First Impressions

I have started looking at the proposed new regulations on representation of claimants. My first impression is generally unfavorable.

The most important thing I was looking for in the proposal is simplification of the process when an attorney leaves my firm and is replaced by another attorney. Currently, this process requires the filing of several forms which Social Security often fails to enter into its computer system. It is a mess. This proposal will not help. The same forms must be filed with the same potential for problems. If anything, the process could become more problematic. Here is Social Security's summary:

Any entity seeking direct payment of fees must maintain, and provide to us upon our request, a signed statement from each of the entity’s attorneys and eligible non-attorneys who represent claimants before us. The statement must state that the attorney or eligible non-attorney is performing representational services on behalf of the entity. The statement must also assert that any fees should be paid directly to the entity and that the representatives receive any compensation directly from the entity. Any request for direct payment of fees made by an entity must include an attestation that the entity is in possession of this signed statement from each attorney or eligible nonattorney who has performed any representational services for the claim in question.

This raises the specter of a disgruntled departing attorney withdrawing his or her "signed statement" while asserting that he or she worked on each of the firm's cases, whether that was true or not. If that happened, the firm would become ineligible for direct payment of fees for any of its cases. This would be a nightmare. There would be considerable potential for blackmail by a disgruntled departing attorney.

Without much more clarification, I would not register my firm as an "entity" with Social Security.

Here is an interesting nugget that I do support:

We propose to revise our list of prohibited actions to include three additional items: refusing to comply with any of our regulations, violating any section of the Act for which a criminal or civil monetary penalty is prescribed, and assisting another individual whom we have suspended or disqualified.

Update: Here is the link to the NPRM in the Federal Register.