Wang v. Kijakazi
- Beth Freeman
- 5:21-cv-04318
- U.S. District Court · Northern District of California
- 4
In Shipping Wang v. Kijakazi, Judge Beth Labson Freeman granted counsel $12,530 in Social Security fees and ordered an $8,900 refund to Wang.
Shipping Wang receives an $8,900 refund from counsel, while counsel may receive the approved $12,530 § 406(b) fee from the withheld past-due benefits; the government is not ordered to pay the § 406(b) fee.
What happened
Shipping Wang v. Kijakazi concerned counsel’s request for fees after Wang successfully challenged the denial of her Disability Insurance Benefits and obtained benefits after the case was sent back for further proceedings. Her past-due benefits totaled $58,120, and the fee agreement allowed up to 25% of that amount.
The court found the requested $12,530 reasonable. It considered counsel’s 42 hours of work, found no inadequate performance or improper delay, and noted that the requested fee was less than 25% of Wang’s past-due benefits.
Judge Beth Labson Freeman granted the fee motion for $12,530 and ordered that Wang be refunded the $8,900 in fees previously awarded under a separate fee law.
The detailed version
- Wang v. Kijakazi · No. 5:21-cv-04318
- Beth Freeman
- Jan. 9, 2024
Background
Shipping Wang sued for review of the denial of her application for Disability Insurance Benefits. The court approved the parties’ agreement to send the case back for further proceedings. On remand, Wang received a favorable decision and was awarded $58,120 in past-due benefits.
Wang’s counsel moved for attorney’s fees under 42 U.S.C. § 406(b). A written contingent-fee agreement provided for a fee of up to 25% of past-due benefits. The Social Security Administration withheld $14,530, representing 25% of the past-due benefits. Counsel requested a gross fee of $12,530, which would result in a net fee of $3,630 after refunding Wang’s previously awarded $8,900 in fees under the Equal Access to Justice Act (EAJA).
Court’s analysis
Section 406(b) allows a court to award a reasonable fee for an attorney’s representation in a successful Social Security case, subject to a limit of 25% of the claimant’s past-due benefits. The court must independently review a contingent-fee agreement and reduce the requested fee if the representation was inadequate, the attorney caused delay, or the fee would be an improper windfall.
The court found no evidence that counsel’s performance was inadequate or that counsel delayed the proceedings to increase the fee. Wang had received one extension to file a summary-judgment motion, but the court found the extension justified by the case’s complexity and counsel’s family and COVID-19-related circumstances. The requested $12,530 for 42 hours of work produced an effective hourly rate of $298, which the court found reasonable in light of other approved fees in Social Security cases. The government responded to the motion but did not object to the requested award.
Because Wang had also received $8,900 under the EAJA, the court applied the required offset: counsel had to refund the smaller EAJA fee to Wang.
Ruling
Judge Beth Labson Freeman granted counsel’s motion for attorney’s fees under § 406(b) in the amount of $12,530. The court also ordered that Wang be refunded the $8,900 in EAJA fees previously awarded.
Read the full 4-page opinion on CourtListener, the free public archive maintained by the Free Law Project.