Chapter: I-1-1
Subject: Representation of Claimants
This transmittal updates section I-1-1-40 of the Hearings, Appeals and Litigation Law (HALLEX) manual to reflect regulatory changes set forth in the final rule entitled “Changes to the Administrative Rules for Claimant Representation and Provisions for Direct Payment to Entities” published on August 21, 2024 (89 FR 67542). The final rule establishes two implementation dates for the numerous policy and systems changes required to comply with the decision of the United States Court of Appeals for the First Circuit in Marasco & Nesselbush, LLP v. Collins. As a part of Phase I, we made the following updates to HALLEX I-1-1-40 to be published and implemented on September 30, 2024.
I-1-1-40 – Rules and Standards Governing the Conduct of Representatives – We updated the section title to “Rules and Standards Governing the Conduct of Representatives.” We refomatted and rewrote the section extensively, dividing it into subsections and providing specfic references to the affirmative duties (new subsection A.) and prohibited actions (new subsection B.) set forth in the regualtions and placing much of the former section in new subsection C., which explains the sanctions referral process. In new subsection B., we added the prohibited duties of an entity's POC to reflect regulatory changes. We added processing instructions for documenting mandatory representative disclosures in the electronic claim(s) file (eView). These instructions will assist SSA in its obligation to report to the Office of Management and Budget (OMB) the number of required disclosures it receives not made using OMB forms (e.g., Form SSA-1696). In new subsecition C., we added an explanation of how and when SSA may seek to suspend or disqualify a POC and that a sanctioned individual may not serve as an entity's POC. We made other editorial changes and removed gendered language throughout the section as appropriate.
Date: September 30, 2024