PRINTER'S NO. 3505
No. 2622 Session of 1978
INTRODUCED BY ZWIKL, WISE AND BROWN, JUNE 26, 1978
REFERRED TO COMMITTEE ON LABOR RELATIONS, JUNE 26, 1978
AN ACT
1 Amending the act of June 2, 1915 (P.L.736, No.338), entitled "An
2 act defining the liability of an employer to pay damages for
3 injuries received by an employe in the course of employment;
4 establishing an elective schedule of compensation; providing
5 procedure for the determination of liability and compensation
6 thereunder; and prescribing penalties," providing for the
7 justification of attorneys' fees charged in compensation
8 cases.
9 The General Assembly of the Commonwealth of Pennsylvania
10 hereby enacts as follows:
11 Section 1. Section 442, act of June 2, 1915 (P.L.736,
12 No.338), known as "The Pennsylvania Workmen's Compensation Act,"
13 reenacted and amended June 21, 1939 (P.L.520, No.281) and
14 amended March 29, 1972 (P.L.159, No.61), is amended to read:
15 Section 442. (a) All counsel fees, agreed upon by claimant
16 and his attorneys, for services performed in matters before any
17 referee or the board, whether or not allowed as part of a
18 judgment, [shall] may be approved by the referee or board as the
19 case may be, providing the counsel fees [do not exceed twenty
20 per centum of the amount awarded. The official conducting any
21 hearing, upon cause shown, may allow a reasonable attorney fee
1 exceeding twenty per centum of the amount awarded at the
2 discretion of the hearing official] are reasonable and justified
3 under the circumstances.
4 (b) In cases where the efforts of claimants' counsel produce
5 a result favorable to the claimant but where no immediate award
6 of compensation is made such as in cases of termination or
7 suspension the hearing official shall allow or award
8 [reasonable] counsel fees as agreed upon by claimant and his
9 attorneys[, without regard to any per centum] where such fees
10 are reasonable and justified under the circumstances.
11 (c) A referee or the board shall not approve a fee unless
12 the attorney has justified the same by an adequate showing of
13 the nature and quantity of labor expended in the preparation and
14 presentation of his client's case.
15 (d) Fees approved by a referee or the board shall be stated
16 as a specific dollar amount. In no event shall a fee be approved
17 which is stated as a percentage of an award payable for an
18 indefinite period.
19 Section 2. This act shall take effect in 60 days and shall
20 be applicable to all claim petitions filed on and after that
21 date.
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