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No Legal Fees, Unless You Win (Excluding Costs)
The Social Security Fee Agreement Process
The Social Security Administration has strict rules about fees. SSA requires a written fee agreement signed by the claimant and the appointed representative specifying the fee the representative expects to charge and collect, and the claimant expects to pay, for services the representative provides in pursuing the claimant's benefit rights in proceedings before SSA. SSA must approve the fee agreement, the representative must submit it before the date of the first favorable decision. If the representative does not submit a fee agreement by that date, SSA assumes the representative either will file a fee petition or waive a fee.
Usually, if the representative submits a fee agreement before the date SSA makes a favorable decision, SSA will approve the fee agreement. Once SSA approves the fee agreement, the fee specified in the agreement is the maximum fee the representative may charge and collect for all services in the claim.
The fee agreement and fee petition processes are not interchangeable. However, if a representative elects the fee agreement process but SSA does not approve the agreement, or if an SSA reviewing official upholds a disapproval of a fee agreement, the representative must file a fee petition to SSA to charge and collect a fee.
SSA must consider a fee agreement for approval under the fee agreement process through all levels of the administrative appeals process.
The Social Security Fee Petition Process
A fee petition is a written statement signed by a representative requesting the fee the representative wants to charge for services provided to the claimant in regards to their claims before the Social Security Administration.
A representative who elects to use the fee petition process typically files the petition after the close of the case. SSA will authorize a reasonable fee for the the services. A fee petition is required if any of the following applies:
- There is no written fee agreement.
- SSA did not approve the fee agreement.
- The representative filed a fee agreement which SSA approved and, subsequently, SSA disapproved that agreement because no past-due benefits resulted from the favorable determination or decision, or the past-due benefits are extremely small in relation to the work performed on the case.
A representative cannot file a fee agreement and a fee petition. |
