77(R) SB 913 Engrossed version - Bill Text.html

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77® SB 913 Engrossed version - Bill TextI've been told the trial lawyers

oppsed this in the beginning, but I don't know their current position.

Ron

By: Ogden S.B. No. 913

A BILL TO BE ENTITLED

1-1 AN ACT

1-2 relating to a lien on a cause of action or claim of an individual

1-3 who receives certain medical services.

1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-5 SECTION 1. Chapter 55, Property Code, is amended to read as

1-6 follows:

1-7 CHAPTER 55. HOSPITAL AND EMERGENCY MEDICAL SERVICES LIENS [LIEN]

1-8 Sec. 55.001. DEFINITIONS. In this chapter:

1-9 (1) " Emergency medical services " has the meaning

1-10 assigned by Section 773.003, Health and Safety Code.

1-11 (2) " Emergency medical services provider " has the

1-12 meaning assigned by Section 773.003, Health and Safety Code.

1-13 (3) " Hospital " means a person or institution

1-14 maintaining a facility that provides hospital services in this

1-15 state.

1-16 (4) [(2)] " Person " does not include a county, common,

1-17 or independent school district.

1-18 Sec. 55.002. LIEN. (a) A hospital has a lien on a cause of

1-19 action or claim of an individual who receives hospital services for

1-20 injuries caused by an accident that is attributed to the negligence

1-21 of another person. For the lien to attach, the individual must be

1-22 admitted to a hospital not later than 72 hours after the accident.

1-23 [(] The lien extends to both the admitting hospital and a

1-24 hospital to which the individual is transferred for treatment of

1-25 the same injury.

2-1 ( An emergency medical services provider has a lien on a

2-2 cause of action or claim of an individual who receives emergency

2-3 medical services in a county with a population of 275,000 or less

2-4 for injuries caused by an accident that is attributed to the

2-5 negligence of another person. For the lien to attach, the

2-6 individual must receive the emergency medical services not later

2-7 than 72 hours after the accident.

2-8 Sec. 55.003. PROPERTY TO WHICH LIEN ATTACHES. (a) A [The]

2-9 lien under this chapter attaches to:

2-10 (1) a cause of action for damages arising from an

2-11 injury for which the injured individual is admitted to the hospital

2-12 or receives emergency medical services;

2-13 (2) a judgment of a court in this state or the

2-14 decision of a public agency in a proceeding brought by the injured

2-15 individual or by another person entitled to bring the suit in case

2-16 of the death of the individual to recover damages arising from an

2-17 injury for which the injured individual is admitted to the hospital

2-18 or receives emergency medical services; and

2-19 (3) the proceeds of a settlement of a cause of action

2-20 or a claim by the injured individual or another person entitled to

2-21 make the claim, arising from an injury for which the injured

2-22 individual is admitted to the hospital or receives emergency

2-23 medical services.

2-24 ( The lien does not attach to:

2-25 (1) a claim under the workers' compensation law of

2-26 this state, the Federal Employees Liability Act, or the Federal

3-1 Longshore and [Longshoremen's or] Harbor Workers' Compensation Act;

3-2 or

3-3 (2) [a claim against the owner or operator of a

3-4 railroad company that maintains or whose employees maintain a

3-5 hospital in which the injured individual is receiving hospital

3-6 services; or]

3-7 [(3)] the proceeds of an insurance policy in favor of

3-8 the injured individual or the injured individual's beneficiary or

3-9 legal representative, except public liability insurance carried by

3-10 the insured that protects the insured against loss caused by an

3-11 accident or collision.

3-12 © A hospital lien described by Section 55.002(a) does not

3-13 attach to a claim against the owner or operator of a railroad

3-14 company that maintains or whose employees maintain a hospital in

3-15 which the injured individual is receiving hospital services.

3-16 Sec. 55.004. AMOUNT OF LIEN. (a) A hospital [The] lien

3-17 described by Section 55.002(a) is for the amount of the hospital's

3-18 charges for services provided to the injured individual during the

3-19 first 100 days of the injured individual's hospitalization, except

3-20 that the lien does not cover:

3-21 (1) charges for operating costs that exceed the cost

3-22 limits established under Section 413.30 [405.460], 42 Code of

3-23 Federal Regulations; [or]

3-24 (2) charges for other services that exceed a

3-25 reasonable and regular rate for the services;

3-26 (3) charges by the emergency medical services provider

4-1 related to any services for which the emergency medical services

4-2 provider has accepted insurance benefits or payment under a private

4-3 medical indemnity plan or program, regardless of whether the

4-4 benefits or payment equals the full amount of the provider's

4-5 charges for those services; or

4-6 (4) charges by the emergency medical services provider

4-7 for services provided if the injured individual has coverage under

4-8 a private medical indemnity plan or program from which the provider

4-9 is entitled to recover payment for the provider's services under an

4-10 assignment of benefits or similar right.

