gregory's Section 210 claim and any other claims arising from her employ-ment at Comanche Peak, and it did not alter Ms. Gregory's ability to press her allegations before the Licensing Board. Thus, the 1/ Ms. Garde, counsel to Ms. Gregory in her Section 210 case, Eas reviewed the facts recited on pages 2 and 3 and the first eleven lines of page 4, and agrees that they are accurate.

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settlement did nothing "to suppress dissent and prevent the truth from being told in these licensing proceedings." It is particu-larly important to note in connection with this allegation that Ms. Gregory actually intervened in the construction permit licensing proceedings after the settlement was executed.

And fourth, nothing in the settlement agreement states or implies that Brown & Root intended to terminate, or had the right to terminate, Ms. Gregocy's reinstated insurance coverage if she filed another action ageinst the Company. It is true that any such action would have been subject to dismissal based on the affirmative defense of accord and satisfaction, but once Ms.

Gregory'sf i nsurance coverage was reinstated, her right to contin-ued coverage was determined in accordance with her rights under the Brown & Root medical plan.

It is unfortunate that the misstatements in the notice of withdrawal compelled the filing of this response. But given the inaccuracy and stridency of the notice, and its gratuitous

l service on the members of the Commission, and members of the Appeal Board, Brown & Root was compelled to respond.

Respectfully submitted,

/ /

4/A(lUboxW B f tt'c e L . Donney

/

BISHOP, COOK, PURCELL & REYNOLDS 1200 Seventeenth Str et, N.W.

Washington, D.C. 'O 36 (202) 857-9800 Counsel to Brown & Root in Gregory

v. Brown & Root, No. 85-ERA-1.

This 8# day of October 1987.

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k l' ATTACHMENT 1 UNITED STATES OF AMERICA BEFORE THE U.S. DEPARTMENT-OF LABOR l

MEDDIE GREGORY, )

)

Complainant, )

)

v. ) Case No. 85-ERA-1

)

BROWN & ROOT, INC., )

)

Respondent. )

)

SETTLEMENT AGREEMENT WHEREAS Ms. Gregory's employment with Brown & Root, Inc.

(" Brown & Root") was terminated on July 13, 1984, as part of a general reduction of force; WHEREAS Ms. Gregory has instituted the above-captioned action against Brown & Root before the United States Department of Labor alleging that her layoff violated Section 210 of the Energy Reorganization Act of 1974, 42 U.S.C. $ 5851 ("section 210"); j WHEREAS, the dispute between Ms. Gregory and Brown & Root has been amicably resolved and Ms. Gregory now desires to withdraw her complaint against Brown & Root, without admission of liability by Brown & Root, Texas Utilities Company and the other owners of Comanche Peak Steam Electric Station (" Comanche Peak"), their attorneys, related companies, successors, assigns, officers, directors, managers, agents, and employees; NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties agree as follows:

I 1) This settlement' agreement does not amount to, and shall not be construed,as, an admission of liability or wrong-doing on the part of Brown & Root, Texas Utilities Company or the other owners of Comanche Peak, or any of the representatives of the managements of Brown & Root or Texas Utilities and the other owners of Comanche Peak. Moreover, this settlement agreement does not amount to, and shall not be construed as an admission by Ms. Gregory concerning the merits of this action.

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2) Ms. Gregory shall execute a general release (attached hereto as Exhibit A) of Brown & Root, Texas Utilities Company, and the other owners of Comanche Peak, and all representatives of the management of Brown & Root, Texas Utilities and the other owners of Comanche Peak from any and all liability arising out of Ms. Gregory's employ-ment with Brown & Root, the termination of her employ-ment on July 13, 1984, the leave of absence she has been granted under the terms of this agreement, or her resig-

' nation from her position with Brown & Roota

3) Upon execution of the General Release, the parties shall file a joint motion with the presiding Administrative Law Judge in this proceeding, seeting an order dismiss-ing this action with prejudice.

