Florida Governor Signs Bill Limiting Counsel Fees

The Governor of Florida has signed yet another law limiting counsel fees in workers' compensation actions. The original law was declared unconstitutional by the Florida Supreme Court.

The new law provides for capped limits as follows:

"(1)  A fee, gratuity, or other consideration may not be

15 paid for a claimant in connection with any proceedings arising

16 under this chapter, unless approved as reasonable by the judge

17 of compensation claims or court having jurisdiction over such

18 proceedings. Any attorney's fee approved by a judge of

19 compensation claims for benefits secured on behalf of a claimant

20 must equal to 20 percent of the first $5,000 of the amount of

21 the benefits secured, 15 percent of the next $5,000 of the

22 amount of the benefits secured, 10 percent of the remaining

23 amount of the benefits secured to be provided during the first

24 10 years after the date the claim is filed, and 5 percent of the

25 benefits secured after 10 years. The judge of compensation

26 claims shall not approve a compensation order, a joint

27 stipulation for lump-sum settlement, a stipulation or agreement

28 between a claimant and his or her attorney, or any other

29 agreement related to benefits under this chapter which that

30 provides for an attorney's fee in excess of the amount permitted

31 by this section. The judge of compensation claims is not

32 required to approve any retainer agreement between the claimant

33 and his or her attorney. The retainer agreement as to fees and

34 costs may not be for compensation in excess of the amount

35 allowed under this subsection or subsection (7) section."

"(3)  If any party should prevail in any proceedings before

63 a judge of compensation claims or court, there shall be taxed

64 against the nonprevailing party the reasonable costs of such

65 proceedings, not to include attorney's fees."

"  (7)  If an attorney's fee is owed under paragraph (3)(a),

107 the judge of compensation claims may approve an alternative

108 attorney's fee not to exceed $1,500 only once per accident,

109 based on a maximum hourly rate of $150 per hour, if the judge of

110 compensation claims expressly finds that the attorney's fee

111 amount provided for in subsection (1), based on benefits

112 secured, fails to fairly compensate the attorney for disputed

113 medical-only claims as provided in paragraph (3)(a) and the

114 circumstances of the particular case warrant such action."