4-11 ( An emergency medical services lien described by Section

4-12 55.002( is for the amount charged by the emergency medical

4-13 services provider for emergency medical services provided to the

4-14 injured individual during the 72 hours following the accident that

4-15 caused the individual's injuries, except that the lien does not

4-16 cover charges for services that exceed a reasonable and regular

4-17 rate for the services.

4-18 © A hospital [The] lien described by Section 55.002(a) is

4-19 not affected by a hospital's use of a method of classifying

4-20 patients according to their ability to pay that is solely intended

4-21 to obtain a lien for services provided to an indigent injured

4-22 individual.

4-23 Sec. 55.005. SECURING LIEN. (a) To secure the lien, a

4-24 hospital or emergency medical services provider must file written

4-25 notice of the lien with the county clerk of the county in which the

4-26 [hospital] services were provided. The notice must be filed before

5-1 money is paid to an entitled person because of the injury.

5-2 ( The notice must contain:

5-3 (1) the injured individual's name and address;

5-4 (2) the date of the accident;

5-5 (3) the name and location of the hospital or emergency

5-6 medical services provider claiming the lien; and

5-7 (4) the name of the person alleged to be liable for

5-8 damages arising from the injury, if known.

5-9 © The county clerk shall record the name of the injured

5-10 individual, the date of the accident, and the name and address of

5-11 the hospital or emergency medical services provider and shall index

5-12 the record in the name of the injured individual.

5-13 Sec. 55.006. DISCHARGE OF LIEN. (a) To discharge a [the]

5-14 lien under this chapter, the [hospital] authorities of the hospital

5-15 or emergency medical services provider claiming the lien or the

5-16 person in charge of the finances of the hospital or emergency

5-17 medical services provider must execute and file with the county

5-18 clerk of the county in which the lien notice was filed a

5-19 certificate stating that the debt covered by the lien has been paid

5-20 or released and authorizing the clerk to discharge the lien.

5-21 ( The county clerk shall record a memorandum of the

5-22 certificate and the date it was filed.

5-23 © The filing of the certificate and recording of the

5-24 memorandum discharge the lien.

5-25 Sec. 55.007. VALIDITY OF RELEASE. (a) A release of a cause

5-26 of action or judgment to which a [the] lien under this chapter may

6-1 attach is not valid unless:

6-2 (1) the [hospital's] charges of the hospital or

6-3 emergency medical services provider claiming the lien were paid in

6-4 full before the execution and delivery of the release;

6-5 (2) the [hospital's] charges of the hospital or

6-6 emergency medical services provider claiming the lien were paid

6-7 before the execution and delivery of the release to the extent of

6-8 any full and true consideration paid to the injured individual by

6-9 or on behalf of the other parties to the release; or

6-10 (3) the hospital or emergency medical services

6-11 provider claiming the lien is a party to the release.

6-12 ( A judgment to which a [the] lien under this chapter has

6-13 attached remains in effect until the [hospital's] charges of the

6-14 hospital or emergency medical services provider claiming the lien

6-15 are paid in full or to the extent set out in the judgment.

6-16 Sec. 55.008. [HOSPITAL] RECORDS. (a) On request by an

6-17 attorney for a party by, for, or against whom a claim is asserted

6-18 for damages arising from an injury, a hospital or emergency medical

6-19 services provider shall as promptly as possible make available for

6-20 the attorney's examination its records concerning the services

6-21 provided to the injured individual.

6-22 ( The hospital or emergency medical services provider may

6-23 issue reasonable rules for granting access to its records under

6-24 this section, but it may not deny access because a record is

6-25 incomplete.

6-26 © The records are admissible, subject to applicable rules

7-1 of evidence, in a civil suit arising from the injury.

7-2 SECTION 2. (a) This Act takes effect September 1, 2001.

7-3 ( The change in law made by this Act applies only to

7-4 emergency medical services provided by an emergency medical

7-5 services provider on or after the effective date of this Act.

7-6 Emergency medical services provided by an emergency medical

7-7 services provider before the effective date of this Act are

7-8 governed by the law in effect at the time the services were

7-9 provided, and the former law is continued in effect for that

7-10 purpose.