Ruth H. S. v. Frank Bisignano

Summary

The court addressed counsel’s motion for attorney’s fees under 42 U.S.C. § 406(b) following remand of a Social Security disability-benefits action and the subsequent award of past-due benefits. The court reduced the requested fee from $40,768.00 to $16,500.00 to prevent a windfall and directed counsel to remit the previously awarded $3,000.00 EAJA fee to the plaintiff.

Holdings

1. A fee agreement providing for 25% of past-due benefits does not automatically establish that the requested fee is reasonable; the court must independently review the award and reduce it when necessary to prevent a windfall.
2. Counsel is entitled to $16,500 in § 406(b) attorney's fees rather than the requested $40,768.
3. After receiving the § 406(b) award, counsel must remit the previously awarded $3,000 EAJA fee directly to Plaintiff.

Questions Presented

1. Whether counsel's requested fee of $40,768, representing 25% of Plaintiff's past-due benefits under 42 U.S.C. § 406(b), was reasonable.
2. Whether the requested fee would constitute an impermissible windfall in light of the hours worked, counsel's regular hourly rate, the size of the benefits award, and the contingent nature of the representation.
3. Whether counsel was required to refund the previously awarded EAJA fee to Plaintiff.

Disposition

other