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Cal. hospitals can't place liens on insured patients' tort awards.

Publication: Trial
Publication Date: 01-JUN-05
Format: Online - approximately 637 words
Delivery: Immediate Online Access

Article Excerpt
A hospital cannot assert a lien against a patient's tort recovery for the difference between its "actual" costs and the amount paid by the patient and his or her insurer, the California Supreme Court has ruled. When a hospital agrees, as part of a preferred provider organization (PPO), to accept reduced fees "as payment in full" for treating an in-network patient, there is no further debt, the court held. (Parnell v. Adventist Health Sys./West, 109 P.3d 69 (Cal. 2005).)

"The ruling upholds the reasonable expectation of the PPO patient or insured of what his...

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