What is the process for appealing decisions of administrative agencies?

The process of reviewing or appealing the decision of a federal administrative agency usually begins within the agency itself. Before a party might be able to challenge the decision in an actual court, they typically must file an appeal within the administrative agency that issued the decision. There may be multiple administrative hearings at specific scheduled intervals along the way. Only when these steps have been taken, often referred to as “exhausting the administrative process,” will a court consider taking an appeal of an administrative decision. The courts will not step in prematurely to take a case from an administrative agency unless there has been some clear bias against a party; and even then, the court often waits for the issues in an administrative case to be fully flushed out before looking into the agency’s decision. This prevents the case from bouncing back and forth between the agency and the courts, as one issue after another must be decided along the way.

Once a final agency action has been made, meaning that the full review process within the agency has been exhausted, a federal court of appeals may hear an appeal of the agency decision. This means, however, that a party must do everything required under the administrative review process (such as creating proper record along the way) or else the case will likely stall within the agency and never make it to an appealable final agency action.

De Novo Review

Congress has provided that appeals from certain agencies, such as Social Security claims, may be taken directly to federal district court. Reviews of Social Security disability claims are heard de novo, meaning that the case is heard again as if for the first time, rather than basing the review on what is already on the record. This is likely an advantage for the party hoping to have the decision reversed, as a de novo review increases the chances for a thorough review of the facts.

Agency Decisions & Special Deference

Most administrative agency decisions, however, do not get de novo treatment on appeal. Reviews of zoning decisions, for example, are based entirely on the record that has already been established in the initial agency decision. In general, agency decisions are given special deference by the courts because the agency is believed to have the greatest expertise on the matter, and serves as the best interpreter of its own rules. The administrative agency also does the fact finding that is usually done at the trial level of a civil or criminal case in the courts, making the agency better suited to make a judgment. In addition to allowing agencies to take some of the burden off their own overloaded dockets, courts seek to encourage parties to win during the actual administrative process itself, rather than waiting to appeal to the courts.

Navigating the complex administrative agency system to make a claim and exhaust the agency’s review process can be a daunting task. Don’t take chances when it comes to an administrative agency review. Getting the help of an experienced administrative law attorney throughout the administrative review process, and on into federal appeals court if necessary, may be essential to the success of your claim.

Case Studies: Insurance Considerations in Administrative Appeals

Case Study 1: Professional Liability Insurance, CoveragePro Insurance

CoveragePro Insurance provided professional liability insurance to a qualified administrative law attorney who assists clients in appealing decisions of administrative agencies. Professional liability insurance, also known as errors and omissions (E&O) insurance, protects the attorney against claims of negligence, errors, or omissions in the handling of administrative appeals.

If a client alleges that the attorney’s advice or representation during the appeal process led to financial loss or harm, professional liability insurance covers legal expenses, settlements, or judgments, safeguarding the attorney’s professional reputation and financial stability.

Case Study 2: Cyber Liability Insurance, SecureNet Insurance

SecureNet Insurance offered cyber liability insurance coverage to individuals and businesses involved in administrative appeals. The appeal process often involves the exchange of sensitive and confidential information through electronic means, which exposes parties to cyber risks and potential data breaches.

Cyber liability insurance from SecureNet Insurance provides coverage for expenses incurred due to data breaches, including legal fees, notification costs, credit monitoring, and potential liability arising from the unauthorized disclosure or misuse of confidential information. This insurance protects the parties involved in administrative appeals from the financial consequences of cyber incidents.

Case Study 3: General Liability Insurance, ShieldSure Insurance

ShieldSure Insurance provided general liability insurance coverage to individuals and businesses navigating the administrative appeal process. General liability insurance protects against third-party claims of bodily injury, property damage, or personal injury that may arise during the appeal proceedings.

For example, if a person attending an administrative hearing sustains an injury on the premises or if a property is damaged during the appeal process, general liability insurance from ShieldSure Insurance covers the legal costs and potential settlements or judgments, providing financial protection and peace of mind.