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Case: 20-1072 Document: 62 Page: 1 Filed: 03/03/2021
United States Court of Appeals
for the Federal Circuit
______________________
ROBERT M. EUZEBIO,
Claimant-Appellant
v.
DENIS MCDONOUGH, SECRETARY OF
VETERANS AFFAIRS,
Respondent-Appellee
______________________
2020-1072
______________________
Appeal from the United States Court of Appeals for
Veterans Claims in No. 17-2879, Judge Michael P. Allen,
Judge Amanda L. Meredith, Judge Joseph L. Falvey, Jr.
______________________
Decided: March 3, 2021
______________________
ZACHARY STOLZ, Chisholm Chisholm & Kilpatrick,
Providence, RI, argued for claimant-appellant. Also repre-
sented by CHRISTOPHER J. CLAY, BARBARA J. COOK, APRIL
DONAHOWER; MEGAN BRITTNEY HALL, Disabled American
Veterans, Cold Spring, KY.
MARTIN F. HOCKEY, JR., Commercial Litigation Branch,
Civil Division, United States Department of Justice, Wash-
ington, DC, argued for respondent-appellee. Also repre-
sented by JEFFREY B. CLARK, ROBERT EDWARD KIRSCHMAN,
JR.; MARTIE ADELMAN, BRIAN D. GRIFFIN, Office of General
Case: 20-1072 Document: 62 Page: 2 Filed: 03/03/2021
2 EUZEBIO v. MCDONOUGH
Counsel, United States Department of Veterans Affairs,
Washington, DC.
HILLARY ANNE WANDLER, Veterans Advocacy Clinic,
Alexander Blewett III School of Law, University of Mon-
tana, Missoula, MT, for amicus curiae National Law School
Veterans Clinic Consortium. Also represented by
MITCHELL L. WERBELL, V.
DORIS JOHNSON HINES, Finnegan, Henderson,
Farabow, Garrett & Dunner, LLP, Washington, DC, for
amicus curiae National Veterans Legal Services Program.
Also represented by JOHN D. NILES, BARTON F. STICHMAN,
National Veterans Legal Services Program, Washington,
DC.
______________________
Before OâMALLEY, WALLACH, and TARANTO, Circuit Judges.
WALLACH, Circuit Judge.
Appellant, Robert M. Euzebio, appeals a decision of the
U.S. Court of Appeals for Veterans Claims (âVeterans
Courtâ). See Euzebio v. Wilkie, 31 Vet. App. 394 (2019).
The Veterans Court affirmed the Board of Veteransâ Ap-
pealsâ (âthe Boardâ) denial of Mr. Euzebioâs entitlement to
service connection for a thyroid condition âas due to expo-
sure to Agent Orange[.]â Id. at 397; see J.A. 22 (Judgment).
The Veterans Court held that, contrary to Mr. Euzebioâs
arguments, the National Academies of Sciences, Engineer-
ing & Medicineâs (âNASâ) report, Veterans and Agent Or-
ange: Update 2014 (10th Biennial Update 2016) (âNAS
Update 2014â), âwas not constructively before the Boardâ
and Mr. Euzebio âha[d] not demonstrated prejudicial error
in the Boardâs decision to decline to obtain a medical nexus
opinionâ to evaluate whether Mr. Euzebioâs thyroid condi-
tion is associated with his exposure to Agent Orange.
Euzebio, 31 Vet. App. at 397.
Case: 20-1072 Document: 62 Page: 3 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 3
We have jurisdiction pursuant to 38 U.S.C. § 7292(a)
and (c). Because the Veterans Court applied an erroneous
legal standard when it concluded the Board did not have
constructive possession of the NAS Update 2014, we vacate
and remand.
BACKGROUND
I. The NAS Agent Orange Reports
Agent Orange was âthe most widely used herbicideâ
during the Vietnam War. S. REP. NO. 100-439, at 64 (1988);
see id. at 64â65 (providing that the United States dispersed
â[a]pproximately [twenty] million gallons of herbicides . . .
in Vietnam, including approximately [eleven] million gal-
lons of Agent Orangeâ from 1962 to 1971). Agent Orange
consisted of an equal mixture by weight of two n-butyl es-
ters of phenoxy acid herbicides, 2,4-dichlorophenoxyacetic
acid, and 2,4,5-trichlorophenoxyacetic acid. Id. at 64. It
also contained a synthetic contaminant, 2,3,7,8-tetrachlo-
rodibenzo-para-dioxin, commonly called âdioxin.â Id. âThe
United States used herbicides in Vietnam primarily for de-
foliation, crop destruction, and, on a smaller scale, clearing
vegetation around U.S. fire bases and other installations,
around landing zones, and along lines of communication.â
Id. In 1969, following a National Institutes of Health re-
port indicating that 2,4,5-trichlorophenoxyacetic acid
âcould cause birth defects in mice, the Government re-
stricted the use of Agent Orange in Vietnam to areas re-
mote from population,â and from â1970 to 1971, the use of
herbicides was phased out[.]â Id.
A. Individual and Class Actions
In 1979, Vietnam veterans and their families filed
what would become a class action tort suit in the U.S. Dis-
trict Court for the Eastern District of New York against the
United States and âa major portion of the chemical indus-
try,â seeking damages for injuries to and the deaths of âtens
of thousands of Vietnam veterans who came in contact with
Case: 20-1072 Document: 62 Page: 4 Filed: 03/03/2021
4 EUZEBIO v. MCDONOUGH
herbicidesââin particular, Agent Orange. In re Agent Or-
ange Prod. Liab. Litig. (Agent Orange I), 597 F. Supp. 740,
746 (E.D.N.Y. 1984), affâd sub nom. In re Agent Orange
Prod. Liab. Litig. MDL No. 381 (Agent Orange II), 818 F.2d
145 (2d Cir. 1987). The district court considered it âone of
the most complex litigations ever brought,â with â[s]ome
[six hundred] separate casesâ and âan estimated fifteen
thousand named plaintiffs,â with â[h]undreds of motionsâ
filed and â[m]illions of pages of documents and hundreds of
depositions of witnessesâ collected into evidence. Id. at
749â50. After five years of litigation, âplaintiffs, on behalf
of a class of Vietnam veterans and members of their fami-
lies, agreed with defendants to settle their claims against
the defendant chemical companies,â for â$180 million plus
interestâ in damages. Id. at 748. On behalf of the class,
the district court held that the settlement was âreasonable
under the law,â Agent Orange I, 597 F. Supp. at 749, and
the Second Circuit affirmed, Agent Orange II, 818 F.2d at
174.
The Government did not âparticipate in the negotia-
tions that culminated in the settlement of th[at] class ac-
tion.â Agent Orange II, 818 F.2d at 160. Rather, the
plaintiffsâ claims against the United States were dismissed
as âbarred by the Feres doctrine and the discretionary func-
tion exception to the Federal Tort Claims Act.â Id. at 152;
see Feres v. United States, 340 U.S. 135, 146 (1950) (holding
that âthe Government is not liable under the Federal Tort
Claims Act for injuries to servicemen where the injuries
arise out of or are in the course of activity incident to ser-
viceâ). Veterans also pursued their claims against the
United States through what is now called the U.S. Depart-
ment of Veterans Affairs (âVAâ), seeking disability compen-
sation for diseases they asserted were caused by exposure
to Agent Orange. H.R. REP. NO. 98-592, at 6 (1984) (provid-
ing that âas of October 1, 1983, Veterans had filed 18,518
disability claims with the VA for disorders they attribute
to Agent Orange exposureâ; of those, â9,170 . . . had a
Case: 20-1072 Document: 62 Page: 5 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 5
diagnosed disabilityâ; and, of those, â7,709 were deniedâ
disability compensation for lack of service connection (cap-
italization normalized)). The VA took the position that
only chloracne, a skin disorder, was âcausally related to
Agent Orange exposureâ and largely denied the veteransâ
Agent Orange claims. Id. (capitalization normalized); see
id. (noting that of the 18,518 disability claims for Agent Or-
ange exposure, the â1,461 . . . [that] were granted service
connection were for skin conditionsâ (capitalization nor-
malized)).
B. The Dioxin Act
In 1984, in response to âconcern,â generally, âabout the
decision[-]making process within the [VA] with respect to
Agent Orange compensation,â and, specifically, to the ab-
sence of âstandards or guidelines available by which the
[VA] justifie[d] its position that no illness, except chlor-
acne, result[ed] from Agent Orange exposure,â H.R. REP.
NO. 98-592, at 21 (capitalization normalized), Congress en-
acted the Veteransâ Dioxin and Radiation Exposure Com-
pensation Standards Act (âDioxin Actâ), Pub. L. No. 98â
542, 98 Stat. 2725 (1984). Given the âscientific and medical
uncertainty regarding [the] long-term adverse health ef-
fectsâ resulting from dioxin exposure, Congress had previ-
ously âauthoriz[ed] priority medical care at [VA] facilities
for any disability of a veteran who may have been . . . ex-
posed [to dioxin],â even where âthere [wa]s insufficient
medical evidence linking such disability with such expo-
sure,â âunless the disability [wa]s found to have resulted
from a cause other than the exposure.â Dioxin Act § 2(2),
(3) (citing An Act to Make Technical Corrections in the De-
fense Officer Personnel Management Act, Pub. L. No. 97â
22 § 102, 95 Stat. 124 (1981)). However, the VA had yet to
âpromulgate[] permanent regulations setting forth guide-
lines, standards, and criteria for the adjudication of claims
for [VA] disability compensation based on exposure to herb-
icides containing dioxin[.]â Id. § 2(11).
