House File 2305
HOUSE FILE
BY COMMITTEE ON COMMERCE,
REGULATION AND LABOR
(SUCCESSOR TO HSB 591)
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to the regulation of attorney fees in workers'
2 compensation cases.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN
1 1 Section 1. Section 86.39, Code 2003, is amended to read as
1 2 follows:
1 3 86.39 FEES == APPROVAL.
1 4 1. All fees or claims for legal, medical, hospital, and
1 5 burial services rendered under this chapter and chapters 85,
1 6 85A, 85B, and 87 are subject to the approval of the workers'
1 7 compensation commissioner. For services rendered in the
1 8 district court and appellate courts, the attorney's fee is
1 9 attorney fees are subject to the approval of a judge of the
1 10 district court judge.
1 11 2. Attorney fees for services rendered under this chapter
1 12 and chapters 85, 85A, 85B, and 87 on behalf of an employee
1 13 shall be limited to the maximum amounts of twenty=five percent
1 14 of an award or settlement. Attorney fees shall be paid by the
1 15 employee from the proceeds of an award or settlement. All
1 16 attorney=client employment contracts for services rendered
1 17 under this chapter and chapters 85, 85A, 85B, and 87 that are
1 18 entered into and signed on or after January 1, 2005, shall be
1 19 subject to the conditions of this section.
1 20 EXPLANATION
1 21 This bill relates to the regulation of attorney fees in
1 22 workers' compensation cases under Code chapters 85, 85A, 85B,
1 23 86, and 87. The bill provides that attorney fees in such
1 24 cases are limited to the maximum amounts of 25 percent of an
1 25 award or settlement. The attorney fees are to be paid by the
1 26 employee from the proceeds of the award or settlement. The
1 27 provisions of the bill apply to attorney=client employment
1 28 contracts, for services rendered in workers' compensation
1 29 cases, that are entered into and signed on or after January 1,
1 30 2005.
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