4) Upon entry of an order by the Administrative Law Judge dismissing this action with prejudice, Brown & Root shall reinstate Ms. Gregory to her former position,

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_. 3-retroactive to July 14, 1984, and place her on leave of 3

absence without pay retroactive to that date. The leave of absence without pay will extend from July 14, 1984, through July 13, 1985. Ms. Gregory has tendered her resignation from' Brown & Root (attached hereto as Exhib- i it B); and her resignation has been accepted effective July 13,. 1985. While on leave of absence, Ms. Gregory will be eligible to participate in Brown & Root's group henith insurance program according to the terms and con-ditions applicable to other employees in her job cate-gory. As noon as she is reinstated and placed on leave of absence, Ms. Gregory's group health insurance cover-age wi11 be reactivated, retroactive to July 14, 1984.

While on leave of absence, Ms. Gregory may also apply for group life insurance under the plan applicable to employees in her job category. If she applies for such insurance, it will be available to her according to the terms and conditions applicable to similarly situated

'empl oyee s , and coverage will be extended, limited, or rejected, based on the criteria applied to persons in her' job category and her physical condition who are on leave of absence. Apart from the insurance benefits l

described above, Ms. Gregory will not receive any I

employee benefits while she is on leave of absence.

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5) . Effective July 13, 1985, Ms. Gregory will be eligible to i convert her group medical. insurance to private insurance [.

according to the terms and conditions applicable to >

other. employees in her job category who leave the employ of Brown & Root. If Ms. Gregory applies for and is extended coverage under Brown & Root's group life insur-ance plan, such coverage will be extended or terminated upon.her resignation according to the terms and condi-tions applicable to persons in her job category and her physical condition who leave the company following a 'j leave of absence. Apart from the insurance benefits /

t described above, Ms. Gregory will not receive any sever- 6 i

ance benefits at the time of her resignation. n

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Upon entry of an order by the Administrative Law Judge

• 6) dismissing this action with prejudice, Brown & Root will 'h assist Ms. Gregory in obtaining a signature loan, at l market interest, in the amount of $1,140.00 (one thou- [

sand one hundred forty dollars). The loan, which will be obtained through the Brown & Root credit union, will i be payable in full three years from the date on which the note is executed. During the loan period, Ms.

Gregory will make regular interest payments on the dates required by, and at the interest rate specified in, the loan instrument. Ms. Gregory, however, will not be required to repay any of the loan principal until the date on which the loan becomes due.

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tive Law Judge v

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7)

Upon entry of an order by the Admin stra Brown & Root "\

i i., i dismissing this action with prejudice,forgiveness of the f i y

t shall use its best efforts to obta n the Texas and New <

electric bill t:. tat Ms. Gregory owes to

! , is reflected in the Mexico Power Company as that debt dated February 3, i.

Company's statement to Ms. Gregory

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1985. / f h shafl be binding upon and inure to t e W

8) This Agreement i e igents, rapre-benefit of the p4":les, their respect v successors, and assigns, and as sentatives, attorneys , administrators, executors, to Ms. Gregory, her heirs,

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and personal : representatives.

nt between the The foregoing provides the entire agreeme be modified except by written parties and this,hgreement c:nnnot i s hereto.

stipulation signed by each of the part e ,

d% CY t

t  ! H(b Billia Pirn'er Garde for*

Meddie Gregory t <

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. ,p Dowrfey for l'

%#dce L.

Brown & Root, Inc.

day $$ February, 1985.'

This .

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7) Upon entry of an order by the Administrative Law Judge dismissing this action with prejudice, Brown & Root shall use its best efforts to obtain forgiveness of the electric bill that Ms. Gregory owes to the Texas and New Mexico Power Company as that debt is reflected in the Company's statement to Ms. Gregory dated February 3, 1985.

8) This Agreement shall be binding upon and inure to the benefit of the parties, their respective agents, repre-sentatives, attorneys, successors, and assigns, and as to Ms. Gregory, her heirs, executors, administrators, and personal representatives.

The foregoing provides the entire agreement between the parties and this Agreement cannot be modified except by written stipulation signed by each of the parties hereto.

Y; \W Y1 w__

Billie Pirn'er Garde for Meddie Gregory 9

S#tice L. Dowrfey for I Brown & Root, Inc.

This day of February, 1985.

