II 

117TH CONGRESS 

2D SESSION S. 5274 

To amend title 38, United States Code, to reinstate criminal penalties for 

persons charging veterans unauthorized fees relating to claims for benefits under the laws administered by the Secretary of Veterans Affairs, 

and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

DECEMBER 15, 2022 

Mr. DURBIN introduced the following bill; which was read twice and referred 

to the Committee on Veterans’ Affairs 

A BILL 

To amend title 38, United States Code, to reinstate criminal 

penalties for persons charging veterans unauthorized fees 

relating to claims for benefits under the laws administered by the Secretary of Veterans Affairs, and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


pamtmann on DSKBC07HB2PROD with BILLS
2 

•S 5274 IS

1 SECTION 1. REINSTATEMENT OF PENALTIES FOR CHARG2 ING VETERANS UNAUTHORIZED FEES RELAT3 ING TO CLAIMS FOR BENEFITS UNDER LAWS 

4 ADMINISTERED BY THE SECRETARY OF VET5 ERANS AFFAIRS. 

6 Section 5905 of title 38, United States Code, is 

7 amended— 

8 (1) in the section heading, by striking ‘‘Pen9 alty’’ and inserting ‘‘Penalties’’ (and conforming 

10 the table of sections at the beginning of chapter 59 

11 of such title accordingly); 

12 (2) by striking ‘‘Whoever’’ and inserting the fol13 lowing: 

14 ‘‘(a) WITHHOLDING OF BENEFITS.—Whoever’’; and 

15 (3) by adding at the end the following new sub16 section: 

17 ‘‘(b) CHARGING OF UNAUTHORIZED FEES.—Except 

18 as provided in sections 5904 or 1984 of this title, whoever 

19 solicits, contracts for, charges, or receives, or attempts to 

20 solicit, contract for, charge, or receive, any fee or com21 pensation with respect to the preparation, presentation, or 

22 prosecution of any claim for benefits under the laws ad23 ministered by the Secretary shall be fined as provided in 

24 title 18.’’. 


pamtmann on DSKBC07HB2PROD with BILLS
3 

•S 5274 IS

1 SEC. 2. LIMITATION ON ATTORNEY FEES FOR FEDERAL 

2 CAUSE OF ACTION RELATING TO WATER AT 

3 CAMP LEJEUNE, NORTH CAROLINA. 

4 Section 804 of the Sergeant First Class Heath Robin5 son Honoring our Promise to Address Comprehensive 

6 Toxics Act of 2022 (Public Law 117–168; 28 U.S.C. 2671 

7 note prec.) is amended by adding at the end the following 

8 new subsection: 

9 ‘‘(k) ATTORNEY FEES.— 

10 ‘‘(1) LIMITATIONS.—No legal representative of 

11 an individual who brings an action under subsection 

12 (b) or who presents a claim under section 2675 of 

13 title 28, United States Code, pursuant to subsection 

14 (h) shall charge, demand, receive, or collect for serv15 ices rendered in bringing such action or presenting 

16 such claim, fees in excess of— 

17 ‘‘(A) 20 percent of an award, compromise, 

18 or settlement made or reached within 180 days 

19 after presenting a claim under section 2675 of 

20 title 28, United States Code, pursuant to sub21 section (h); and 

22 ‘‘(B) 33.3 percent on a claim that is re23 solved by settlement, compromise, or judgement 

24 after the initiation of an action. 

25 ‘‘(2) TERMS FOR PAYMENT OF FEES.—Any 

26 judgment rendered, settlement entered, compromise 


pamtmann on DSKBC07HB2PROD with BILLS
4 

•S 5274 IS

1 made, or other award made with respect to an action 

2 brought under subsection (b) or a claim presented 

3 under section 2675 of title 28, United States Code, 

4 pursuant to subsection (h) by a legal representative 

5 of an individual shall require the following: 

6 ‘‘(A) All funds from the judgment, settle7 ment, compromise, or other award shall be de8 posited into an account held in trust for the in9 dividual in accordance with all applicable provi10 sions of State law. 

11 ‘‘(B) The legal representative shall— 

12 ‘‘(i) once any funds described in sub13 paragraph (A) have been deposited into an 

14 account pursuant to such subparagraph, 

15 notify the individual of such deposit; and 

16 ‘‘(ii) promptly deliver to such indi17 vidual such amount of such funds as the 

18 individual is entitled to receive. 

19 ‘‘(C) That no funds shall be paid from the 

20 account described in subparagraph (A) to a 

21 legal representative of the individual as com22 pensation for services rendered to such indi23 vidual until the relevant funds from such ac24 count have been disbursed to the individual in 

25 accordance with subparagraph (B). 


pamtmann on DSKBC07HB2PROD with BILLS
5 

•S 5274 IS

1 ‘‘(3) PENALTIES.— 

2 ‘‘(A) FEE LIMITATIONS.—Any legal rep3 resentative who charges, demands, receives, or 

4 collects for services rendered in connection with 

5 an action under subsection (b) or a claim under 

6 section 2675 of title 28, United States Code, 

7 pursuant to subsection (h), any amount in ex8 cess of that allowed under paragraph (1) of this 

9 subsection, if recovery be had, shall be fined not 

10 more than $5,000. 

11 ‘‘(B) TERMS FOR PAYMENT.—Failure of a 

12 legal representative subject to paragraph (2) to 

13 comply with a requirement of such paragraph 

14 shall be punishable consistent with the penalties 

15 provided in section 2678 of title 28, United 

16 States Code. 

17 ‘‘(4) RULE OF CONSTRUCTION.—Nothing in 

18 this subsection shall be construed to annul, alter, af19 fect, or exempt any person from complying with the 

20 laws of any State or locality with respect to the 

21 practice of law, except to the extent that those laws 

22 are inconsistent with any provision of this sub23 section, and then only to the extent of the inconsist24 ency.’’. 

Æ 


pamtmann on DSKBC07HB2PROD with BILLS