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Hensley v. United States, 292 F.Supp.3d 399

Facts

John Hensley, a former Staff Sergeant in the West Virginia Air National Guard, suffered a serious shoulder injury in 2008 after falling from an aircraft. He applied for $100,000 in TSGLI benefits in 2013, claiming that his injury left him unable to perform at least two activities of daily living (ADLs) for 120 days. The Air Force denied his claim, stating he did not meet the criteria for benefits, and subsequent appeals to the AFBCMR were also denied, leading Hensley to file a lawsuit against the government.

Plaintiff John Hensley (“Hensley”), a former Staff Sergeant in the West Virginia Air National Guard, suffered a serious shoulder injury when he fell from an aircraft in 2008. In 2013, he submitted a claim for $100,000 under an insurance program for members of the military who have suffered traumatic injuries, Servicemembers' Group Life Insurance Traumatic Injury Protection (“TSGLI”).

Issue

Did the Air Force Board for Correction of Military Records' decision to deny Hensley's TSGLI benefits constitute an arbitrary and capricious action under the Administrative Procedure Act?

Did the Air Force Board for Correction of Military Records' decision to deny Hensley's TSGLI benefits constitute an arbitrary and capricious action under the Administrative Procedure Act?

Rule

The court reviews agency decisions under the Administrative Procedure Act, determining if they are arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law.

Under the Administrative Procedure Act, a court may set aside an agency's final decision only if it is ‘arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law.’

Analysis

The court found that the AFBCMR's decision was not arbitrary and capricious regarding the denial of benefits, as the Board had a rational basis for its conclusions based on the medical evidence. However, the court noted that the Board's failure to adequately address Hensley's wife's affidavit constituted an arbitrary disregard of relevant evidence, which warranted remand for further consideration.

The court found that the AFBCMR's decision was not arbitrary and capricious regarding the denial of benefits, as the Board had a rational basis for its conclusions based on the medical evidence.

Conclusion

The District Court granted Hensley's motion in part and denied it in part, vacating the Board's decision and remanding the claim for further proceedings without directing the Board to award benefits.

Motion granted in part and denied in part; cross-motion denied; Board's decision vacated and remanded.

Who won?

The prevailing party was John Hensley, as the court found that the Board's decision to disregard his wife's affidavit was arbitrary, leading to a remand for further consideration.

The prevailing party was John Hensley, as the court found that the Board's decision to disregard Hensley's wife's affidavit was arbitrary, leading to a remand for further consideration.

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