An ongoing court case has alleged that, for approximately 35 years, the VA’s claims management system erroneously closed tens of thousands of cases that had timely filed administrative appeals, potentially denying numerous veterans or their surviving dependents the VA benefits they deserve. The case has resulted in a potential settlement under which the VA has agreed to reactivate certain claims and allow other veterans whose claims the VA might have improperly closed to petition the department to review and potentially reactivate their cases. Some of these veterans may qualify for substantial back pay if they ultimately have their claims approved.
Background of the Freund v. Collins Case
In Freund v. Collins, a group of petitioners filed suit against the VA, alleging that the department erroneously closed their administrative appeals in the VA’s legacy appeals system because the VA’s Veterans Appeals Control and Locator System incorrectly flagged their and other veterans’ claims as lacking a substantive appeal. The petitioners, who brought a class action, sought to have their claims and those of other potential class members reopened and their administrative appeals processed with the priority dates of their claims as originally filed.
The U.S. Court of Appeals for Veterans Claims certified a class that consists of “all claimants with an appeal file in the Veterans Appeals Control and Locator System that has been closed in the period between December 12, 1990, and February 6, 2025, due to the lack of a timely filed substantive appeal and which appeal remains closed.” Thus, any veteran who filed a VA benefits claim and had their claim closed between December 12, 1990, and February 6, 2025, because they did not file a timely substantive appeal and their claims remain closed under the VA’s legacy appeals system, qualifies as a member of the class in Freund. However, the class excludes veterans whose appeals fall within the VA’s newer, current AMA appeals system.
What Is the Proposed Settlement?
The lead plaintiffs in Freund and the VA have reached a tentative settlement agreement, which they have presented to the CAVC for approval. If the court approves the settlement, it will bind the VA and all the members of the certified class. The court ordered the VA to notify class members of the settlement and their right to object if they find the settlement’s terms unfair, unreasonable, or inadequate.
Under the proposed settlement, the VA would:
- Manually review each of the nearly 30,000 appeal files that the VA has identified as having been closed while having one or more documents that may potentially qualify as a timely substantive appeal
- Reactivate any appeal files that have a timely substantive appeal
- Notifying the claimant of the reactivation
- Expeditiously process any reactivated cases
The VA must also notify any claimants whose claims fall within the class period of their right to request a review of their case file for a potential timely substantive appeal.

What Should Veterans Do If They Receive a Notice?
If you receive a notice from the VA as contemplated by the Freund settlement, you should contact a VA disability attorney as soon as possible to understand what the VA intends to do with your claim and to get help pursuing disability benefits if the VA reactivates your claim. Even if you do not receive any notice, you should still seek legal counsel if you think the VA may have erroneously closed your claim, like the others in Freund, as you may have the right to request the VA review your claim for potential reactivation.
Contact Our VA Disability Benefits Attorneys Today If the VA Reactivates Your Claim After the Freund Settlement
Contact Coskrey Law today for a free, no-obligation consultation with a knowledgeable VA disability benefits lawyer if you receive a notice about the Freund case or if you think your VA disability benefits claim may have been erroneously closed because the VA’s systems flagged it as not having a timely administrative appeal. Our firm can help you fight to reopen your claim and pursue an appeal to secure the disability benefits you deserve.