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6 EUZEBIO v. MCDONOUGH
With the Dioxin Act, Congress sought âto ensure that
[VA] disability compensation [wa]s provided to veterans
who were exposedâ to Agent Orange, for disabilities that
were service-connected âbased on sound scientific and med-
ical evidence[.]â Id. § 3. The Dioxin Act required the VA to
âprescribe regulations . . . for the resolution of [Agent Or-
ange] claimsâ based on âexposure during serviceâ in Vi-
etnam, id. § 5(a)(1)(A), including âguidelines governing the
evaluation of the findings of scientific studies relating to
the possible increased risk of adverse health effects of ex-
posure to herbicides containing dioxin,â id. § 5(b)(1)(A).
The Dioxin Act further required the VA, âin the evaluation
of [such] studies,â id., to âreceiv[e] the advice ofâ a panel of
individuals drawn from âthe Scientific Council of the Vet-
eransâ Advisory Committee on Environmental Hazardsâ
(âthe Dioxin Councilâ) as created within the VA by the Di-
oxin Act, id. § 5(b)(1)(B). The Dioxin Act directed the VA
to create a presumptive service connection for any disease
which had, âbased on sound medical and scientific evi-
dence,â id. § 5(b)(2)(A), âa connection to exposure to a[n]
herbicide containing dioxin,â id. §5(b)(2)(B); see LeFevre v.
Secây, Depât of Veterans Affârs., 66 F.3d 1191, 1193 (Fed. Cir.
1995) (explaining that the Dioxin Act ârequire[d] the [VA]
to create or reject a presumption-of-service connection for
particular diseases, based upon the statistical probability
of such connection, as reflected in scientific studiesâ).
In April 1985, the VA published a proposed rule to im-
plement the Dioxin Act. Adjudication of Claims Based on
Exposure to Dioxin or Ionizing Radiation (âProposed
Ruleâ), 50 Fed. Reg. 15,848 (Apr. 22, 1985). The Proposed
Rule provided âa formal process for the [VAâs] evaluations
of scientific and medical studies relating to the possible ad-
verse health effects of dioxin[.]â Id. at 15,848. In August
1985, the VA promulgated a final regulation adopting the
Proposed Rule. Adjudication of Claims Based on Exposure
to Dioxin or Ionizing Radiation (âDioxin Regulationâ), 50
Fed. Reg. 34,452, 34,452â53 (Aug. 26, 1985) (formerly
Case: 20-1072 Document: 62 Page: 7 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 7
codified at 38 C.F.R. § 1.17). It concluded that â[s]ound sci-
entific and medical evidence d[id] not establish a cause and
effect relationship between dioxin exposureâ and any dis-
ease except chloracne. Id. at 34,458. It did, however, pro-
vide that â[f]rom time to time, the [VA] shall publish
evaluations of scientific or medical studies relating to the
adverse health effects of exposure to [dioxin],â id.
at 34,458, and that â[i]n the adjudication of individual
claims, due consideration shall be given to th[ose] evalua-
tions of study findings published,â id. at 34,459. In subse-
quent years, the Dioxin Council âcontinued to evaluate
scientific studies, reviewing over seventy studies, reports,
and articles on dioxin.â Nehmer v. U.S. Veteransâ Admin.
(Nehmer II), 712 F. Supp. 1404, 1408 (N.D. Cal. 1989). The
Dioxin Council did not, however, ârecommend[] that the
[VA] amend the regulation to grant service connection to
any other disease.â Id.
In 1987, Vietnam veterans brought a class action suit
against the VA and Dioxin Council in the U.S. District
Court for the Northern District of California, alleging that
the agency âimproperly implementedâ the Dioxin Act
through promulgation of the Dioxin Regulation. Nehmer v.
U.S. Veteransâ Admin. (Nehmer I), 118 F.R.D. 113, 115
(N.D. Cal. 1987); see id. (explaining that plaintiffs alleged
that âdefendants failed to adequately review the pertinent
scientific studies of dioxin-related diseases, failed to im-
pose proper guidelines for the consideration of relevant ev-
idence, and failed to apply the correct legal standard to
determine which diseases are compensableâ and that âthe
[Dioxin] [R]egulation contradict[ed] the weight of scientific
evidence and is therefore arbitrary and capriciousâ). While
the Dioxin Regulation did ânot preclude a veteran from
proving in an individual case that a claimed disease was
caused by Agent Orange exposure,â âas of December 1987,
over 31,000 veterans ha[d] been denied compensation un-
der th[e] [Dioxin] [R]egulation.â Nehmer II, 712 F. Supp.
at 1408 (citing Nehmer I, 118 F.R.D. at 120). The district
Case: 20-1072 Document: 62 Page: 8 Filed: 03/03/2021
8 EUZEBIO v. MCDONOUGH
court held âvoid . . . the portion of the Dioxin [R]egulation
that denie[d] service connection for all other diseasesâ and
âall benefit decisions made under [that portion of the regu-
lation], and remand[ed] to the VA for further proceed-
ings[.]â Id. at 1409. The district court explained that the
VAâs âadoption of [a] cause and effect test and failure to
give the benefit of the doubt to veterans violated the Dioxin
Act,â âsharply tipped the scales against the claims of veter-
ans,â and thus, â[g]iven the congressional finding of sub-
stantial scientific uncertainty regarding the effects of
Agent Orange,â were ânot harmlessâ errors, but likely âac-
count[ed] for the conclusion that the [VA] reached in the
Dioxin [R]egulation.â Id.
In May 1989, the VA announced that it would âabide
by the rulingâ in Nehmer II, S. REP. NO. 101-82, at 42
(1989), and amended the Dioxin Regulation accordingly,
Evaluation of Studies Relating to Health Effects of Dioxin
and Radiation Exposure, 54 Fed. Reg. 40,388, 40,388
(Oct. 2, 1989). The VA amended the Dioxin Regulation to
provide for a presumptive service connection where the Di-
oxin Council found âa significant statistical association . . .
between any disease and exposure to a[n] herbicide con-
taining dioxinââthat is, âwhen the relative weights of valid
positive and negative studies permit the conclusion that it
is at least as likely as not that the purported relationship
between a particular type of exposure and a specific ad-
verse health effect exists.â Id. at 40,391. It did not pre-
serve the provision for consideration of the Dioxin Councilâs
evaluation of scientific and medical studies in the adjudi-
cation of individual claims. See generally id. at 40,391â92.
C. The Agent Orange Act
In 1991, Congress enacted the Agent Orange Act of
1991 (âAgent Orange Actâ), Pub. L. No. 102â4, 105 Stat. 11
(1991) (codified in part at 38 U.S.C. § 1116), in order to
âprovide for the Secretary of Veterans Affairs [(âthe Secre-
taryâ)] to obtain independent scientific review of the
Case: 20-1072 Document: 62 Page: 9 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 9
available scientific evidence regarding associations be-
tween diseases and exposure to dioxin and other chemical
compounds in herbicides[.]â Agent Orange Act, 105 Stat.
at 11. While praising the VA for âproceeding to carry out a
rereview of the scientific evidence as part of [its] effort to
comply with the mandate ofâ the Dioxin Act and Nehmer
II, there was nonetheless âa strong sense that what [wa]s
needed at th[at] point [wa]s a review, by an entity com-
pletely independent of [the] VA, that will yield unified com-
pilation and analysis of the results from the various
scientific studies.â S. REP. NO. 101-82 at 42 (1989); see id.
at 41 (noting that â[g]eneral acceptance of the[] [Dioxin
Councilâs] reviews has been impaired because of a concern
that [the] VA may have exerted some influence on their
content,â and ârecogniz[ing] that the perception of a possi-
bility of some taint d[id] exist and [could ]not be dismissed
out of handâ).
To this end, in the Agent Orange Act, Congress di-
rected the VA to âseek to enter into an agreement with [the
NAS],â Agent Orange Act § 3(b), âan independent nonprofit
scientific organization with appropriate expertise which is
not part of the . . . Government,â id. § 3(a). Under this
agreement, the NAS was to âreview and summarize the sci-
entific evidence, and assess the strength thereof, concern-
ing the association between exposure to,â inter alia, Agent
Orange âand each disease suspected to be associated with
such exposure,â id. § 3(c), and transmit to the VA and Con-
gress âperiodic written reports regarding the [NASâs] activ-
ities under the agreementâ (âNAS Reportsâ), with a report
âsubmitted at least once every two yearsâ through October
1, 2014, id. § 3(g), (i); see Veterans Education and Benefits
Expansion Act of 2001 (âVeterans Education Actâ), Pub. L.
No. 107â103, § 201, 115 Stat. 976 (2001).
