The Social Security Administration does not have the authority to demand the return of fees it paid to an attorney who represented a disability claimant whose debts were discharged in bankruptcy, a federal appeals court has ruled.
The 2nd U.S. Circuit Court of Appeals said the payment of $1,200 to the firm of Binder & Binder could not be undone by the agency even though the debtor disputed the firm’s bill in her bankruptcy petition.
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