You'll have to play with this. Having trouble mocking your schema on sqlfiddle.
Select bar.*
from
(
SELECT *
FROM vwuser AS a
CROSS APPLY fnuserrank(a.userid)
where rank != 'TERM'
) foo
left join
(
SELECT *
FROM vwuser AS b
CROSS APPLY fnuserrank(b.userid)
where rank != 'TERM'
) bar
on foo.empId = bar.empId
and foo.MonitorDate > bar.MonitorDate
where bar.empid is null
I always need to test out left outers on dates being higher. The way it works is you do a left outer. Every row EXCEPT one per user has row(s) with a higher monitor date. That one row is the one you want. I usually use an example from my code, but i'm on the wrong laptop. to get it working you can select foo., bar. and look at the results and spot the row you want and make the condition correct.
You could also do this, which is easier to remember
SELECT *
FROM vwuser AS a
CROSS APPLY fnuserrank(a.userid)
) foo
join
(
select empid, max(monitordate) maxdate
FROM vwuser AS b
CROSS APPLY fnuserrank(b.userid)
where rank != 'TERM'
) bar
on foo.empid = bar.empid
and foo.monitordate = bar.maxdate
I usually prefer to use set based logic over aggregate functions, but whatever works. You can tweak it also by caching the results of your TVF join into a table variable.
EDIT:
http://www.sqlfiddle.com/#!3/613e4/17 - I mocked up your TVF here. Apparently sqlfiddle didn't like "go".
select foo.*, bar.*
from
(
SELECT f.*
FROM vwuser AS a
join fnuserrank f
on a.empid = f.empid
where rank != 'TERM'
) foo
left join
(
SELECT f1.empid [barempid], f1.monitordate [barmonitordate]
FROM vwuser AS b
join fnuserrank f1
on b.empid = f1.empid
where rank != 'TERM'
) bar
on foo.empId = bar.barempid
and foo.MonitorDate > bar.barmonitordate
where bar.barempid is null