In generating the NAS Reports, the âNAS conduct[s] a
comprehensive search of all medical and scientific studies
on health effects of herbicides used in the Vietnam Warââ
numbering in the thousands for each biannual NAS
Case: 20-1072 Document: 62 Page: 10 Filed: 03/03/2021
10 EUZEBIO v. MCDONOUGH
Report. Determinations Concerning Illnesses Discussed in
National Academy of Sciences Report: Veterans and Agent
Orange: Update 2012 (âNAS Update 2012 Determinationâ),
79 Fed. Reg. 20,308, 20,309 (Apr. 11, 2014). The NAS then
categorizes âeach health outcome it reviewed . . . based on
the strength of the evidence of association between herbi-
cide exposure and the health outcome,â ranging from âSuf-
ficient Evidence of Associationâ to âLimited or Suggestive
Evidence of No Association.â Id.
Until September 30, 2015, the Secretary was required,
within sixty days of receiving an NAS Report, to âdeter-
mine whether a presumption of service connection is war-
ranted for each disease covered by the [NAS] [R]eport.â 38
U.S.C. § 1116(c)(1)(A); see Veterans Education Act § 201
(codified at 38 U.S.C. § 1116(e)). âIf the Secretary deter-
mine[d] that such a presumption [wa]s warranted,â the
Secretary was required, within sixty days of making that
determination, to âissue proposed regulations setting forth
the Secretaryâs determination,â 38 U.S.C. § 1116(c)(1)(A),
and, within ninety days of issuing the proposed regulation,
to issue a final regulation, id. § 1116(c)(2); see 38 C.F.R.
§ 3.309 (listing â[d]isease[s] subject to presumptive service
connectionâ). Similarly, the Secretary was required to
âpublish in the Federal Register . . . noticeâ when âthe Sec-
retary determine[d] that a presumption of service connec-
tion [wa]s not warrantedâ for a given disease. 38 U.S.C.
§ 1116(c)(1)(B). 1
1 In 1993, the VA promulgated regulations imple-
menting the Agent Orange Act. See Disease Associated
With Exposure to Certain Herbicide Agents, 58 Fed. Reg.
50,528, 50,528 (Sept. 28, 1993). In 2010, the VA
âamend[ed] its regulation[s] concerning evaluation of stud-
ies relating to the health effects of exposure to herbicides
containing dioxin . . . to remove the obsolete references to
herbicides containing dioxinâ to âreflect[] changes made by
Case: 20-1072 Document: 62 Page: 11 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 11
In the absence of a presumptive service connection, a
veteran may still âprove actual direct causationâ to estab-
lish a service-connected disability. Combee v. Brown, 34
F.3d 1039, 1044 (Fed. Cir. 1994). While the Agent Orange
Act and associated regulations do not require the VA to
consider NAS Reports in the adjudication of individual
claims, see generally 38 U.S.C. § 1116, because â[t]he NAS
[Reports] are published in the Federal Register by [the]
VA,â the âVA is on notice as to the information contained
therein,â J.A. 76; see J.A. 71â76 (excerpts from BOARD OF
VETERANSâ APPEALS, U.S. DEPâT OF VETERANS AFFAIRS, THE
PURPLEBOOK, Version 1.0.2 (2018) (âThe Purplebookâ)); see
also Fed. Crop Ins. Corp. v. Merrill, 332 U.S. 380, 385
(1947) (âCongress has provided that the appearance of
rules and regulations in the Federal Register gives legal
notice of their contents.â).
Further, the Boardâs internal guidance advises that,
even if the VA has not âconceded a relationshipâ by estab-
lishing a presumptive service connection, âsuggestive evi-
dence of an associationâ between a medical condition and
âexposure to herbicide agentsâ as discussed in NAS Reports
may âbe sufficient to establish an âindicationâ that the cur-
rent disability âmay be relatedâ to herbicide agent exposure
during service, as contemplated by 38 U.S.C.
§ 5103A(d)(2)(b)â given âthat there is a âlow thresholdâ when
assessing the need for a medical examination.â J.A. 76
(quoting McLendon v. Nicholson, 20 Vet. App. 79, 83
(2006)); see 38 U.S.C. § 5103A(d)(1) (directing the VA to
the Agent Orange Act[.]â Removal of Obsolete References
to Herbicides Containing Dioxin (âRemoval of Obsolete Ref-
erencesâ), 75 Fed. Reg. 17,857, 17,857 (Apr. 8, 2010); see id.
at 17,858 (explaining that prior regulations under the Di-
oxin Act were âobsolete with regard to matters involving
herbicide exposure, which are now governed by the com-
prehensive statutory scheme of the Agent Orange Actâ).
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12 EUZEBIO v. MCDONOUGH
provide a veteran with a âmedical examinationâ or âopin-
ionâ âwhen such an examination or opinion is necessary to
make a decision on the [veteranâs disability] claimâ). For
example, by its internal guidance, the Board should ânot
deny service connection for hypertension, bladder cancer,
or hypothyroidism without first obtaining a VA medical
opinionâ on the question of service connection, J.A. 75, even
though âthe VA has not concededâ a presumptive service
connection, J.A. 76; see J.A. 76 (âOn a practical basis, for
the above reasons, [the VAâs Office of General Counselâs]
[Veterans Court] Litigation Group will not defend service
connection for hypertension cases when a VA nexus opin-
ion has not been obtained[.]â).
II. Factual Background and Procedural History
Mr. Euzebio served on active duty in the U.S. Navy
Seabees from February 1966 to October 1969, including
two tours of duty in Vietnam. J.A. 31 (DD 214), 40 (Claim),
51 (Supplemental Claim). He was stationed first in Da
Nang and then in Hoi An. J.A. 51, 57. At both sites, he
was exposed to Agent Orange. J.A. 57; see 38 U.S.C.
§ 1116(f) (âFor purposes of establishing service connection
for a disability or death resulting from exposure to a[n]
herbicide agent, . . . a veteran who, during active military,
naval, or air service, served in the Republic of Vietnam dur-
ing the period beginning on January 9, 1962, and ending
on May 7, 1975, shall be presumed to have been exposed
during such service to an herbicide agent containing dioxin
or 2,4-dichlorophenoxyacetic acid[.]â); 38 C.F.R.
§§ 3.307(a)(6)(iii) (similar), 3.313(a) (providing that
â[s]ervice in Vietnam includes service in the waters off-
shore, or service in other locations if the conditions of ser-
vice involved duty or visitation in Vietnamâ).
In 2009, Mr. Euzebio began experiencing problems
swallowing. J.A. 58. In 2011, medical examinations and
testing by private physicians indicated that he had benign
nodules on his thyroid. J.A. 32â39 (Radiology and
Case: 20-1072 Document: 62 Page: 13 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 13
Pathology Reports), 57â59 (Board Transcript). Later that
year, Mr. Euzebio filed a claim requesting service-con-
nected disability compensation for âthyroid nodules be-
lieved [to be] caused by [his] exposure to Agent Orange
while serving in Vietnam.â J.A. 40 (Claim). 2 The VA de-
nied his claim, finding that â[t]he available scientific and
medical evidence does not support the conclusion that [Mr.
Euzebioâs thyroid] condition is associated with herbicide
exposure.â J.A. 47; see J.A. 43â49 (September 2011 VA Let-
ter). In April 2015, after filing a supplemental claim with
the VA, Mr. Euzebio appealed the VAâs decision to the
Board. J.A. 50â51 (Supplemental Claim), 52â53 (Notice of
Disagreement), 54 (Appeal to Board).
In March 2016, while Mr. Euzebioâs appeal was pend-
ing before the Board, the NAS Committee to Review the
Health Effects in Vietnam Veterans of Exposure to Herbi-
cides published the NAS Update 2014. J.A. 70, 76. At that
time, while the NAS was still required to âtransmit to the
[VA] and [Congress]â an NAS Report, Agent Orange Act
§ 3(g); see Veterans Education Act § 201, the VA was no
longer required to use that NAS Report to determine if any
new presumptive service connections were warranted or to
publish such determinations for notice and comment in the
Federal Register, 38 U.S.C. § 1116(e). While the VA has
not, to date, published the NAS Update 2014 in the Federal
Register, it has published the report on its website. See
U.S. DEPâT OF VETERANS AFFAIRS, Public Health,
https://www.publichealth.va.gov/exposures/agentorange/
2 Mr. Euzebio also claimed service connection based
on his exposure to contaminated drinking water at Camp
Lejeune. J.A. 60; see 38 C.F.R. § 3.309(f) (listing
â[d]isease[s] [presumptively] associated with exposure to
contaminants in the water supply at Camp Lejeuneâ). He
has since abandoned that claim. See Euzebio, 31 Vet. App.
at 407; see generally Appellantâs Br.
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14 EUZEBIO v. MCDONOUGH
publications/health-and-medicine-division.asp. The NAS
Update 2014 provided that in one study considered by the
NAS Committee, âthyroid conditions overall showed an in-
dication of increased risk with herbicide exposure.â J.A. 78
(alterations omitted) (quoting NAS Update 2014 at 885).
