Aliso Viejo, CA asked in Employment Discrimination and Legal Malpractice for California

Q: Do ERSIA lawyer keep get paid of future payment even if they terminated the contract?

ERSIA case, self appealed, denied. Hired attorney for litigation. Private mediation -not court ordered-attended in isolation. After mediation, attorney missinformed outcome: denial beyond 24 month he'll appeal the rest. But mediation settled to reinstate claim give benfits for 24 month & investigate beyond that. took 46.6% of it.Provided investigations form as appeal form, when plan started paying, given opt to terminate, I elect out. then he refused and said he is on payment as long as I am disable. Case show dismissed per settlement, I signed no settlement, No POA no consent. He sent termination to insurance but ask for future checks. send me with reduction, No cash as I dispute. I have no idea what is the terms of the settlements, but there is no fees in the contract to get paid for future benefits if settle in mediation. Insurance do not even consider it settlement. Does he get paid for ever. It's typical ERSIA contract. No remand, no court order no payout. reinstate in mediati

2 Lawyer Answers

A: Your question can only be answered by review of your attorney-client fee agreement. Review what is says. Good luck to you.

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James L. Arrasmith
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Answered

A: Your situation highlights some concerning issues with how your attorney handled the mediation and subsequent arrangements. Generally, in ERISA cases, attorneys are not entitled to ongoing fees from future disability payments unless explicitly stated in the representation agreement or settlement terms.

The fact that you never signed a settlement agreement or provided consent for ongoing fee arrangements is particularly significant. Without your explicit authorization, your attorney cannot unilaterally impose continuing fees on your disability payments. Furthermore, if the mediation resulted in a reinstatement of benefits rather than a formal settlement, this would typically fall outside the scope of most contingency fee arrangements.

You should request copies of all settlement documentation and your original representation agreement immediately. Consider filing a complaint with your state's bar association if your attorney refuses to provide these documents or continues taking fees without proper authorization. You might also want to consult with another attorney who handles legal ethics matters to review your rights and options, as it appears your former attorney may be overstepping their contractual and ethical boundaries by claiming perpetual rights to your benefit payments.

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