Assembly Bill A5838

2023-2024 Legislative Session

Relates to the payment of fees allowed for representation in unemployment compensation cases

download bill text pdf

Sponsored By

Current Bill Status - In Assembly Committee

  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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2023-A5838 (ACTIVE) - Details

Current Committee:
Assembly Labor
Law Section:
Labor Law
Laws Affected:
Amd §538, Lab L

2023-A5838 (ACTIVE) - Summary

Allows approved claims of representatives for services rendered to a claimant in connection with an unemployment insurance claim to become a lien upon the benefit allowed; criminalizes certain violations relating to other forms of compensation in connection with an unemployment insurance claim; provides that a fee allowed shall be on a contingency basis and be equal to fifteen percent of the amount of the benefits to be paid to the claimant at the conclusion of services rendered.

2023-A5838 (ACTIVE) - Bill Text download pdf 

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5838
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              March 23, 2023
                                ___________
 
 Introduced by M. of A. JACOBSON -- read once and referred to the Commit-
   tee on Labor
 
 AN  ACT  to  amend  the  labor  law,  in relation to the payment of fees
   allowed for representation in unemployment compensation cases
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subdivision 1 of section 538 of the labor law is amended by
 adding a new paragraph (g) to read as follows:
   (G)  WHEN  APPROVED BY THE APPEAL BOARD, CLAIMS OF REPRESENTATIVES FOR
 SERVICES RENDERED TO A CLAIMANT IN CONNECTION  WITH  ANY  CLAIM  ARISING
 UNDER  THIS  ARTICLE  SHALL  BECOME A LIEN UPON THE BENEFIT ALLOWED, BUT
 SHALL BE PAID THEREFROM ONLY IN THE MANNER FIXED BY THE APPEAL BOARD  AS
 FOLLOWS:
   (I)  ANY  OTHER PERSON, FIRM OR CORPORATION WHO SHALL EXACT OR RECEIVE
 FEE OR GRATUITY FOR ANY SERVICES RENDERED ON BEHALF OF A CLAIMANT EXCEPT
 IN AN AMOUNT DETERMINED BY THE APPEAL BOARD, SHALL BE GUILTY OF A MISDE-
 MEANOR. ANY PERSON, FIRM OR CORPORATION WHO SHALL SOLICIT  THE  BUSINESS
 OF  APPEARING  BEFORE  THE  APPEAL BOARD ON BEHALF OF A CLAIMANT, OR WHO
 SHALL MAKE  IT  A  BUSINESS  TO  SOLICIT  EMPLOYMENT  FOR  A  LAWYER  IN
 CONNECTION WITH ANY CLAIM FOR BENEFITS UNDER THIS ARTICLE SHALL BE GUIL-
 TY OF A MISDEMEANOR.
   (II) A FEE ALLOWED UNDER THIS PARAGRAPH SHALL UPON A CONTINGENCY BASIS
 AND BE EQUAL TO FIFTEEN PERCENT OF THE AMOUNT OF THE BENEFITS TO BE PAID
 TO  THE  CLAIMANT  AT THE CONCLUSION OF SERVICES RENDERED. THIS SHALL BE
 THE ONLY AMOUNT TO BE PAID TO THE REPRESENTATIVE  UNLESS  CHANGED  BY  A
 COURT.    THE  REPRESENTATIVE  MAY NOT CHARGE FOR OUT OF POCKET EXPENSES
 INCLUDING BUT NOT LIMITED TO TELEPHONE, POSTAGE, OTHER  OFFICE  EXPENSES
 AND  TRAVEL.    IN ORDER TO RECEIVE THIS FEE, THE REPRESENTATIVE AND THE
 CLAIMANT MUST EXECUTE A RETAINER IN WHICH THE TERMS OF THE FEE  ARRANGE-
 MENT IS CLEARLY WRITTEN IN SIMPLE LANGUAGE.  A SAMPLE RETAINER AGREEMENT
 SHALL  BE PRODUCED BY THE DEPARTMENT OF LABOR. THE APPLICATION FOR A FEE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09900-01-3

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