The NAS Committee also noted that âconsistent observa-
tions of exposures to herbicide agentsâ indicated that they
were ârelated to perturbations of thyroid functionâ and that
â[e]ndocrine effects have been observed in conjunction with
exposure to herbicide agents in both humans and animals.â
J.A. 78 (alterations omitted) (quoting NAS Update 2014 at
897â98).
In July 2017, the Board denied Mr. Euzebioâs claim.
J.A. 60â61; see J.A. 60â69 (Board Decision). The Board
concluded that Mr. Euzebio âha[d] not . . . metâ â[t]he crite-
ria for service connection for a thyroid disability,â finding
that Mr. Euzebioâs âbenign thyroid nodules ha[d] not been
shown to be related to his in-service environmental expo-
sures.â J.A. 61. The Board noted that â[t]he Agent Orange
Act . . . requires that when the Secretary determines that
a presumption of service connection based on herbicide ex-
posure is not warranted for [certain] conditions, he must,â
inter alia, consider âreports of the [NAS]â when making the
decision. J.A. 66 (citing 38 U.S.C. § 1116); see 38 U.S.C.
§ 1116(b)(2) (âIn making determinations for the purpose ofâ
creating presumptive service-connection for certain dis-
eases associated with Agent Orange exposure, the Secre-
tary is required to âtake into account . . . reports received
by the Secretary from the [NAS] under . . . the Agent Or-
ange Act,â and âall other sound medical and scientific in-
formation and analyses available to the Secretary[.]â).
The Board then concluded that, while Mr. Euzebio
âha[d] not been afforded a VA [medical] examination,â the
VA was not required to provide him with one because
Mr. Euzebioâs âconclusory generalized statementsâ that
âhis thyroid condition is related to his in-service exposures
to Agent Orangeâ âlack probative value and are insufficient
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EUZEBIO v. MCDONOUGH 15
to meet even the low burden triggering [the] VAâs duty to
assist in providing an examination and medical opinion.â
J.A. 63â64 (citing McLendon, 20 Vet. App. at 83); see 38
U.S.C. § 5103A(d)(2)(B) (providing that a medical opinion
is necessary when âthe evidence of record before the Secre-
tary, taking into consideration all information and lay or
medical evidence (including statements of the claim-
ant) . . . indicates that the disability or symptoms may be
associated with the claimantâs active military, naval, or air
serviceâ). 3 The Board explained that â[s]ervice connectionâ
for Mr. Euzebioâs thyroid disorder â[wa]s not warrantedâ
either âon a presumptive basis,â because his thyroid disor-
der was not among the conditions listed by the Secretary
for presumptive service-connection under the Agent Or-
ange Act, J.A. 67 (citing 38 C.F.R. § 3.309(e)); see 38 C.F.R.
§ 3.309(e) (listing â[d]isease[s] [presumptively] associated
with exposure to certain herbicide agentsâ), or on âa direct
basisâ because â[t]he only evidence submitted etiologically
linking [Mr. Euzebioâs] benign thyroid nodules to his in-
service exposures is [his] own assertion[s],â J.A. 68; see
J.A. 68 (concluding that Mr. Euzebioâs âgeneral conclusory
3 McLendon provides that âthe Secretary must pro-
vide a VA medical examination when there is,â inter alia,
âan indication that the disability or persistent or recurrent
symptoms of a disability may be associated with the vet-
eranâs service or with another service-connected disability,
but . . . insufficient competent medical evidence on file for
the Secretary to make a decision on the claim.â 20 Vet.
App. at 81 (citing, inter alia, 38 U.S.C. § 5103A(d)(2)); see
Waters v. Shinseki, 601 F.3d 1274, 1277 (Fed. Cir. 2010)
(noting that 38 U.S.C. § 5103A(d)(1), (2) âprovide[s] th[e]
guidelines for determining whether a medical examination
or opinion is necessary for the Secretary to make a decision
in a claimâ (internal quotation marks omitted)).
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16 EUZEBIO v. MCDONOUGH
assertions as to the cause of his benign thyroid nodules,
while likely genuine, are not probative in this contextâ).
Mr. Euzebio appealed the Boardâs decision to the Vet-
erans Court. Euzebio, 31 Vet. App. at 397; see J.A. 70 (ex-
cerpt of Veterans Court Brief). Mr. Euzebio argued that
âthe Board erred in determining that the Secretaryâs duty
to assist did not require [the] VA to afford him a medical
examination,â because âthe Board failed to consider and
discuss âall evidence and material of record and applicable
provisions of law and regulation,â including the [NAS Up-
date 2014].â Euzebio, 31 Vet. App. at 398 (quoting 38
U.S.C. § 7104(a)). He argued that âthe [NAS Update 2014]
was constructively before the Board because the Secretary
knew of the reportâs content,â and further âthat, had the
Board considered the [NAS Update 2014], it would have
found . . . McLendon . . . satisfied.â Id. Before the Veter-
ans Court, it was undisputed that the NAS Update 2014
âwas created for [the] VA pursuant to a congressional man-
dateâ and âwas published in 2016, prior to the Board deci-
sion on appeal,â id. at 399, and, further, that the âVA
generally knew of the existence of the [NAS Update 2014]
at the time of the decision on appeal,â id. at 402; see J.A. 76
(The Purplebook) (discussing, generally, the use of NAS
Updates in adjudicating Agent Orange claims, and, specif-
ically, the NAS Update 2014 in adjudicating certain Agent
Orange claims without presumptive service connection).
A divided panel of the Veterans Court affirmed the
Boardâs decision. Euzebio, 31 Vet. App. at 397. The major-
ity âconclude[d] that the [NAS Update 2014] was not con-
structively . . . before the Board.â Id. at 402. The majority
explained that the Veterans Court âcase[ ]law is clear, that
even if [the] VA is aware of a report and the report contains
general information about the type of disability on appeal,
that is insufficient to trigger the constructive possession
doctrine[.]â Id. Rather, âthere must also be a direct rela-
tionship to the claim on appeal.â Id. (emphasis omitted)
(citing Monzingo v. Shinseki, 26 Vet. App. 97, 102 (2012)).
Case: 20-1072 Document: 62 Page: 17 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 17
The majority stated that â[t]o hold otherwise would not
only contravene [the Veterans] Courtâs case[ ]law but
would undermine the [Veterans] Courtâs jurisdictional ob-
ligation to base its review on the record of proceedings be-
fore the Board[.]â Id.; see 38 U.S.C. § 7252(b) (âReview in
the Court shall be on the record of proceedings before the
Secretary and the Board.â). The majority then determined
that the Board correctly concluded that the VA had satis-
fied its duty to assist under McLendon, see Euzebio, 31 Vet.
App. at 407 (â[Mr. Euzebio] has not shown that the record
contains any factual basis for his claim apart from his gen-
eral lay statements, which, as noted above, are insufficient
to satisfy McLendonâs low threshold.â), and, because Mr.
Euzebio âha[d] not demonstrated prejudicial error with re-
gard to that determination,â the majority affirmed, id.
One judge dissented. Euzebio, 31 Vet. App. at 407â12
(Allen, J., dissenting). He understood the majorityâs ra-
tionale to be a constructive ignorance rather than a con-
structive possession doctrine, as the majorityâs opinion
could not âpossibly be the outcome of a rational system of
adjudication, especially one designed to be pro-veteran and
nonadversarial.â Id. at 409. He explained that, while
â[t]he majority appear[ed] to suggest that there is quite a
rigorous test to show [a direct] relationshipââsuch that
âfor all practical purposes, only evidence that directly
names the veteran whose case is at issue would qualifyââ
the majority was incorrect. Id. He emphasized âthe[]
unique natureâ of the NAS Reports and the âimportant role
congressional attention to Agent Orange exposure hasâ had
in the adjudication of Agent Orange claims. Id. at 410; see
id. at 410 (âThese are not the type of documents that are
located somewhere in the bowels of [the] VA, tucked away
in the desk of some bureaucrat never to be read.â). Because
the VA had actual notice of the NAS Update 2014, and be-
cause the NAS Update 2014 has a direct relationship to âall
claims based on Agent Orange exposureâ by âcongressional
directive,â he would have found the NAS Update 2014 to be
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18 EUZEBIO v. MCDONOUGH
constructively before the Board in Mr. Euzebioâs case. Id.
at 410â11.
DISCUSSION
I. Standard of Review and Legal Standard
Our jurisdiction to review decisions of the Veterans
Court is defined by statute. Gazelle v. Shulkin, 868 F.3d
1006, 1009 (Fed. Cir. 2017). We may âreview and decide
any challenge to the validity of any statute or regulation or
any interpretation thereofâ and âinterpret constitutional
and statutory provisions, to the extent presented and nec-
essary to a decision.â 38 U.S.C. § 7292(c). â[W]e have au-
thority to decide whether the Veterans Court applied the
correct legal standard.â Sneed v. Shinseki, 737 F.3d 719,
724 (Fed. Cir. 2013) (internal quotation marks, citation,
and footnote omitted). We review the Veterans Courtâs le-
gal determinations de novo. Gazelle, 868 F.3d at 1009.
