Labor & Employment Law

EAJA attorney fees are awarded to prevailing parties, not to attorneys

The US Supreme Court today held that attorney fees awarded under the Equal Access to Justice Act (EAJA) are awarded to prevailing parties, not to attorneys.

Astrue v. Ratliff (US Supreme Ct 06/14/2010).

Ruby Kills Ree successfully sued the US Social Security Administration for Social Security benefits.

The trial court granted attorney fees under the Equal Access to Justice Act (EAJA), which provides that "a court shall award to a prevailing party ... fees and other expenses ... in any civil action ... brought by or against the United States."

Ree owed the IRS money, so the Government offset her fees award against a portion of her debt.

Her attorney, Ratliff, argued that there should be no offset because the attorney fee award was payable directly to him.

The US Supreme Court held unanimously that the attorney fees award is payable to the litigant (not to the attorney) and is therefore subject to an offset to satisfy the litigant?s preexisting debt to the Government.

Full post as published by Ross' Employment Law Blog on June 14, 2010 (boomark / email).