Hernandez v. Commissioner of Social Security
- Gabriel Gorenstein
- 1:20-cv-07957
- U.S. District Court · Southern District of New York
- 5
In Hernandez v. Commissioner, Judge Gorenstein granted counsel’s $20,109 fee request and ordered return of the $7,500 EAJA award.
Hernandez’s counsel receives the approved $20,109 fee from the withheld past-due benefits but must return the $7,500 Equal Access to Justice Act award to Hernandez.
What happened
Esperanza Hernandez sued after an administrative judge initially denied her disability benefits claim. The case was sent back to the agency, which then found Hernandez disabled and awarded past-due benefits. The Commissioner withheld $20,109, equal to 25% of those benefits, for attorney fees.
Hernandez’s counsel asked the court to approve that amount under the Social Security fee statute. The court considered the quality and results of the representation, whether counsel delayed the case, and whether the fee would be an improper windfall. It found that the requested fee was reasonable and that there was no evidence of unreasonable delay.
Judge Gabriel W. Gorenstein granted counsel’s motion for $20,109. Because counsel had also received a $7,500 award under the Equal Access to Justice Act, the court ordered counsel to return that $7,500 to Hernandez.
The detailed version
- Hernandez v. Commissioner of Social Security · No. 1:20-cv-07957
- Gabriel Gorenstein
- Sept. 8, 2025
Background
The Social Security Administration initially denied Esperanza Hernandez’s application for a period of disability and disability insurance benefits after a hearing before an Administrative Law Judge. Hernandez filed this federal lawsuit and moved for judgment on the pleadings, meaning she asked the court to decide the case based on the parties’ written submissions. The parties then agreed to send the matter back to the agency.
After the remand, the Commissioner found Hernandez disabled and awarded past-due benefits. The Commissioner withheld $20,109, or 25% of the total past-due benefits, for payment of Hernandez’s attorney fees. Hernandez’s counsel sought that amount under 42 U.S.C. § 406(b), which permits a court to approve a reasonable attorney fee from past-due Social Security benefits, subject to a 25% limit. The government took no position on the request.
The court had previously awarded counsel $7,500 under the Equal Access to Justice Act, a federal law that permits certain attorney-fee awards against the government. Counsel stated that he would return the smaller of the two fee awards to Hernandez.
Reasonableness of the Requested Fee
The court evaluated whether the requested contingency fee was reasonable. It considered the quality and results of the representation, whether counsel unreasonably delayed the proceedings to increase the potential fee, and whether the benefits were large compared with the time counsel spent on the case.
The court found that the first two factors supported the request. Counsel had submitted a detailed memorandum supporting Hernandez’s motion, and that work helped obtain the remand that ultimately led to an award of benefits. The court found no evidence that counsel delayed the proceedings to increase the fee.
Counsel’s time records showed a combined 35.6 hours spent on the federal court proceeding, producing a de facto hourly rate of $564.86 for the requested $20,109 fee. The court explained, however, that the hourly rate alone did not resolve whether the fee was a windfall. It also considered counsel’s ability and expertise, the professional relationship with Hernandez, the favorable agency decision and lack of any stated objection by Hernandez, and the uncertainty and effort involved in obtaining benefits.
The court found that these considerations supported the full requested fee. It noted counsel’s experience representing Social Security claimants, the efficiency and quality of the work, counsel’s representation throughout the federal litigation, and the favorable result. The court therefore concluded that the requested fee did not warrant a reduction.
Ruling
Judge Gabriel W. Gorenstein granted counsel’s motion for an award of $20,109. The court ordered counsel to return the previously received $7,500 Equal Access to Justice Act award to Hernandez.
Read the full 5-page opinion on CourtListener, the free public archive maintained by the Free Law Project.