The Veterans Court is âan Article I tribunal,â created
under the Veteransâ Judicial Review Act of 1988 (âVeter-
ansâ Judicial Review Actâ), Pub. L. No. 100â687, 102 Stat.
4105 (2000) (codified as amended at 38 U.S.C. §§ 7251â
7298), âto review Board decisions adverse to veterans.â
Henderson ex rel. Henderson v. Shinseki, 562 U.S. 428, 432
(2011). As an appellate tribunal, the Veterans Court re-
views Board determinations âon the record of proceedings
before the Secretary and the Board.â 38 U.S.C. § 7252(b). 4
4 The Boardâs â[d]ecisions,â in turn, must âbe based
on the entire record in the proceeding and upon considera-
tion of all evidence and material of record,â 38 U.S.C.
§ 7104(a), and, in adjudicating claims for service-connected
disability, the Secretary must consider âall information and
lay and medical evidence of record,â id. § 5107(b); see Fa-
gan v. Shinseki, 573 F.3d 1282, 1287 (Fed. Cir. 2009) (âWe
have repeatedly emphasized that all pertinent evidence
must be considered.â); 38 C.F.R. § 3.303 (âDeterminations
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EUZEBIO v. MCDONOUGH 19
â[T]he Veterans Courtâs scope of review, [38 U.S.C.] § 7261,
is similar to that of an Article III court reviewing agency
action under the Administrative Procedure Act, 5 U.S.C.
§ 706.â Henderson, 562 U.S. at 432 n.2. The Veterans
Court âdecide[s] all relevant questions of law,â 38 U.S.C.
§ 7261(a)(1), and âhold[s] unlawful and set[s] aside any
[Board or VA] decision[]â that is âarbitrary, capricious, an
abuse of discretion, or otherwise not in accordance with
law,â id. § 7261(a)(3)(A). Further, âin the case of a finding
of material fact adverse to the claimant,â the Veterans
Court may âhold unlawful and set aside or reverse such
finding if the finding is clearly erroneous.â Id. § 7261(a)(4).
Under such circumstances, the Veterans Court has the
âpower to . . . reverse a decision of the Board or to remand
the matter, as appropriate[.]â Id. § 7252(a).
In keeping with its appellate review of Board and VA
determinations, the Veterans Court may, under certain cir-
cumstances, consider âdocuments that were not literally
before an examiner to be constructively part of a claimantâs
record.â Lang v. Wilkie, 971 F.3d 1348, 1352â53 (Fed. Cir.
2020) (emphasis omitted) (citing Bell v. Derwinski, 2 Vet.
App. 611, 613 (1992)); cf. Home Prod. Intâl, Inc. v. United
States, 633 F.3d 1369, 1379 (Fed. Cir. 2011) (explaining
that the rule that appellate review of agency proceedings
must be on the administrative record âis not without excep-
tionsâ (citing, inter alia, Fla. Power & Light Co. v. Lo-
rion, 470 U.S. 729, 743 (1985))). Specifically, where âa
dispute arisesâ before the Veterans Court âas to the content
of the recordâ before the Secretary and Board, and the evi-
dence at issue is âwithin the Secretaryâs controlâ and âcould
reasonably be expected to be a part of the record âbefore the
Secretary and the Board,â such documents are,â construc-
tively, part of the record. Bell, 2 Vet. App. at 613 (quoting
as to service connection will be based on review of the en-
tire evidence of record[.]â).
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20 EUZEBIO v. MCDONOUGH
38 U.S.C. § 7252(b)); see Lang, 971 F.3d at 1353â55 (dis-
cussing the âwell-established Bell ruleâ); 38 C.F.R.
§ 20.1403(b) (codifying the Bell rule for âBoard decisions on
legacy appealsâ for claims that pre-date Bell). 5 The Veter-
ans Court has found evidence âwithin the Secretaryâs con-
trolâ when âthe Secretary ha[s] constructive, if not actual,
knowledgeâ of that evidence. Bell, 2 Vet. App. at 613; see
Lang, 971 F.3d at 1354 (providing that the VA has con-
structive knowledge of evidence that was âgenerated by the
VA or was submitted to the VAâ). 6 Evidence that âcould
reasonably be expected to be part of the recordâ is evidence
that âpre-date[s] the [Board] opinionâ and is relevant. Bell,
2 Vet. App. at 612â13; see Lang, 971 F.3d at 1353â55 (â[I]n
the context of records created prior to a decision, all rele-
vant and reasonably connected VA-generated documents
are part of the record and, therefore, constructively known
by the VA adjudicator.â).
II. The Veterans Court Relied on an Erroneous Legal
Standard When It Required a âDirect Relationshipâ for
Constructive Possession of the NAS Update 2014
The Veterans Court âconclude[d] that the [NAS Update
2014] was not constructivelyâ before the Board, because
âeven if [the] VA [wa]s aware of a report and the report
5 âAfter Bell, the Secretary issued Office of General
Counsel Opinion 12-95, which officially adopted the Bell
rule for all [medical] records in the VAâs possession.â Lang,
971 F.3d at 1353 (citing Vet. Aff. Op. Gen. Couns. Prec. 12-
95, 1995 WL 17875505, at *2 (May 10, 1995)).
6 While actual notice is not necessary, Lang, 971
F.3d at 1355, it is sufficient, Bell, 2 Vet. App. at 612 (â[T]he
[Veterans] Court cannot accept the Board being âunawareâ
of certain evidence, especially when such evidence is in pos-
session of the VA, and the Board is on notice as to its pos-
sible existence and relevance.â (quoting Murincsak v.
Derwinski, 2 Vet. App. 363, 372â73 (1992))).
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EUZEBIO v. MCDONOUGH 21
contain[ed] general information about the type of disability
on appeal, that [wa]s insufficient to trigger the constructive
possession doctrine.â Euzebio, 31 Vet. App. at 402 (empha-
sis and footnote omitted). The Veterans Court explained
that âthere must also be a direct relationship to the claim
on appealâ and there was no direct relationship between
the NAS Update 2014 and Mr. Euzebioâs claim. Id.
Mr. Euzebio argues that the Veterans Court ârelied on an
erroneous legal standard when it refused to consider the
[NAS Update 2014] because it lacked a âdirect relationshipâ
to Mr. Euzebioâs claim.â Appellantâs Br. 8. We agree with
Mr. Euzebio.
Mr. Euzebio is correct that the Veterans Court relied
on an erroneous legal standard when it required Mr.
Euzebio establish a âdirect relationshipâ between the NAS
Update 2014 and his claim. The constructive possession
doctrine provides that evidence that is âwithin the Secre-
taryâs controlâ and âcould reasonably be expected to be a
part of the record âbefore the Secretary and the Board,ââ is
constructively part of the administrative record. Bell, 2
Vet. App. at 613 (quoting 38 U.S.C. § 7252(b)); see Lang,
971 F.3d at 1353â55; 38 C.F.R. § 20.1403(b). However,
first in Monzingo, and again, here in Euzebio, the Veterans
Court has narrowed the constructive possession doctrine
such that for evidence to be âreasonably . . . expected to be
part of the record,â it must have a âspecific,â âdirect rela-
tionshipâ to the veteranâs claimâi.e., the document must
have been created specifically for the veteran. Monzingo,
26 Vet. App. at 102â03; 7 see Euzebio, 31 Vet. App. at 401
7 Monzingo was appealed to this court. Monzingo v.
Gibson, 566 F. Appâx 972, 973 (Fed. Cir. 2014). We did not,
however, reach the issue of constructive possession, as we
concluded that Mr. Monzingo âin effect . . . disagree[d] with
the Veterans Courtâs application of the law to the facts of
his caseâ and âdismiss[ed] for lack of jurisdiction.â Id.
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22 EUZEBIO v. MCDONOUGH
(summarizing the reasonable expectation element of the
constructive possession doctrine as requiring a veteran to
âshow that there is a direct relationship between the docu-
ment and his or her claimâ (emphasis omitted) (citing
Monzingo, 26 Vet. App. at 101â03)). This was error.
Requiring that evidence bear a âdirect relationshipâ or
be âspecific toâ the veteran for constructive possession is
without basis in relevant statute or regulation. Rather,
Monzingo derived its âdirect relationshipâ requirement
from a prior Veterans Court case, Goodwin v. West, 11 Vet.
App. 494, 495â96 (1998) (per curiam). Monzingo, 26 Vet.
App. at 102â03. Goodwin, however, only applied Bell to
conclude that certain documents generated by the VA for
âclaims for VA benefits for an individual other than the ap-
pellant and which were not submitted to [the] VA with re-
gard to the appellantâs claim, could not âreasonably be
expected to be a part of the record before the Secretary and
the Board.ââ Goodwin, 11 Vet. App. at 496 (quoting Bell, 2
Vet. App. at 613) (some internal quotation marks omitted).
