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Committee seeks Labor Commission and AG briefing after Court of Appeals says ALJs lack inherent power to dismiss claims as sanctions

5670296 · August 21, 2025
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Summary

After the Court of Appeals’ ruling in Mayhew v. Labor Commission, the Administrative Rules Review Committee asked the Labor Commission and the attorney general’s office to brief the committee about administrative law judges’ sanctioning and dismissal authority.

After review of the Court of Appeals decision in Mayhew v. Labor Commission, the Rules Review Committee asked the Labor Commission and the attorney general’s office to brief the committee on administrative law judges’ (ALJ) sanction authority and oversight.

Case and issue Office of Legislative Research counsel Chris Williams summarized the Mayhew case: the petitioner filed for a hearing with an ALJ at the Labor Commission over workers’ compensation benefits; after a string of motions and disparaging letters directed at the ALJ, the Commission treated the conduct as sanctionable and dismissed the claim. The Court of Appeals reversed that sanctioning in part, holding the Labor Commission did not have inherent statutory authority to dismiss the claim as a sanction for that conduct. The court said the legislature could expand ALJ authority if it chose to do so.

Why it matters ALJs are executive‑branch employees who preside over administrative hearings across many state agencies (Labor Commission, Tax Commission, Department of Health, and others). The Court of Appeals’ decision reduces the instances in which an ALJ can impose the dismissal remedy as punishment for abusive or contemptuous behavior and leaves open whether the legislature wants to amend statute or agency rulemaking to grant or clarify sanction authority.

Committee action Committee members asked for further information rather than immediately pursuing legislation. Representative Thurston and others urged caution about expanding dismissal authority, noting dismissal is a severe remedy. Senator Espinosa (speaker identified in transcript) and other members asked the committee to invite the Labor Commission to explain its hearing process, training and oversight and to include the attorney general’s office to clarify the statutory scope of ALJ authority.

The committee adopted a motion to request the Labor Commission and the attorney general’s office appear at a future meeting to explain (mover: Senator Espinosa; second: not specified in transcript). Committee staff will arrange the briefing.

Quotes “The court decided that the Labor Commission … did not have inherent statutory authority to sanction the petitioner and dismiss the claim,” Chris Williams summarized.

“We’re not going to immediately expand dismissal authority; we want the Labor Commission and AG to explain the current process and oversight so the committee can decide next steps,” a committee member said during debate (paraphrased from the record).

Ending The committee requested a future briefing by the Labor Commission and the attorney general’s office and will consider the agencies’ explanations before deciding whether to open legislation or take other action.