Attorney Fees

Determination of attorney fees remains with the Industrial Commission (IC).  All requests for advancement of attorney fees should be forwarded to the IC and filed on an IC-32A.  After determination, the IC returns the request to the assigned BWC Claims Service Specialist for processing.  Per IC ResolutionR07-1-02 , maximum attorney fees are limited to $10,000.00 with an additional $1000.00 for expenses.  The LSA for attorney fees can not cause a reduction in the claimant's existing weekly compensation rate of more than twenty percent (20%) for PTD and Death benefits.  For Scheduled Loss, the LSA cannot cause a reduction of more the one third (33 1/3%).  If the advancement as approved will result in a reduction in an amount greater than is permitted by R07-1-02 then the advancement will be reduced by BWC to the extent necessary to comply with that resolution.  An additional order or notice is not required.

 

After the hearing, the IC will forward the LSAs granted for attorney fees to BWC for processing.  Upon receipt, the CSS will complete and send the LSA Options form  to the applicant for their selection of rate reduction and reduction period.  Before mailing, the CSS will call the applicant to explain the LSA options and to ascertain if it’s possible to fax or email the LSA options letter.  The CSS will only mail this letter if fax or email is not possible.  If represented, the CSS will send a copy of this letter to the authorized representative.

 

The CSS will image a copy of the letter for the file and diary for a 7 day follow up.  If the LSA Options Form is not returned to BWC within 7 days, the life expectancy option will be used for the weekly reduction.  As a courtesy, the CSS will contact the applicant and attorney by telephone to notify them the LSA options form has not been returned and as a result, the repayment option has defaulted to the applicant’s life expectancy.  The CSS may extend the return period an additional 5 days at the request of the applicant or attorney.  If the LSA Options Form is not returned at the end of the additional return date, the life expectancy option is used.

 

When the repayment option has been decided, the next step will be to make the LSA payment, no other correspondence is sent for attorney fee LSAs. 

 

The LSA for attorney fees will be paid in the V3 Benefit Plan using the weekly reduction the applicant indicated on the LSA Options form or default of life expectancy if the form is not returned.

 

Always include the order date that the LSA was granted.  If the attorney fee is paid from a death award, it must be issued through the V3 Miscellaneous Payment window using payment code 98125.

 

Do not include the name of the injured worker on the warrant if the advancement is for attorney fees.  Per OAC 4123-3-37  andORC 4123.06 , only the name of the attorney should appear on the warrant.

 

The attorney’s federal tax identification number or social security number is required in order to issue an LSA for attorney fees in V3.  If the neither number is on file, the CSS will make the appropriate contacts to obtain it.

 

BWC will not withhold family support from lump sum advancement for attorney fees.