HBA-ATS H.B. 3550 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3550 By: Giddings Business & Industry 3/26/1999 Introduced BACKGROUND AND PURPOSE The Labor Code (code) authorizes an employee to hire an attorney to represent the employee when the employee's claim for workers' compensation insurance is disputed by the employer's workers' compensation insurance carrier. The code limits fees for the claimant's attorney, which are deducted from the claimant's income benefit payments. Generally, the attorney's fees may not exceed 25 percent of the total amount of the claimant's recovery. H.B. 3550 requires an employer's workers' compensation insurance carrier to pay a claimant's attorney's fees in an amount equivalent to 25 percent of the claimant's income benefits if a claimant prevails on any disputed issue. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter L, Section 408.221(b), Labor Code, to require an employer's workers' compensation insurance carrier to pay a claimant's attorney's fees in an amount equivalent to 25 percent of the claimant's income benefits if a claimant prevails on any disputed issue. SECTION 2. Effective date: September 1, 1999. SECTION 3. Emergency clause.