Regan v. Berryhill

Background

In an earlier order, Judge Elizabeth Laporte granted Julie Emma Regan’s motion for summary judgment, reversed the administrative law judge’s determination, and remanded the matter for further proceedings. The Social Security Administration later awarded Regan $94,397 in past-due benefits. Regan and her attorney had also received $7,250 under the Equal Access to Justice Act (EAJA).

Regan’s attorney then moved for fees under 42 U.S.C. § 406(b)(1). That provision allows a court to approve a reasonable fee, paid from the successful claimant’s past-due benefits, when the claimant was represented by an attorney in court. The statute limits the fee to 25% of the past-due benefits attributable to the favorable judgment.

Court’s Analysis

The court explained that it first examines the contingent-fee agreement and then tests the requested fee for reasonableness. Regan and her attorney had agreed to a contingent fee equal to 25% of the past-due benefits awarded to Regan and her family if she prevailed. The court found that amount allowable under Section 406(b)(1)(A).

The court found the fee reasonable because of the result achieved: the successful summary-judgment motion, reversal of the administrative law judge’s decision, remand for further proceedings, and resulting award of more than $90,000 in past-due benefits. The Commissioner did not dispute the reasonableness of the requested fee. The court found no basis to reduce it.

Ruling

Judge Robert M. Illman granted Regan’s motion for attorney fees under 42 U.S.C. § 406(b)(1) in the amount of $22,490.25. Because the parties agreed that the EAJA fees had to be accounted for, the court directed Regan’s attorney to refund the previously awarded $7,250 to Regan.