This effort to formulate governing legal principles, unteth-
ered from statutory and regulatory standards, has led to
absurd results. See United States v. Turkette, 452 U.S. 576,
580 (1981) (â[A]bsurd results are to be avoided[.]â). The
âdirect relationshipâ standard may, for example, fail to en-
compass a report commissioned by Congress specifically to
assist the VA in understanding and evaluating the type of
claim at issue, see Agent Orange Act, 105 Stat. at 11 (en-
acted to âprovide for the Secretary . . . to obtain independ-
ent scientific review of the available scientific evidence
Here, the Government does not challenge our jurisdiction.
Appelleeâs Br. 13â14. Indeed, as noted above, we have ju-
risdiction to consider âwhether the Veterans Court applied
the correct legal standard.â Sneed, 737 F.3d at 724 (inter-
nal quotation marks, citation, and footnote omitted); see 38
U.S.C. § 7292(c).
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EUZEBIO v. MCDONOUGH 23
regardingâ Agent Orange), even where the Board had ac-
tual knowledge of the report and the report has been part
of the record in similar claims, see 38 U.S.C. § 5103A(a)(1)
(providing that the Secretary must âmake reasonable ef-
forts to assist a claimant in obtaining evidence necessary
to substantiate the claimantâs claimâ); H.R. REP. NO. 100-
963, at 13 (âCongress expects [the] VA to fully and sympa-
thetically develop the veteranâs claim to its optimum before
deciding it on the merits.â).
Here, it is undisputed that the NAS Update 2014 âwas
published in 2016, prior to the Board decision on appeal.â
Euzebio, 31 Vet. App. at 399. It is undisputed that the âVA
generally,â and the Board specifically, âknew of the exist-
ence of the [NAS Update 2014] at the time of the decision
on appeal.â Id. at 402; see J.A. 76 (The Purplebook) (dis-
cussing the use of NAS Reports, generally, and the NAS
Update 2014 specifically, in adjudicating Agent Orange
claims). The importance and relevance of the NAS Reports
to Agent Orange claims are well-known and well-estab-
lishedâthey are the result of decades of veteran engage-
ment, see, e.g., Nehmer I, 118 F.R.D. at 116; Nehmer II, 712
F. Supp. at 1408; Agent Orange I, 597 F. Supp. at 749;
Agent Orange II, 818 F.2d at 174, and of congressional in-
vestigation and legislation, see, e.g., Dioxin Act, 98 Stat.
2725; Agent Orange Act, 105 Stat. 11. The NAS Reports
exist, by congressional mandate, to give the VA necessary
âindependent scientific review of the available scientific ev-
idence regarding associations between diseases and expo-
sure to dioxin and other chemical compounds in
herbicides[.]â Agent Orange Act, 105 Stat. at 11; see Dioxin
Act § 3 (explaining that, with the Dioxin Act, Congress
sought âto ensure that [VA] disability compensation [wa]s
provided to veterans who were exposedâ to Agent Orange
âbased on sound scientific and medical evidenceâ); H.R.
REP. NO. 98-592, at 21 (explaining that the Dioxin Act re-
sulted from Congressâs âconcern about the decision making
process within the [VA] with respect to Agent Orange
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24 EUZEBIO v. MCDONOUGH
compensation,â and, specifically, to the absence of âstand-
ards or guidelines available by which the [VA] justifie[d] its
position that no illness, except chloracne, result[ed] from
Agent Orange exposureâ); S. REP. NO. 101-82, at 42 (ex-
plaining that the Agent Orange Act was necessary to revise
the Dioxin Act because, inter alia, Congress had âa strong
sense that what [wa]s needed at th[at] point [wa]s a review,
by an entity completely independent of [the] VA, that will
yield unified compilation and analysis of the results from
the various scientific studiesâ about Agent Orange expo-
sure). A constructive possession doctrine that allows an
administrative judge to âignore [an NAS Report] she knows
existsâ and knows âcontains important . . . information,â
cannot âpossibly be the outcome of a rational system of ad-
judication, especially one designed to be pro-veteran and
non-adversarial.â Euzebio, 31 Vet. App. at 408â09 (Allen,
J., dissenting).
The correct standard for constructive possession, as ar-
ticulated in Bell and later Lang, and as applied throughout
veterans benefit law, is relevance and reasonableness.
Lang, 971 F.3d at 1353; Bell, 2 Vet. App. at 612â13; see
Golz v. Shinseki, 590 F.3d 1317, 1323 (Fed. Cir. 2010) (âThe
relevancy limitation allows [the] VA to focus its efforts on
obtaining documents that have a reasonable possibility of
assisting claimants in substantiating their claims for ben-
efits.â). This is not to say that any and every treatise, text,
or medical record must now be part of the administrative
record. See, e.g., AZ v. Shinseki, 731 F.3d 1303, 1311 (Fed.
Cir. 2013) (explaining that â[e]vidence that is insufficiently
probativeâ is not ârelevantâ). Rather, where the Board has
constructive or actual knowledge of evidence that is ârele-
vant and reasonably connectedâ to the veteranâs claim, but
nonetheless fails to consider that evidence, Lang, 971 F.3d
at 1354; see AZ, 731 F.3d at 1311 (explaining that, to be
ârelevant,â evidence âmust tend to prove or disprove a ma-
terial factâ), the Veterans Court must ensure that Board
and VA decisions are not âarbitrary, capricious, an abuse
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EUZEBIO v. MCDONOUGH 25
of discretion, or otherwise not in accordance with law,â 38
U.S.C. § 7261(a)(3)(A), and remand for further considera-
tion or explanation where appropriate, see id. § 7252(a) (ex-
plaining that the Veterans Court has the âpower to . . .
reverse a decision of the Board or to remand the matter, as
appropriateâ).
That constructive possession requires relevance and
not a direct relationship makes sense in light of the VAâs
âstatutory duty to assist veterans in developing the evi-
dence necessary to substantiate their claims.â Henderson,
562 U.S. at 431â32; see 38 U.S.C. § 5103A(a)(1) (âThe Sec-
retary shall make reasonable efforts to assist a claimant in
obtaining evidence necessary to substantiate the claim-
antâs claim[.]â); 8 38 C.F.R. § 3.159(c) (articulating the VAâs
duty to assist as the âVA will make reasonable efforts to
help a claimant obtain evidence necessary to substantiate
the claimâ). We have recognized that âCongress has explic-
itly defined the VAâs duty to assist a veteran with the fac-
tual development of a benefit claim in terms of relevance.â
McGee v. Peake, 511 F.3d 1352, 1357 (Fed. Cir. 2008).
Where the VA has breached this duty by omitting from the
record documents within its control that could reasonably
be expected to be part of the veteranâs claim, the construc-
tive possession doctrine provides a remedy.
8 While 38 U.S.C. § 5103A was enacted after Bell, see
Veterans Claims Assistance Act of 2000, Pub. L. 106â475,
114 Stat. 2096 (2000) (enacting 38 U.S.C. § 5103A); Bell, 2
Vet. App. at 611 (issued July 21, 1992), the VA has had a
âduty to assistâ since the 1972 promulgation of 38 C.F.R.
§ 3.103(a), see 38 C.F.R. § 3.103(a) (1972) (providing for the
âobligation of [the] VA to assist a claimant in developing
the facts pertinent to the claimâ); Due Process and Appel-
late Rights, 37 Fed. Reg. 14,780, 14,780â81 (July 25, 1972)
(promulgating 38 C.F.R. § 3.103(a) (1972)).
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26 EUZEBIO v. MCDONOUGH
The Veterans Court concluded that â[t]o holdâ that the
NAS Update 2014 was âconstructively part of the record
before the Boardâ would âundermine the [Veterans] Courtâs
jurisdictional obligation to base its review on the record of
proceedings before the Board[.]â Euzebio, 31 Vet. App. at
402; see id. at 400 (citing Kyhn v. Shinseki, 716 F.3d 572,
576â78 (Fed. Cir. 2013) for the proposition that the Veter-
ans Court âcontravenes the jurisdictional requirements of
[38 U.S.C. §] 7252(b) by considering extra[-]record evi-
denceâ). Similarly, the Government argues, for the first
time on appeal, that â[t]he constructive possession doctrine
is contrary to the clear meaning of 38 U.S.C. § 7252(b) be-
cause it construes âthe record of proceedings before the Sec-
retary and Boardâ to include documents that were not
before VA adjudicators[.]â Appelleeâs Br. 34; see id. at 34
n.15 (conceding this argument âwas not presented to the
Veterans Courtâ). Both are incorrect.
First, 38 U.S.C. § 7252(b) provides that â[r]eview in the
[Veterans] Court shall be on the record of proceedings be-
fore the Secretary and the Board.â Review on the adminis-
trative record, âthe so-called ârecord rule,ââ is a common,
well-established limitation placed on judicial review of
agency decisions. Home Prod., 633 F.3d at 1379 (citing, in-
ter alia, Fla. Power, 470 U.S. at 743); see, e.g., Camp v.