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UNITED STATES OF AMERICA BEFORE THE U.S. DEPARTMENT OF LABOR MEDDIE GREGORY, )

) 4 Complainant, ) I

)  !

v. ) Case No. 85-ERA-1

)

BROWN & RdOT, INC., ) l

)

Respondent. )

)

GENERAL RELEASE In connection with the Settlement Agreement executed by myself and a representative of Brown & Root, Inc. (" Brown & Root")

on February 21, 1985, and in consideration for the promises made therein, I, Meddie Gregory, do hereby release and forever discharge Brown & Root, Texas Utilities Company and the other owners of the Comanche Peak Steam Electric Station (" Comanche' Peak"), their attorneys, related companies, successors, assigns, officers, directors, managers, agents, and employees from any and, all liability arising out of my employment with Brown & Root, the termination of my employment on July 13, 1984, the leave of absence I have been granted, my resignation from my position with Brown & Root, or any other claims or choses in action I might have, whether known or unknown, that accrued or were inchoate as of the date hereof.

'a j, I understand that this GENERAL RELEASE resolves any claims raised in the complaint I filed with the Department of Labor on August 10, 1984, together with any and all claims that I might have asserted in any suit, cause of action, charge of discrimina-tion, or claims against Brown & Root, Texas Utilities Company and the other owners of Comanche Peak, and all representatives of the management of those companies.

.I further agree that this GENERAL RELEASE shall be- binding on the undersigned, my agents, attorneys, representatives, executors, personal representatives, heirs, successors and assigns.

I hereby acknowledge that I have read this GENERAL RELEASE, discussed it with my attorney, and that I fully understand the terms, nature and effect of the GENERAL RELEASE, and have volun-tarily and knowingly executed the GENERAL' RELEASE.

This 26th day of February 1985.

h W Meddie Greg6ry i

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.+ .:n sockerto U%RC UNITED STATES NUCLEAR REGULATORY COMMISSION Before the Atomic Safety and Licensing Boa 5F Q((-g p3 qg In the Matter of ) Ik TEXAS UTILITIES ELECTRIC COMPANY, )

et al., ) Dkt. No. 50-445-CPA

)

(Comanche Peak Steam Electic Station )

Unit 1) )

CERTIFICATE OF SERVICE-I hereby cetify that I have served the attached (1) motion of Brown & Root, Inc., for leave to file a response to.Meddie Gregory's notice of withdrawal, (2) Brown & Root's proposed response, and (3) a proposed order which, if entered, would grant Brown & Root's motion, upon the following persons at the indicated addresses. Service was made by first class mail,

. postage prepaid.

Lando W. Zech, Jr., Chairman U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Thomas M. Roberts, Commissioner U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Frederick M. Bernthal, Commissioner U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Kenneth M. Carr, Commissioner U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Alan S. Rosenthal, Chairman Atomic Safety & Licensing Appeal Board U.S. Nuclear Regulatory Commission Washington, D.C. 20555

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Howard A. Wilber Administrative Judge Atomic Safety & Licensing Apperl Board U.S. Nuclear: Regulatory Commission Washington, D.C. 20555 Thomas S. Moore Administrative Judge Atomic Safety & Licensing Appeal Board U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Peter B. Bloch-Administrative Judge U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Dr. Kenneth A. McCollom 1107 W. Knapp Stillwater, OK 74075 Dr. Walter H.-Jordan 881 West Outer Drive Oak Ridge, TN 37830 Elizabeth B. Johnson Oak Ridge National Laboratory P.O. Box, Building 3500 Oak Ridge, TN 37830 Docketing and Service Section Office of the Secretary U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Geary S. Mizuno, Esq.

Office of Executive Legal Director U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Thomas G. Dignan, Jr.

Ropes & Gray 225 Franklin Street Boston, MA 02110 Juanita Ellis, President Citizens Association for Sound Energy 1426 South Polk Dallas, TX 75224

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f' Billie P. Garde, Esq.

Government Accountability Project - Midwest Office 104 E. Wisconsin Ave.

Appleton, WI 54911 William Burchette Foster DeReitzes Heron,.Burchette, Ruckert & Rothwell 1025 Jefferson Street, N.W.

Suite 700 Washington, D.C. 20007 Robert A. Jablon Spiegel & McDiarmid 1350 New York Ave., N.W.

Suite 1100 Washington, D.C. 20005

' William W. Vernon Blake Tartt Fulbright & Jaworski 1301 McKinney Street Houston, TX 77010 Anthony Z. Roisman, Esq.

1401 New York Avenue, N.W.

Suite 600 Washington, D.C. 20005 This idb day of October, 1987.

, jj Bruce L. Downey j

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