What the panel ordered
The WCAB rescinded the 12% attorney fee award and substituted a 15% attorney fee award, affirming the remainder of the F&A.
Applicant's attorney sought reconsideration of the WCJ's May 15, 2023 Findings and Award, which awarded a 12% attorney fee. The WCAB granted reconsideration to further study the issues.
What was disputed, and how it came out
Each issue the panel decided, with the reasoning it gave. An outcome is what this panel did on this record — not a rule, and not a prediction.
The 12 percent fee did not fully account for the time expended, work performed, and results obtained by Arteaga, including settling multiple issues and obtaining a 54% PD rating. The Board found a 15 percent fee reasonable.
From the decision · page 3short of reasonable, as it failed to fully account for the time that Arteaga expended on applicant's three-year case, the work that he performed during that time, and results that he obtained on applicant's behalf, which included future medical care and a 54% PD rating. The record also indicates that Arteaga's efforts assisted the parties in settling multiple issues outside of court, including, but not limited to, stipulations as to injury AOE/COE, applicant's PD rating, and P&S date, as well as the use of an AME over a QME. (MOH, April 27, 2023, pp. 2-3; Exh. A2, pp. 94- 96, Joint AME Letter, March 11, 2022.) The 12 percent fee award did not adequately compensate Arteaga for successfully settling these issues; in fact, it was because these issues were settled that the WCJ declined to award Arteaga a higher fee, finding, as noted above, that the trial "essentially had no disputed issues and no witness testimony, allowing for a fairly quick submission on the record, to memorialize the stipulat[ions]...." However, the stipulations reflect competence and
The facts that decided it
What the panel treated as outcome-determinative, and which side it favoured.
Arteaga expended significant time over three years, performed substantial work, and obtained favorable results including a 54% PD rating and future medical care.
Favours Applicant prevailed
These efforts justified a higher attorney fee than the 12% originally awarded.
From the decision · page 3short of reasonable, as it failed to fully account for the time that Arteaga expended on applicant's three-year case, the work that he performed during that time, and results that he obtained on applicant's behalf, which included future medical care and a 54% PD rating. The record also indicates that Arteaga's efforts assisted the parties in settling multiple issues outside of court, including, but not limited to, stipulations as to injury AOE/COE, applicant's PD rating, and P&S date, as well as the use of an AME over a QME. (MOH, April 27, 2023, pp. 2-3; Exh. A2, pp. 94- 96, Joint AME Letter, March 11, 2022.) The 12 percent fee award did not adequately compensate Arteaga for successfully settling these issues; in fact, it was because these issues were settled that the WCJ declined to award Arteaga a higher fee, finding, as noted above, that the trial "essentially had no disputed issues and no witness testimony, allowing for a fairly quick submission on the record, to memorialize the stipulat[ions]...." However, the stipulations reflect competence and
Arteaga's efforts led to settlement of multiple issues outside of court, simplifying the trial and avoiding unnecessary litigation.
Favours Applicant prevailed
The Board found that the efficiency and competence shown should not weigh against a higher fee.
From the decision · page 4diligence on Arteaga's part; the fact that they allowed for a quicker submission on the record and simplified the issues for trial should not weigh against Arteaga.2
The rules the panel named
Authorities as the decision cited them, with how this panel applied each one.
Lab. Code, § 4906(d)
Attorney fees must be reasonable, considering responsibility, care, time expended, and results obtained.
The Board applied these factors to determine that a 15% fee was reasonable for Arteaga's work.
From the decision · page 2The Appeals Board has exclusive jurisdiction over fees to be allowed or paid to applicants' attorneys. (Vierra v. Workers' Comp. Appeals Bd. (Vierra) (2007) 154 Cal.App.4th 1142, 1149 [72 Cal.Comp.Cases 1128]; Cal. Code Regs., tit. 8, § 10840.) In calculating attorney fees, our basic statutory command is that the fees awarded must be "reasonable." (Lab. Code, § 4903, 4906(a), (d).) Pursuant to Labor Code section 4906,1 in determining what constitutes a "reasonable" attorney fee, the Appeals Board must consider four factors: 1) the responsibility assumed by the attorney; 2) the care exercised by the attorney; 3) the time expended by the attorney; and 4) the results obtained by the attorney. (Lab. Code, § 4906(d); see also Cal. Code Regs., tit. 8, § 10844.) In Vierra, supra, the Court of Appeal held:
What proof carried it
The evidence the panel weighed, by kind.
Arteaga's efforts led to settlement of multiple issues outside of court, including stipulations as to injury AOE/COE, PD rating, and P&S date, as well as use of an AME over a QME.
From the decision · page 3short of reasonable, as it failed to fully account for the time that Arteaga expended on applicant's three-year case, the work that he performed during that time, and results that he obtained on applicant's behalf, which included future medical care and a 54% PD rating. The record also indicates that Arteaga's efforts assisted the parties in settling multiple issues outside of court, including, but not limited to, stipulations as to injury AOE/COE, applicant's PD rating, and P&S date, as well as the use of an AME over a QME. (MOH, April 27, 2023, pp. 2-3; Exh. A2, pp. 94- 96, Joint AME Letter, March 11, 2022.) The 12 percent fee award did not adequately compensate Arteaga for successfully settling these issues; in fact, it was because these issues were settled that the WCJ declined to award Arteaga a higher fee, finding, as noted above, that the trial "essentially had no disputed issues and no witness testimony, allowing for a fairly quick submission on the record, to memorialize the stipulat[ions]...." However, the stipulations reflect competence and
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