Opinion ID: 6855
Heading Depth: 2
Heading Rank: 3

Heading: Boland Marine's Liability for Attorney's Fees under Section 28

Text: 39 Boland Marine also argues that attorney's fees cannot be assessed against it under Section 28 of LHWCA because it did not controvert [Rihner's] entitlement to benefits and Rihner did not successfully obtain an order which [Boland Marine] had contested. Specifically, Boland Marine argues that it never contested the underlying compensability of Mr. [Paul] Rihner's heart attack ..., and [it] voluntarily paid death benefits to Mr. Rihner's widow and son. These contentions, however, are belied by the record of this case. 40 Section 28(b) of LHWCA provides for an award of attorney's fees when the employer tenders partial compensation but refuses to pay the total amount claimed by the claimant, and the claimant uses the services of an attorney to successfully recover the total amount claimed. 4 Savannah Mach. & Shipyard Co. v. Director, 642 F.2d 887, 889 (5th Cir.1981); accord Holliday, 654 F.2d at 419. 41 In addition to ceasing payment of benefits, Boland Marine specifically listed [w]hether Mr. Rihner suffered an accident ... while working for Boland Marine, and the surrounding circumstances thereof and [t]he nature and causes of Mr. Rihner's death as issues requiring resolution by the ALJ. In the initial proceeding, the ALJ expressly found the evidence sufficient to establish that [Paul Rihner's] heart attack could have been caused by his employment and that death benefits are warranted in this case. Accordingly, the ALJ concluded that Rihner was entitled to attorney's fees from Boland Marine. 42 Although, when the ALJ revisited this issue, it determined that it was the Director who placed compensability in issue, we find that the BRB accurately determined that this finding was not supported by the facts. Regardless of whether Boland Marine was entitled to relief from the Director under section 8(f), it was Boland Marine's actions ceasing payment and contesting compensability for the underlying claim that required Rihner to hire an attorney to pursue his claim. As the BRB noted, the fact that an employer is discharged from some compensation due to the operation of Section 8(f) does not affect its obligation for attorney's fees under Section 28(b). See Henry v. George Hyman Constr. Co., 749 F.2d 65, 69 (D.C.Cir.1984) (a claimant has no interest in the source of compensation) (citing, inter alia, Price v. Greyhound Bus Lines, Inc., 14 B.R.B.S. 439, 440 n. 1 (1981), dismissed for lack of subject matter jurisdiction, No. 81-1934 (4th Cir. Jan. 4, 1982), cert. denied, 459 U.S. 831, 103 S.Ct. 70, 74 L.Ed.2d 70 (1982); Creasy v. Bateson, 14 B.R.B.S. 434, 437 (1981)). 43 In this case, Boland Marine discontinued payment of benefits. Rihner brought a claim, and in the pre-hearing filings, Boland Marine listed causation and compensability as issues to be resolved in the proceeding. Eventually, Rihner successfully recovered the full amount of his claim. Therefore, we find no error in the BRB's finding that under Section 28(b) of LHWCA, Boland Marine is liable for attorney's fees. 44 Additionally, we find that Boland Marine is responsible for Rihner's attorney's fees and expenses (totalling $5520.57) in this appeal. As we have noted, when an employer contests its liability in whole or in part and the claimant is ultimately successful, the employer and not the claimant must pay the claimant's attorney's fees for services necessary to that success. Hole v. Miami Shipyards Corp., 640 F.2d 769, 774 (5th Cir.1981); see also Vincent v. Consolidated Operating Co., 17 F.3d 782, 787 (5th Cir.1994) (per curiam) (holding in a LHWCA case that [b]ecause the defendants denied their liability but lost this appeal, they are liable ... for the attorney's fees incurred in defending this appeal). Thus, Rihner is entitled to a fee rendered ... for the successful prosecution of this appeal. Hole, 640 F.2d at 774 (quoting American Stevedores, Inc. v. Salzano, 538 F.2d 933, 937 (2d Cir.1976)). 45 Finally, Rihner requests an award of interest on the attorney's fees. We, however, decline this request. In short, there is no indication in the statute or in the case law that interest is available on attorney's fees granted under Section 28 of LHWCA. See Hobbs v. Director, 820 F.2d 1528, 1531 (9th Cir.1987) (holding that interest is not available for attorney's fees and noting that [i]t is the prerogative of Congress ... to establish the circumstances, if any, under which such interest may be available); Fisher v. Todd Shipyards, 21 B.R.B.S. 323 (noting that there is no legal authority under the Act for awarding interest on attorney's fees).