When someone applies for Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), attorney fees may not be the first thing on their mind. Many disability claims are handled under an arrangement where an attorney may receive a fee from past-due benefits if the claim is successful. However, the process can become more complicated when a claimant has had more than one representative during the same disability claim.
Understanding how a Social Security Disability Fee Petition San Antonio works can help claimants understand what may happen when multiple attorneys or representatives have provided services on a claim.
At the Law Offices of Christopher Le, Social Security disability matters may sometimes involve cases where a previous attorney or representative was already involved. In these situations, reviewing the representation history and understanding the applicable fee process can be important.
How Social Security Disability Attorney Fees Usually Work
Social Security has two primary processes for approving representative fees: the fee agreement process and the fee petition process. These processes are separate and are not interchangeable.
Under the fee agreement process, the claimant and representative generally sign an agreement stating the fee that may be charged if the claim results in past-due benefits. For favorable decisions issued on or after November 30, 2024, the maximum amount that may be authorized under the standard fee-agreement process is generally the lesser of 25% of past-due benefits or $9,200.
For example, if a claimant receives $40,000 in past-due benefits, 25% would be $10,000. If the case qualifies for the standard fee-agreement process, the applicable $9,200 maximum would generally limit the authorized fee.
The situation may be different when a fee petition is required.
What Is a Social Security Disability Fee Petition?
A fee petition is a written request from a representative asking the Social Security Administration (SSA) to authorize a fee for services provided in connection with a claimant’s case.
SSA’s Form SSA-1560, titled “Petition For Authorization To Charge And Collect A Fee For Services Before The Social Security Administration,” is used for this purpose. SSA must approve a representative’s fee before the representative can charge or collect it, subject to certain exceptions.
Under the fee-petition process, the representative generally provides information about the services performed, the dates those services were provided, the time spent, and the amount requested. SSA then evaluates the request under the applicable rules.
This is an important distinction for anyone researching a Social Security Disability Fee Petition San Antonio because a fee petition is not simply an automatic percentage of a claimant’s back pay.
Why Can a Previous Lawyer Create a Fee Issue?
Consider a claimant who initially hires Attorney A to handle a disability claim. After a denial or another stage of the case, the claimant changes representatives and hires Attorney B.
Attorney B may eventually handle the hearing, develop medical evidence, prepare legal arguments, and continue representing the claimant through a favorable decision.
The claimant may assume that Attorney B will simply receive the standard fee. But the previous representative’s involvement can affect which fee-approval process applies.
SSA explains that when multiple representatives use the fee-petition process, each representative who wants to charge and collect a fee must generally submit a separate fee petition for their services.
This means a former representative’s potential fee cannot necessarily be ignored simply because another attorney later handled the claim.
What Happens When Multiple Representatives File Fee Petitions?
Suppose two representatives worked on the same disability claim.
The first representative might request compensation for work such as:
- Reviewing the initial disability application
- Communicating with the claimant
- Obtaining medical records
- Preparing an appeal
- Reviewing Social Security correspondence
The second representative might request compensation for:
- Reviewing the existing claim file
- Developing additional medical evidence
- Preparing the claimant for a hearing
- Preparing legal arguments
- Appearing at the hearing
- Completing post-hearing work
If both representatives are seeking fees under the fee-petition process, SSA evaluates the services provided by each representative. SSA also states that an agreement between multiple representatives about how they will divide fees does not control SSA’s fee authorization under the fee-petition process.
This is one reason a Social Security Disability Fee Petition San Antonio issue can become complicated when a claimant changes attorneys during a pending case.
How Does SSA Determine a Reasonable Fee?
A fee petition is reviewed based on the circumstances of the particular case and the services performed.
SSA’s instructions explain that the agency considers factors such as the nature and extent of the services, the complexity of the case, the representative’s skill and competence, the time spent, the results achieved, the level of the administrative process involved, and the amount of the requested fee.
The representative must provide the claimant with a copy of the fee petition and its attachments.
SSA then reviews the request and issues a written authorization stating the fee that may be charged.
Can a Claimant Disagree With a Fee?
Yes. A claimant or another proper party may request administrative review if they disagree with the fee authorized by SSA.
Under SSA’s current procedures, a request for administrative review of an initial fee authorization under the fee-petition process generally must be filed within 30 days after the date of the initial fee authorization notice. If the request is late, the requester generally must explain the reason for the delay, and SSA determines whether there is good cause for considering it.
Because deadlines can matter, claimants should carefully review any fee authorization notice they receive.
What Happens to Past-Due Benefits?
Attorney-fee issues can be particularly important when a disability claimant is expecting past-due benefits.
After waiting months or years for a disability decision, a claimant may understandably expect to receive the available back pay as soon as possible. However, when representative fees must be reviewed or authorized, additional administrative processing may be necessary.
SSA’s fee-petition procedures are designed to determine the appropriate fee for services provided before the agency.
The exact effect on a claimant’s payment depends on the circumstances of the case, the type of benefits involved, the representation history, and SSA’s processing.
What Should You Do If You Change Disability Lawyers?
If you change attorneys during an SSDI or SSI claim, give the new representative information about all previous representatives.
This can include:
- Previous attorneys
- Former law firms
- Non-attorney representatives
- Disability advocacy organizations
- Earlier fee agreements
- Any fee waivers or other documents related to representation
Keeping accurate records can help the new representative understand the history of the claim and identify potential fee issues earlier.
The representation history can be particularly important when a favorable decision is eventually issued and more than one representative may have a potential fee request.
Frequently Asked Questions
What is a Social Security disability fee petition?
A fee petition is a request submitted by a representative asking SSA to authorize a fee for services provided in connection with a Social Security disability claim. SSA reviews the request and determines the authorized fee.
Is a fee petition the same as a fee agreement?
No. The fee agreement and fee petition are separate fee-authorization processes. SSA does not treat them as interchangeable.
Can two lawyers file fee petitions for the same disability claim?
When multiple representatives are involved and the fee-petition process applies, each representative seeking compensation generally files a separate fee petition for the services provided.
What is the current Social Security fee-agreement limit?
For favorable decisions issued on or after November 30, 2024, the maximum fee under the standard fee-agreement process is generally the lesser of 25% of past-due benefits or $9,200.
How long does someone have to challenge a fee authorization?
A proper party generally has 30 days from the date of the initial fee authorization notice to request administrative review under the fee-petition process.
Can changing lawyers affect Social Security attorney fees?
It can. When more than one representative has worked on a claim, the applicable fee process and each representative’s services may need to be considered by SSA.
Conclusion
A Social Security Disability Fee Petition San Antonio issue can arise when a representative needs SSA to determine the appropriate fee for services provided on a disability claim. The process becomes especially important when multiple attorneys or representatives have worked on the same case.
Understanding the difference between a fee agreement and a fee petition, keeping records of previous representation, and reviewing SSA notices carefully can help claimants better understand what happens after a favorable disability decision.
The Law Offices of Christopher Le can assist individuals with Social Security Disability matters, including claims involving different stages of the administrative process. Because every case has its own representation history and circumstances, specific fee questions should be evaluated based on the individual claim.
