Senate Bill No. 154–Senator Schneider

 

February 15, 2001

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Establishes limits on attorney’s fees for representing injured employee to obtain workers’ compensation benefits. (BDR 53‑447)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: Yes.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to workers’ compensation; establishing a limit on attorney’s fees for the representation of an injured employee to obtain workers’ compensation benefits; authorizing an attorney under certain circumstances to request attorney’s fees that exceed the limit; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. Chapter 616C of NRS is hereby amended by adding thereto

1-2  a new section to read as follows:

1-3    1.  Except as otherwise provided in subsections 2 and 3, attorney’s

1-4  fees for the representation of an injured employee or his dependents must

1-5  not exceed 10 percent of the total compensation for which the injured

1-6  employee or his dependents are determined to be eligible to receive

1-7  pursuant to the provisions of chapters 616A to 616D, inclusive, or

1-8  chapter 617 of NRS.

1-9    2.  If the attorney is hired to represent the injured employee or his

1-10  dependents before a hearing officer, an appeals officer or in a judicial

1-11  proceeding, the agreement between the attorney and the claimant

1-12  concerning attorney’s fees may provide that the attorney is to receive a

1-13  fee that is anticipated to exceed 10 percent of the total compensation if

1-14  the attorney receives approval from the hearing officer, appeals officer,

1-15  judge or justice, as appropriate. If the attorney represents the injured

1-16  employee or his dependents before a hearing officer, an appeals officer

1-17  or in a judicial proceeding, the attorney may, within 7 days after the last

1-18  hearing for which the attorney provides representation, in a separate

1-19  action, petition the hearing officer, appeals officer, judge or justice, as

1-20  appropriate, to issue an order approving a fee that exceeds 10 percent of

1-21  the total compensation. The hearing officer, appeals officer, judge or

1-22  justice may issue an order approving a fee that exceeds 10 percent of the

2-1  total compensation if he determines that circumstances, including,

2-2  without limitation, the complexity of the issues or the facts, the novelty of

2-3  the theory of injury or law, the expertise of the attorney, or other

2-4  equitable considerations, warrant a fee that exceeds 10 percent of the

2-5  total compensation.

2-6    3.  If the attorney is aggrieved by a decision of a hearing officer that

2-7  denies a petition to issue an order approving a fee that exceeds 10

2-8  percent of the total compensation, he may appeal that decision to an

2-9  appeals officer pursuant to the provisions of NRS 616C.345 to 616C.385,

2-10  inclusive. For the purpose of NRS 616C.345, the injured employee or his

2-11  dependents, as appropriate, are a party to an appeal brought by the

2-12  attorney pursuant to this subsection. If the attorney is aggrieved by a

2-13  decision of an appeals officer that denies a petition to issue an order

2-14  approving a fee that exceeds 10 percent of the total compensation or that

2-15  approves the decision of the hearing officer to deny such a petition, that

2-16  decision is a final administrative ruling that is subject to judicial review.

2-17  If the attorney is aggrieved by the decision of the district court, he may

2-18  appeal to the supreme court. The appeal must be taken as in other civil

2-19  cases.

2-20    Sec. 2.  Chapter 7 of NRS is hereby amended by adding thereto a new

2-21  section to read as follows:

2-22    An attorney who represents an injured employee or his dependents in

2-23  an action to receive workers’ compensation pursuant to chapters 616A to

2-24  616D, inclusive, or chapter 617 of NRS must arrange for attorney’s fees

2-25  in accordance with the provisions of section 1 of this act.

2-26    Sec. 3.  The provisions of this act apply only to agreements for the

2-27  payment of attorney’s fees that are executed on or after October 1, 2001.

 

2-28  H