Opinion
C/A No. 5:17-cv-3438-TMC
01-22-2021
Donna Jean Jacobus, Plaintiff, v. Andrew N. Saul, Commissioner Of Social Security, Defendant.
ORDER
This matter is before the court on Plaintiff's motion for attorney's fees pursuant to the Social Security Act, 42 U.S.C. § 406(b). (ECF No. 25). Plaintiff seeks an award of attorney's fees in the amount of $32,364.91, which represents 25% of the $129,459.66 in back benefits awarded to Plaintiff. (ECF No. 25-1). The Commissioner has filed a response informing the court that he does not object to Plaintiff's motion for fees. (ECF No. 28).
The actual amount withheld from the past due benefits awarded to Plaintiff was $33,302.25. (ECF No. 25-2). The Commissioner, however, does not object to the lesser figure sought by Plaintiff.
Pursuant to Gisbrecht v. Barnhart, 535 U.S. 789, 808 (2002), in reviewing a request for attorney's fees under § 406(b), a court must look first to the contingent fee agreement and assess its reasonableness. A reduction in the contingent fee may be appropriate when (1) the fee is out of line with the character of the representation and the results achieved; (2) counsel's delay caused past-due benefits to accumulate during the pendency of the case in court, or (3) past-due benefits are large in comparison to the amount of time counsel spent on the case. Id.
Based upon a review of the petition and these factors, the court finds that an award of $32,364.91, is reasonable. Pursuant to a contingency fee agreement, Plaintiff agreed to pay counsel twenty-five percent (25%) of any past-due benefits awarded to both her and her family. (ECF No. 25-5). When determining the reasonable attorney fee provided for in 42 U.S.C. § 406(b), the "total past-due benefits include the past-due benefits of all recipients on the claimant's Social Security account, i.e., the claimant and [her] eligible dependents." Matter v. Bowen, 675 F. Supp. 212, 213 - 14 (M.D. Pa. 1987) (citing Hopkins v. Cohen, 390 U.S. 530 (1968)). Plaintiff was awarded back benefits of $129,459.66, and $33,302.25 of the total award was withheld for attorney's fees. (ECF Nos. 25-1; 25-2). In compliance with 42 U.S.C. § 406(b)(1)(A), counsel's requested fee does not exceed twenty-five percent (25%) of these past-due benefits. Furthermore, the requested attorney's fee is reasonable given the hours counsel expended working on this matter at the court level. Wrenn v. Astrue, 525 F.3d 931, 937 (10th Cir. 2008) (noting that under § 406(b) the court makes fee awards only for work done before the court). Additionally, Plaintiff's counsel achieved a successful result without any unreasonable delay. In light of counsel's specialized skill in social security disability cases, the attorney's fee award does not amount to a windfall. Cf. Brown v. Barnhart, 270 F.Supp.2d 769, 772-73 (W.D.Va. 2003).
Therefore, based on the foregoing, Plaintiff's motion for attorney's fees (ECF No. 25) is GRANTED, and Plaintiff is awarded a total of $32,364.91 in attorney's fees.
"Fee awards may be made under both [EAJA and § 406(b) ], but the claimant's attorney must refund to the claimant the amount of the smaller fee [,] . . . up to the point the claimant receives 100 percent of the past-due benefits." Gisbrecht v. Barnhart, 535 U.S. 789, 796 (2002) (internal quotation marks and citation omitted). Plaintiff has previously been awarded $2,537.00 in attorney's fees under the EAJA in this action (ECF No. 24). Accordingly, Plaintiff's counsel is to refund to the Plaintiff the previously ordered EAJA fees ($2,537.00) immediately after he receives the payment of the § 406(b) fees.
IT IS SO ORDERED.
s/ Timothy M. Cain
United States District Judge January 22, 2021
Anderson, South Carolina