Pitts, 411 U.S. 138, 142 (1973) (â[T]he focal point for judi-
cial review should be the administrative record already in
existence, not some new record made initially in the re-
viewing court.â). The record rule, however, âis not without
exceptions.â Home Prod., 633 F.3d at 1379. The record
ruleâs âpurpose . . . is to guard against courts using new ev-
idence to convert the arbitrary and capricious standard
into effectively de novo reviewâânot to âpreclude[] effective
judicial reviewâ entirely. Axiom Res. Mgmt., Inc. v. United
States, 564 F.3d 1374, 1380 (Fed. Cir. 2009) (internal quo-
tation marks and citation omitted). Where, for example,
the administrative record is âinsufficient to permit mean-
ingful judicial review,â the reviewing court may consider
Case: 20-1072 Document: 62 Page: 27 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 27
âextra-record evidence.â Id. at 1381 (internal quotation
marks and citation omitted); cf. 38 U.S.C. § 7111(a) (provid-
ing for the â[r]evisionâ of Board decisions based on âevi-
denceâ of âclear and unmistakable errorâ). Similarly, âa
reviewing court is not precluded under [the record rule]
from considering events [that] occurred between the date
of an agency . . . decision and the date of decision on ap-
peal.â Borlem S.A.-Empreedimentos Industriais v. United
States, 913 F.2d 933, 939 (Fed. Cir. 1990); accord Home
Prod., 633 F.3d at 1380; cf. 38 U.S.C. § 5108(a) (instructing
the Secretary to âreadjudicate [a supplemental] claimâ
where ânew and relevant evidence is presented or se-
curedâ).
In reviewing Board and VA determinations, the Veter-
ans Court âdecide[s] all relevant questions of law,â 38
U.S.C. § 7261(a)(1), and âhold[s] unlawful and set[s] aside
any [Board or VA] decisionsâ not in âaccordance with law,â
id. § 7261(a)(3)(A). The Veterans Court must also review
Board and VA determinations for âabuse of discretionâ and
âarbitrary [and] capriciousâ decision making, id., including
whether the Board or VA: âentirely failed to consider an
important aspect of the problem,â Motor Vehicle Mfrs. Assân
of U.S., Inc. v. State Farm Mut. Auto. Ins. Co., 463 U.S. 29,
43 (1983); âapplie[d] different standards to similarly situ-
ated [individuals] and fail[ed] to support this disparate
treatment with a reasoned explanation and substantial ev-
idence,â Burlington N. & Santa Fe Ry. Co. v. Surface
Transp. Bd., 403 F.3d 771, 777 (D.C. Cir. 2005); or, failed
to âarticulate a ârational connection between the facts found
and the choice made,ââ Bowman Transp., Inc. v. Arkansas-
Best Freight Sys., Inc., 419 U.S. 281, 285 (1974) (quoting
Burlington Truck Lines v. United States, 371 U.S. 156, 168
(1962)). Last, the Veterans Court may reverse âa finding
of material fact adverse to the claimant . . . if the finding is
clearly erroneous.â 38 U.S.C. § 7261(a)(4); see United
States v. U.S. Gypsum Co., 333 U.S. 364, 395 (1948) (âA
finding is âclearly erroneousâ when although there is
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28 EUZEBIO v. MCDONOUGH
evidence to support it, the reviewing court on the entire ev-
idence is left with the definite and firm conviction that a
mistake has been committed.â).
That is, while the Veterans Court must review Board
and VA decisions on the ârecord of proceedings,â 38 U.S.C.
§ 7252(b), that does not obviate its appellate role to, in fact,
âreviewâ those decisions, Axiom, 564 F.3d at 1380; see Bor-
lem, 913 F.2d at 937 (â[D]eference does not require relin-
quishment of responsibility.â). Where âthe record before
the agency does not support the agency action, if the agency
has not considered all relevant factors, or if the [Veterans]
[C]ourt simply cannot evaluate the challenged agency ac-
tion on the basis of the record before it,â remand to the
Board for âadditional investigation or explanationâ is ap-
propriate. Fla. Power, 470 U.S. at 744; see 38 U.S.C.
§ 7252(a) (explaining that the Veterans Court has the
âpower to . . . reverse a decision of the Board or to remand
the matter, as appropriateâ). Congress created the Veter-
ans Court for this express purpose. See Barrett v. Nichol-
son, 466 F.3d 1038, 1044 (Fed. Cir. 2006) (â[I]t was for the
purpose of ensuring that veterans were treated fairly by
the government and to see that all veterans entitled to ben-
efits received them that Congress provided for judicial re-
view through the Veteransâ Judicial Review Act[.]â).
Second, the Veterans Court misreads our decision in
Kyhn as precluding all consideration of âextra[-]record evi-
denceâ in the course of its review of Board decisions.
Euzebio, 31 Vet. App. at 400 (citing Kyhn, 716 F.3d at 576â
78). In Kyhn, we explained the Veterans Court may not
ârel[y] upon extra-record evidence to make a finding of fact
in the first instance[.]â Kyhn, 716 F.3d at 578; id. at 575â
78 (concluding that the Veterans Court had improperly
considered affidavits proffered by the VA that had been cre-
ated specifically for the record on appeal and were âeviden-
tiary in natureâ (citation omitted)). Indeed, â[i]n no event
shall findings of fact made by the Secretary or the
Board . . . be subject to trial de novo by the [Veterans]
Case: 20-1072 Document: 62 Page: 29 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 29
Court.â 38 U.S.C. § 7261(c); see Andre v. Principi, 301 F.3d
1354, 1362 (Fed. Cir. 2002) (explaining that 38 U.S.C.
§ 7261(c) âprohibits the Veterans Court from making fac-
tual findings in the first instanceâ); Hensley v. West, 212
F.3d 1255, 1263 (Fed. Cir. 2000) (âThe statutory provisions
are consistent with the general rule that appellate tribu-
nals are not appropriate fora for initial fact finding.â). This
does not, however, preclude the Veterans Court from tak-
ing judicial notice of extra-record evidence that is âgener-
ally knownâ or âfrom sources whose accuracy cannot
reasonably be questioned,â Kyhn, 716 F.3d at 576 (quoting
FED. R. EVID. 201), or in accordance with and in further-
ance of its review of Board and VA decisions, see 38 U.S.C.
§ 7261 (providing the â[s]cope of reviewâ of the Veterans
Court over Board and VA decisions); Home Prod., 633 F.3d
at 1379, and, where appropriate, remanding to the VA âfor
additional investigation or explanation,â Fla. Power, 470
U.S. at 744. 9
The Governmentâs other counterarguments are also
unpersuasive. First, the Government argues that the
9 The Veterans Court similarly concluded that it
âlack[ed] jurisdiction to considerâ âdocuments that post-
date the Boardâs decision, such as The Purplebook . . . to
demonstrate that [the] VA and the Board were aware of the
[NAS Update 2014.]â Euzebio, 31 Vet. App. at 402 n.3.
This is incorrect. The Veterans Court may take judicial
notice of agency manuals, such as The Purplebook, that
post-date a decision by the Board. See FED. R. EVID. 201
(providing for âjudicial notice of adjudicative factsâ (capi-
talization normalized)); Kyhn, 716 F.3d at 576 n.5 (noting
the applicability of FED. R. EVID. 201 to the Veterans
Court); Smith v. Derwinski, 1 Vet. App. 235, 238 (1991)
(â[The Veterans] Court[] may take judicial notice of facts
not subject to reasonable dispute.â (emphasis omitted) (cit-
ing FED. R. EVID. 201)).
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30 EUZEBIO v. MCDONOUGH
Veterans Courtâs current âdirect-relationship testâ for con-
structive possession âis not inconsistent with [the applica-
ble] statute[.]â Appellantâs Br. 43 (capitalization
normalized). The Government asserts that âdirect rela-
tionshipâ and ârelevanceâ are more or less the same stand-
ard. Id. at 39 (arguing that the direct relationship
âstandard is akin to requiring that the document must be
relevant to the claim at issueâ). This is facially incorrect.
The âdirect relationshipâ standard as articulated in
Euzebio requires that the evidence be âspecific toâ the vet-
eran. Euzebio, 31 Vet. App. at 401; see id. (explaining that,
under the direct relationship standard, âeven if the docu-
ment was generated for and received by [the] VA under a
statutory mandateâ such as NAS Reports, â[t]he document
must bear a closer relationship to the [veteran] beyond
providing general information related to the type of disa-
bility on appealâ). That is not a relevance standard. Rele-
vance requires that the document tend to prove or disprove
a material fact. AZ, 731 F.3d at 1311 (explaining that, to
be ârelevant,â evidence âmust tend to prove or disprove a
material factâ); cf. FED. R. EVID. 401 (defining â[r]elevant
[e]videnceâ as âhav[ing] any tendency to make a fact more
or less probable than it would be without the evidenceâ and
that âfact is of consequence in determining the actionâ).
Second, the Government argues that even if the Veter-
ans Court were to conclude the Board had constructive pos-
session of ârelevantâ evidence, the NAS Update 2014 is not
relevant to Mr. Euzebioâs claim. Appellantâs Br. 43â44.
This argument is misplaced. It asks us to apply law to
factsâthat is not our role here. See 38 U.S.C. § 7292(d)(2);
see also Wanless v. Shinseki, 618 F.3d 1333, 1336 (Fed.
