Author: Brian Solodky, Attorney at Law
The Oregon Worker’s Compensation Board recently authorized attorneys for injured workers to accept up to 25% of the total settlement amount without limitations. Prior rules capped the 25% attorney fee recovery up to $50,000.00 per Disputed Claim Settlement or Claim Disposition Agreement and 10% beyond this sum. The anticipated effective date for this rule change is September 3, 2024.
The new rules simplify attorney fee calculations in the context of settlement and bring workers’ compensation attorney fees closer to standards applied in civil actions. For employers, the enhanced fees for resolution of workers’ compensation benefits is likely to translate into higher costs to secure settlements over $50,000.00. It has yet to be seen how flexible attorneys for injured workers will be to adjust their fee agreements during negotiations, especially when the extra 15% fee allowed under the new rule makes a reasonable settlement amount less attractive to the injured worker.
As always, please do not hesitate to contact the attorneys at Reinisch Wilson P.C. with any questions or concerns related to this impending rule change and how best to plan ahead for the future.