Kane v. Berryhill

Background

Michael Scott Kane brought an action seeking review of a final decision by the Commissioner of Social Security. The court had previously granted Kane’s motion for summary judgment and remanded the case for an immediate award of benefits. The Commissioner then granted Kane’s application, resulting in $46,379.68 in retroactive benefits.

Kane’s counsel, John Metsker, filed a motion under 42 U.S.C. § 1383(d)(2)(B) for attorney’s fees. The contingent-fee agreement allowed counsel to seek 25 percent of past-due benefits for work performed before the courts. Twenty-five percent of $46,379.68 was $11,594.92.

The parties had also stipulated to $5,500 in fees and costs under the Equal Access to Justice Act, and counsel had received that amount. The Commissioner filed a response taking no position on whether the requested fee was reasonable.

Court’s analysis

The court examined the contingent-fee agreement and then considered whether the requested amount was reasonable. It found that counsel achieved a good result by obtaining a remand for immediate payment of benefits. The court also found no undue delay or substandard performance requiring a reduction. The case was resolved in less than a year, and the requested amount was within the statutory 25-percent limit and not disproportionate to the 28.3 hours counsel spent on the case.

The court also explained that the fee awarded under the Social Security statute had to be reduced by the $5,500 previously awarded under the Equal Access to Justice Act. This offset prevented counsel from receiving a double recovery.

Ruling

Judge Kandis A. Westmore granted the motion. The court awarded $11,594.92 in fees, less the $5,500 Equal Access to Justice Act payment, for a total award of $6,094.92.