To amend title 38, United States Code, to provide that in the case of past-due benefits awarded an individual pursuant to a proceeding before the Secretary of Veterans Affairs, any payment of attorneys fees allowed with respect to such award shall be paid directly to the attorney by the Secretary.

Amends Federal veterans' benefits provisions to require (current law authorizes) the Secretary of Veterans Affairs, in the case of past-due benefits awarded to an individual in a veterans' claims adjudication, to direct that the payment of attorney's fees (not to exceed 20 percent of such award) be made out of such past due benefits.