Current through Register Vol. 48, No. 9, September 27, 2024
A.
If the parties fix the fee by contract and base the fee on an hourly rate
and/or a retainer, the fee is deemed reasonable unless it conflicts with the
South Carolina Supreme Court Disciplinary Rule on determining reasonable
fees.
B. If the parties agree to a
contingent fee contract, the fee is deemed reasonable when the following
requirements are met and the requested fee does not conflict with the South
Carolina Supreme Court Disciplinary Rule on determining a reasonable fee.
(1) The attorney fully explains the fee
agreement to the client and informs the client of the total dollar amount of
the fee that will be deducted from the client's benefits; and
(2) The client agrees to the fee by signing a
completed Form 61; and
(3) The
attorney calculates the fee according to C below.
C. An attorney may charge up to, but not more
than, 33.3% of the total amount of compensation, except in the following
situations, where the attorney shall set the fee as instructed. When unusual
circumstances exist, the attorney may attach to the Form 61 a short memorandum
supporting approval of a fee calculated on an hourly rate or by quantum meruit.
(1) If the amount of compensation secured is
derived from an impairment rating rendered by an authorized health care
provider before the party employed the attorney, the attorney shall base the
fee on the difference between the original impairment rating and the disability
rating ultimately secured. The attorney shall include on the Form 61 the date
the impairment rating was rendered, the percentage and the name of the rating
physician. The fee shall not exceed 33.3% of the difference between the
original impairment rating and the disability rating secured.
(2) If the attorney secures temporary
compensation for a client on a Form 15, the attorney shall calculate the fee on
the number of weeks that are past due at the time that the Form 15 is approved.
The attorney may not charge a fee on temporary compensation that is due in the
future. If the attorney secures the payment of permanent disability later, the
attorney may charge, according to these regulations, up to but not more than
33.3% of the settlement or award.
(3) If the claim involves a fatality and the
employer's representative does not contest liability, compensability or
beneficiaries, the attorney may charge a fee up to but not more than two
thousand five hundred dollars. If the claim involves a fatality and the
employer's representative contests liability, compensability or a party
disputes the status of the client as a beneficiary, the attorney may charge up
to but not more than 33.3% of the settlement or award.
(4) If the claim involves lifetime
compensation and the employer's representative does not contest liability or
the claimant's entitlement to lifetime compensation, the attorney may charge up
to but not more than two thousand five hundred dollars. When the claim involves
lifetime compensation benefits and the employer's representative contests
liability and/or the claimant's entitlement to lifetime compensation, the
attorney's fee shall be considered on a case by case basis. The attorney shall
attach to a Form 61, a Motion to Award Fee, according to R.67-215.
(5) If the attorney files or intends to file
a Form 24, Lump Sum Application, for the client, the attorney shall base his
fee calculation on the amount paid or payable to the client after the award or
settlement is reduced to present day value.
(6) The combined fee of all attorneys for one
party may not total more than 33.3% of the compensation. The Commissioner shall
review jointly the motion for fee filed by a previous attorney for the client
and the additional Form 61. The Commissioner assigned the claim shall indicate
the portion of the fee approved for each attorney.
(7) When an attorney is employed after the
employer's representative makes a written offer of settlement to the claimant,
the attorney shall base his or her fee on the amount of compensation secured in
excess of the settlement offer. The fee shall not exceed 33.3% of the
difference between the offer of settlement and the amount of compensation
secured.
D. If the
claimant refuses to sign a Form 61, the attorney shall file the unsigned Form
61 and motion requesting a hearing which states the claimant refuses to sign
the form. The Commission will notify the claimant by issuing a hearing notice
according to R.67-213.
