DISABILITY COMPENSATION: Three paths to C-123 vets' retroactive compensation

Many of us C-123 veterans were diagnosed with Agent Orange illnesses before the VA recognized our rights to disability compensation. At that time (June 2015) it seemed impossible to get VA to recognize those claims from the date filed, as VA usually does. 

Last month that changed! In our favor!

An October decision at the Board of Veterans Appeals, supported by similar decisions in years past, suggest three approaches to retroactive compensation for C-123 veterans. There is no certainty, because decisions at the BVA do not set precedent. Decisions do, however, offer guidance. VBA seeks consistency, and thus far BVA decisions are 100% behind retroactive disability benefits.

Here are three situations where I see VA awarding retroactive disability compensation to C-123 veterans. Obviously, for those vets with illnesses diagnosed after June 2015 and who file claims after June 2015, the date of filing should be the effective date for compensation if approved.

 1. Veterans who filed disability claims on or after June 2015 who were diagnosed before June 2015 and whose illnesses continued until the date of filing their claim; in those cases, it seems that up to 12 months of compensation may be recovered:

 “Retroactive effective dates are allowed, to a certain extent, in cases where an award or increase of compensation is granted pursuant to a liberalizing law.  38 U.S.C.A. § 5110 (g); 38 C.F.R. § 3.114 (a). Under these provisions, the claimant must have met all eligibility criteria for the liberalized benefit on the effective date of the liberalizing law or VA issue, and have been continuously eligible from that date to the date of claim or administrative determination of entitlement. These provisions apply to original and reopened claims, as well as claims for increase. Id.; see also McCay v. Brown, 9 Vet. App. 183, 188 (1996), aff'd, 106 F.3d 1577, 1581 (Fed. Cir. 1997).
In such cases, the effective date of the award or increase shall be fixed in accordance with the facts found, but shall not be earlier than the effective date of the liberalizing law or VA issue. 38 C.F.R. § 3.114 (a). For claims received more than one year after the effective date of the liberalizing law or VA issue, benefits may be authorized for a period of one year prior to the date of receipt of the request for review. Id.”

2. Veterans who had a disabling line of duty injury during the period (1972-1982) that they were also being exposed to Agent Orange, thus establishing veteran status:

“Exposure constitutes an injury under 38 U.S.C. 101 (24) (B) and (C). If an individual described in this paragraph develops a disease listed in 38 CFR 3.309(e) as specified in paragraph (a)(6)(ii) of this section, it will be presumed that the individual concerned became disabled during that service for purposes of establishing that the individual served in the active military, naval, or air service.”

3.     Veterans with VA disability claims for Agent Orange-related illnesses predating June 2015 and who were denied retroactive compensation, receiving compensation only from June 2015 forward:

“GC Precedent Opinion VAOPGEPREC 4-2002 recognizes that a reservist's adverse reaction to exposure to a toxin during ADT qualifies as an injury under 38 USC 101(24) and therefore entitles him to compensation under 38 U.S.C. 110 or 1131. Thus, the regulation that grants presumptive C-123 rule was not a liberalizing law and his benefits should pre-date the effective date of 38 C.F.R. § 3.307 (a)(6) (v).”