Supreme Court Ruling in Soto v. United States Expands Retroactive CRSC Benefits for Veterans

Supreme Court Delivers a Legal Victory for Combat-Injured Veterans

In a unanimous decision handed down on June 12, 2025, the U.S. Supreme Court ruled in favor of Marine Corps veteran Simon Soto, affirming that the Barring Act’s six-year statute of limitations does not apply to Combat-Related Special Compensation (CRSC) claims. This landmark ruling significantly expands the scope of retroactive benefits available to thousands of disabled veterans nationwide.

Background

Simon Soto, a retired Marine, applied for CRSC benefits in 2016. While the Navy approved his eligibility, it limited his retroactive compensation to just six years, citing the Barring Act (31 U.S.C. § 3702), which generally prohibits payment of claims older than six years. Soto challenged this cap, arguing that the CRSC statute (10 U.S.C. § 1413a) was not subject to the Barring Act because it is administered under a distinct statutory scheme that gives the Secretary of the Navy independent settlement authority.

While a lower court initially sided with Soto, the U.S. Court of Appeals for the Federal Circuit reversed that decision, prompting Soto to petition the Supreme Court.

The Court’s Ruling

In its opinion in Soto v. United States, No. 23-1053, the Supreme Court ruled that the CRSC statute does indeed grant the Secretary the authority to “settle” claims, thereby placing CRSC outside the Barring Act’s limitations period. Writing for the Court, Justice Ketanji Brown Jackson emphasized that CRSC’s statutory structure empowers the Secretary to determine eligibility and the amount due—hallmarks of settlement authority.

“The CRSC statute is just such a law,” wrote Justice Jackson. “It authorizes the Secretary of the military department to determine eligibility and calculate the amount payable. The Barring Act therefore does not apply.”

Read the full opinion: Soto v. United States (SCOTUS Opinion, June 12, 2025)

What This Means for Veterans

This decision clears a long-standing bureaucratic hurdle for veterans who were previously capped at six years of retroactive CRSC payments. With the ruling, veterans may now be eligible for compensation dating back to when their entitlement began—even if it was more than six years ago.

This is especially impactful for retirees who:

  • Received delayed disability ratings from the VA.
  • Were unaware of CRSC eligibility due to miscommunication or misinformation.
  • Faced systemic delays in applying.

Estimates suggest that over 9,000 veterans affected by the six-year limit may now pursue additional tax-free benefits. Veterans previously denied full back pay under CRSC should revisit their claims immediately. Legal assistance from attorneys experienced in military compensation law may be essential in pursuing the additional entitlements now available under the Supreme Court’s ruling.

 

Legal Citations & Resources

This content is provided for informational purposes only and does not constitute legal advice. The Law Offices of David P. Sheldon, PLLC did not represent the plaintiff in this case. Veterans seeking to understand how this decision may impact their Combat-Related Special Compensation (CRSC) entitlements are encouraged to consult with a qualified attorney experienced in military compensation law. Every case is fact-specific, and legal outcomes may vary.

Successful Defense for PHS Officer at Board of Corrections

The Law Offices of David P. Sheldon successfully represented an officer at the PHS Board for Corrections. The firm argued that the officer should receive years of constructive service credit for education, which is now being retroactively applied to the officer’s retirement pay multiplier.  The officer stands to make hundreds of thousands in additional retirement pay in the circumstance.