Cir. 2010) (explaining that â[a]bsent a constitutional is-
sue . . . we lack the jurisdiction to âreviewââ either ââa chal-
lenge to a factual determination, or . . . a challenge to a law
or regulation as applied to the facts of a particular caseââ
(quoting 38 U.S.C. § 7292(d)(2))). Whether, under the cor-
rect legal standard, the Board had constructive possession
Case: 20-1072 Document: 62 Page: 31 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 31
of the NAS Update 2014 is a question for the Veterans
Court; whether the NAS Update 2014 is sufficient to satisfy
McLendon is a question for the Board. Lang, 971 F.3d at
1355; see Fla. Power, 470 U.S. at 744; Deloach v. Shinseki,
704 F.3d 1370, 1380 (Fed. Cir. 2013) (â[T]he evaluation and
weighing of evidence are factual determinations committed
to the discretion of the factfinderâin this case, the
Board.â). 10
Third, the Government argues that âa reduced stand-
ardââanything less than a direct relationship for
10 The Government similarly argues that, because the
VA and Board were not ârequiredâ under statute or regula-
tion to âconsider[] NAS [R]eports when adjudicating indi-
vidual claims,â Appelleeâs Br. 26, we should âreject
Mr. Euzebioâs argument that NAS [R]eports were intended
to be used in adjudicating individual claims,â id. at 30; see
generally 38 U.S.C. § 1116 (providing for the use of NAS
Reports in creating âpresumptions of service connection for
diseases associated with exposure to certain herbicide
agents,â without reference to adjudication of individual
claims). The Governmentâs argument is, however, misdi-
rected. Under the constructive possession doctrine, the is-
sue is not whether 38 U.S.C. § 1116 or related regulations
mandate the consideration of NAS Reports specifically as
evidence in the adjudication of individual claims, but ra-
ther whether the NAS Reports are relevant evidence in the
adjudication of individual claims. Lang, 971 F.3d at 1353â
55; Bell, 2 Vet. App. at 612â13; see 38 U.S.C. §§ 5103A(a)(1)
(âThe Secretary shall make reasonable efforts to assist a
claimant in obtaining evidence necessary to substantiate
the claimantâs claim for a benefit under a law administered
by the Secretary.â), 5107(b) (providing that the VA âshall
consider all information and lay and medical evidence of
record in a case before the Secretary with respect to bene-
fits under laws administered by the Secretaryâ).
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32 EUZEBIO v. MCDONOUGH
constructive possessionâis an âunworkable standardâ that
would âplace an impossible burden on the [B]oard and the
Secretary.â Appellantâs Br. 40. The Government warns
that, if required to consider, for example, the NAS Reports
for individual claimants, â[VA] [a]djudicators would be
asked to evaluate and draw a conclusion on the impact that
this aggregate characterization of evidence has on an indi-
vidual case.â Id. at 32. As an initial matter, it is unclear
what the Government believes VA adjudicators are meant
to do if not evaluate and draw conclusions from record evi-
dence to discern its impact on individual cases. See 38
U.S.C. §§ 5107(b), 7104(a), 7252(b); 38 C.F.R. §§ 3.102,
3.159, 3.303. Indeed, contrary to the Governmentâs argu-
ment, the VA already instructs its adjudicators to consider
NAS Reports in some individual claims, even where the
âVA has not conceded a relationshipâ between herbicide ex-
posure and the claimed medical condition. J.A. 76; see J.A.
75â76 (The Purplebook) (explaining that âsuggestive evi-
dence of an associationâ between a medical condition and
âexposure to herbicide agentsâ as discussed in NAS Reports
may âbe sufficient to establish an âindicationâ that the cur-
rent disability âmay be relatedâ to herbicide agent exposure
during service, as contemplated by 38 U.S.C.
§ 5103[A](d)(2)(b),â even if the VA has not âconceded a re-
lationshipâ). Further, the Veterans Court already remands
to the Board for consideration of NAS Reports in individual
claims without presumptive service connection, both on the
Secretaryâs concession and sua sponte. See, e.g., Rodriguez
v. Wilkie, No. 18-3991, 2019 WL 6120504, at *3 (Vet. App.
Nov. 19, 2019) (noting that the âSecretary concede[d] [that]
the Board failed to provide an adequate statement of rea-
sons or bases for concluding that appellantâs hypertension
is not service connected,â because, inter alia, âthe Board
failed to . . . analyze how the [NAS Update 2012] affects ap-
pellantâs hypertension claim,â then âaccept[ing] the Secre-
taryâs concessionsâ and remanding âto address these
deficienciesâ); Reas v. OâRourke, No. 17-1271, 2018 WL
3699968, at *3 (Vet. App. July 26, 2018) (taking judicial
Case: 20-1072 Document: 62 Page: 33 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 33
notice of the NAS Update 2014 to demonstrate that the
â[VA medical] examinerâs opinion [wa]s incompleteâ and re-
manding); Clark v. Shinseki, No. 12-2667, 2013 WL
6729512, at *2 (Vet. App. Dec. 20, 2013) (concluding that,
while the NAS Update 2010 was not in the administrative
record, âthe language at issue [wa]s published in the Fed-
eral Registerâ and therefore âbefore the Board when the
Boardâs decision was made,â noting that the NAS Update
2010 âmay indicate an association between Agent Orange
and hypertension, warranting an examination,â and re-
manding to âthe Board to consider this matter in the first
instanceâ). This suggests that consideration of NAS Re-
ports would not be âunworkableâ or âimpossibleâ for VA ad-
judicators. 11
The Governmentâs argument neglects that relevance
and reasonableness are the pervasive, well-established
standard that the VA is required to apply and has applied
for decades. See Lang, 971 F.3d at 1353â55; Bell, 2 Vet.
App. at 612â13; 38 C.F.R. § 20.1403(b)(2) (codifying the
Bell rule for âBoard decisions on legacy appealsâ on claims
11 Further, the Governmentâs corollary to its argu-
ment, that â[r]equiring [NAS Reports] to be discussed or to
be the basis of an exam in all individual claims for a condi-
tion that has been evaluated in a[n] NAS report would . . .
put VA adjudicators and examiners in an extremely chal-
lenging position,â Appelleeâs Br. 32, conflates the construc-
tive possession of evidence, Lang, 971 F.3d at 1353; Bell, 2
Vet. App. at 612, with the evaluation of that evidence, see
38 U.S.C. § 5103A(d)(2)(B); McLendon, 20 Vet. App. at 81.
The constructive possession doctrine does not compel a spe-
cific result, only that the VA and the Board fulfill its stat-
utory duty to gather and weigh all relevant evidence in
reaching its determination. See 38 U.S.C. §§ 5107(b),
7104(a); 38 C.F.R. § 3.303; see also Barrett, 466 F.3d
at 1044.
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34 EUZEBIO v. MCDONOUGH
that pre-date Bell as providing that the Board has con-
structive possession of ârelevant documents possessed by
the [VA] . . . provided that the documents could reasonably
be expected to be part of the recordâ); see also Blount v.
West, 11 Vet. App. 32, 33 (1998) (considering ârelevantâ ev-
idence under Bell); Bowey v. West, 11 Vet. App. 106, 109
(1998) (framing Bellâs requirement that the evidence be
âreasonably expected to be a part of the recordâ as a ques-
tion of whether it is âreasonable to expect the [VA] or the
Board to have investigated, gathered, and consideredâ that
evidence and rejecting evidence that was âtoo tenuousâ to
be relevant); Simington v. Brown, 9 Vet. App. 334, 335
(1996) (concluding that âthe disputed items . . . are rele-
vant and should be included in the [record] if they were in
the Secretaryâs âcontrolâ so as to charge him with either ac-
tual or constructive knowledgeâ).
The Governmentâs argument also ignores âthe im-
portance of systemic fairness and the appearance of fair-
nessâ âin the context of veteransâ benefits,â including in the
development of all necessary evidence. Hodge v. West, 155
F.3d 1356, 1363 (Fed. Cir. 1998); see 38 U.S.C.
§ 5103A(a)(1); 38 C.F.R. § 3.159(c). The veteransâ benefits
system is âuniquely pro-claimant.â Sullivan v. McDonald,
815 F.3d 786, 791 (Fed. Cir. 2016). It is ânot meant to be a
trap for the unwary, or a stratagem to deny compensation
to a veteran who has a valid claim[.]â Comer v. Peake, 552
F.3d 1362, 1369 (Fed. Cir. 2009); see Barrett, 466 F.3d at
1044 (âThe governmentâs interest in veterans cases is not
that it shall win, but rather that justice shall be done, that
all veterans so entitled receive the benefits due to them.â).
Accordingly, in requiring a âdirect relationshipâ between
the NAS Update 2014 and Mr. Euzebioâs claim, rather than
relevance to his claim, the Veterans Court applied a legally
erroneous standard.
Case: 20-1072 Document: 62 Page: 35 Filed: 03/03/2021
EUZEBIO v. MCDONOUGH 35
CONCLUSION
We have considered the Governmentâs remaining argu-
ments and find them unpersuasive. The Judgment of the
U.S. Court of Appeals for Veterans Claims is
VACATED AND REMANDED
COSTS
Costs to Mr. Euzebio.