OCTOBER TERM 2018 · DECIDED MAY 28, 2019 · 9–0

587 U. S. ___ · No. 17-1606 · Argued March 18, 2019

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Smith v. Berryhill

Reversed and remandedFinal ruling
disability benefitsSocial Securitycourt accessgovernment agenciesadministrative law

Opinion of the Court by Justice Sotomayor

The Supreme Court ruled that a disability claimant can get federal court review even after the Social Security Administration's Appeals Council throws out his appeal for being filed too late, as long as he already had a hearing before an administrative law judge.

The unanimous decision reverses years of appeals-court rulings that had closed the courthouse door to claimants in this situation, giving people who lose on procedural timing grounds after already receiving a merits hearing a chance to have a judge examine their case.

How it got here: A federal district court and the Sixth Circuit both ruled they had no jurisdiction to review the Appeals Council's timeliness dismissal, so Smith asked the Supreme Court to resolve a circuit split.

The Case in Depth

What happened

Ricky Lee Smith applied for Social Security disability benefits and was denied at every administrative stage, including after a hearing before an administrative law judge. When he tried to appeal that denial to the agency's Appeals Council, the agency said his request arrived too late and dismissed it without ever reviewing the merits of his case.

The question before the Court

If Social Security dismisses someone's appeal for filing too late, can that person still ask a federal court to review the case?

The Court's answer

Yes — the Court ruled that when the Appeals Council dismisses a claimant's appeal as untimely after the claimant already had a hearing on the merits before an administrative law judge, that dismissal counts as a "final decision" that can be reviewed by a federal court. The word "any" in the statute signals Congress wanted broad court oversight, and the Appeals Council's dismissal is the agency's last word on the case.

The Court distinguished this from an earlier case involving a request to reopen an old, already-final claim, which was purely a matter of agency generosity rather than a legal right. Because Smith's underlying claim for benefits was a matter of legal entitlement and he had already gone through a full hearing, cutting off court review at the timeliness stage would leave people with no recourse when the agency itself makes a mistake.

Curious how the Court got there? See the step-by-step legal reasoning →

Why it matters

Disability applicants who miss a filing deadline with the Social Security Administration's Appeals Council — often through no fault of their own, given the agency's huge caseload — will no longer be automatically shut out of federal court. This gives thousands of claimants each year a real chance to challenge mistaken or unfair timeliness rulings rather than losing benefits over a paperwork dispute.

What changes now

The case goes back to the Sixth Circuit, which will send it to a district court to review the Appeals Council's timeliness decision. If the court disagrees with the timeliness finding, the usual next step will be sending the case back to the Social Security Administration so it can address the merits of Smith's disability claim for the first time, rather than a court deciding the merits itself.

What this does not decide

The Court said it was not deciding what happens when a claimant never gets any hearing at all, such as someone whose request for an ALJ hearing itself was dismissed as untimely. It also did not decide how this ruling might affect other, related procedural contexts within Social Security law that amicus raised but that were not directly before the Court.

How the Court got there

The legal reasoning, step by step

  1. The Court read the statute's text first: the phrase 'final decision' means some kind of last, conclusive step, and Congress's use of the word 'any' signals it wanted that term applied broadly rather than narrowly.
  2. The Court then asked whether Smith's case satisfied the statute's second requirement, that the decision come 'after a hearing.' Because Smith had already received a full hearing before an administrative law judge on the merits of his claim, the Court found this requirement met in the ordinary, straightforward sense.
  3. The Court distinguished an earlier ruling involving a request to reopen an old, already-decided claim, which the agency could grant or deny purely as a matter of discretion. Here, by contrast, Smith's original claim for benefits was something he was legally entitled to have decided after a hearing, so the later timeliness dismissal was closely tied to that hearing rather than separate from it.
  4. Borrowing from the general framework used to decide when actions by federal agencies count as 'final' under administrative law, the Court found that the Appeals Council's timeliness dismissal both ended the agency's decision-making process and determined the claimant's legal rights, satisfying that standard as well.
  5. The Court applied a strong general rule that courts assume Congress wants agency actions to be reviewable by courts unless Congress clearly says otherwise, and found nothing in the Social Security Act's text or structure strong enough to overcome that assumption here.
  6. Because the agency itself, rather than a court, made the timeliness call and never reached the merits, the Court concluded that the ordinary approach on remand should be for the court to send the case back to the agency to decide the substantive merits first, rather than deciding the merits itself.

Doctrinal impact

Laws and provisions at issue

42 U.S.C. § 405(g)

Lets people challenge Social Security's final decisions made after a hearing in federal court.

Administrative Procedure Act

General law setting rules for how courts review federal agency actions.

Cases affected by this decision

Distinguishes Califano v. Sanders (430 U. S. 99)

The Court said this earlier case about reopening old claims does not control Smith's very different situation.

Reaffirms Bennett v. Spear (520 U. S. 154)

The Court relied on this case's two-part test for when an agency action counts as final.

Supreme Court Opinion

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Smith v. Berryhill | SCOTUS Reporter