L.G. v. Berryhill
- Joseph Spero
- 3:18-cv-03492
- U.S. District Court · Northern District of California
- 4
In L.G. v. O’Malley, Judge Spero granted counsel’s fee motion and awarded $24,899.92 under Social Security law.
L.G. receives the previously awarded $5,400 in Equal Access to Justice Act fees, while Joshua B. Kons receives $24,899.92 in court-approved fees from L.G.’s past-due benefits.
What happened
In L.G. v. Martin J. O’Malley, L.G. received $99,599.70 in past-due benefits after the court reversed the Commissioner’s decision and sent the case back for further proceedings. L.G.’s lawyer, Joshua B. Kons, had a contingency-fee agreement providing for 25 percent of those benefits.
Kons asked for $24,899.92 in fees for work before the court, based on 21.7 hours of work. The court found the request reasonable, noting the valid agreement, reasonable time records, lack of evidence of poor work, and the successful result. The court also addressed the previously awarded $5,400 in Equal Access to Justice Act fees.
Judge Joseph C. Spero granted the motion and awarded Kons $24,899.92 under 42 U.S.C. § 406(b). The court ordered that the previously awarded $5,400 in Equal Access to Justice Act fees be paid to L.G.
The detailed version
- L.G. v. Berryhill · No. 3:18-cv-03492
- Joseph Spero
- June 13, 2024
Background
L.G.’s counsel, Joshua B. Kons, represented L.G. under a contingency-fee agreement. The agreement provided that counsel would receive 25 percent of any past-due benefits L.G. received as a result of the case.
The parties previously filed cross-motions for summary judgment. The court granted L.G.’s motion, reversed the Commissioner’s decision, and remanded the case for further proceedings. On February 10, 2020, the court approved a stipulated award of $5,000 in attorney’s fees and $400 in costs under the Equal Access to Justice Act.
On March 27, 2024, the Social Security Administration issued a notice awarding L.G. $99,599.70 in past-due benefits. The notice stated that counsel could ask the court to approve a fee of no more than 25 percent of the past-due benefits. Counsel moved for an award of $24,899.92 under 42 U.S.C. § 406(b), which governs attorney’s fees for representation in court in Social Security cases. Counsel submitted records showing 21.7 hours of work.
Court’s analysis
Section 406(b) permits a court to approve a reasonable attorney’s fee when the court has entered a judgment favorable to a Social Security claimant represented by counsel. The fee may not exceed 25 percent of the claimant’s past-due benefits resulting from that judgment.
Applying the Supreme Court’s approach in Gisbrecht v. Barnhart, the court first considered the contingency-fee agreement and then tested the requested fee for reasonableness. The court found that counsel had presented a valid agreement and reasonable time records. It found no evidence that counsel’s work was substandard or that the fee was disproportionate to the work performed. The court also noted that counsel obtained an excellent result and accepted the risk of contingent representation.
The court explained that attorney’s fees under the Equal Access to Justice Act and Section 406(b) may both be awarded, but counsel must refund the smaller fee to the claimant. The court stated that the Equal Access to Justice Act award offsets the Section 406(b) award.
Disposition
The court granted the motion. It awarded counsel $24,899.92 in attorney’s fees under 42 U.S.C. § 406(b). It also ordered that the previously awarded $5,400 in Equal Access to Justice Act fees be paid to L.G.
Read the full 4-page opinion on CourtListener, the free public archive maintained by the Free Law Project.