Bill Text: TX HB4048 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to the attachment of a hospital lien on a cause of action or claim of an injured person who receives hospital services.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-04-03 - Referred to Public Health [HB4048 Detail]
Download: Texas-2017-HB4048-Introduced.html
By: Thierry | H.B. No. 4048 |
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relating to the attachment of a hospital lien on a cause of action | ||
or claim of an injured person who receives hospital services. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 55.001(3), Property Code, is amended to | ||
read as follows: | ||
(3) "Hospital" has the meaning assigned by Section | ||
241.003, Health and Safety Code [ |
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SECTION 2. Sections 55.002(a) and (b), Property Code, are | ||
amended to read as follows: | ||
(a) A hospital has a lien on a cause of action or claim of an | ||
individual who receives hospital services for injuries caused by an | ||
accident that is attributed to the negligence of another person. | ||
For the lien to attach, the individual must receive services from | ||
[ |
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accident. | ||
(b) The lien extends to both the [ |
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which an individual initially receives services and a hospital to | ||
which the individual is transferred for treatment of the same | ||
injury. | ||
SECTION 3. Section 55.003(a), Property Code, is amended to | ||
read as follows: | ||
(a) A lien under this chapter attaches to: | ||
(1) a cause of action for damages arising from an | ||
injury for which the injured individual receives services from [ |
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(2) a judgment of a court in this state or the decision | ||
of a public agency in a proceeding brought by the injured individual | ||
or by another person entitled to bring the suit in case of the death | ||
of the individual to recover damages arising from an injury for | ||
which the injured individual receives services from [ |
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(3) the proceeds of a settlement of a cause of action | ||
or a claim by the injured individual or another person entitled to | ||
make the claim, arising from an injury for which the injured | ||
individual receives services from [ |
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receives emergency medical services. | ||
SECTION 4. Sections 55.004(b) and (c), Property Code, are | ||
amended to read as follows: | ||
(b) A hospital lien described by Section 55.002(a) is for | ||
the amount of the hospital's charges for services provided to the | ||
injured individual during the first 100 days that [ |
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individual receives services from the hospital [ |
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(c) A hospital lien described by Section 55.002(a) may also | ||
include the amount of a physician's reasonable and necessary | ||
charges for emergency hospital care services provided to the | ||
injured individual during the first seven days that [ |
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injured individual receives services from the hospital | ||
[ |
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the hospital may act on the physician's behalf in securing and | ||
discharging the lien. | ||
SECTION 5. Section 55.009 Property Code, is added to read as | ||
follows: | ||
Sec. 55.009. RECOVERY LIMITED. (a) If a person is entitled | ||
by law to seek a recovery of medical expenses for injuries caused by | ||
an accident that is attributed to the negligence of another person, | ||
the person and all lien holders are entitled to recover as provided | ||
by Subsection (b) or (c). | ||
(b) This subsection applies when a person is not represented | ||
by an attorney in obtaining a recovery. The person and all lien | ||
holders are entitled to recover under Subsection (a) of a person's | ||
recovery in an amount that is equal to the lesser of: | ||
(1) one-half of the person's gross recovery; or | ||
(2) the total amount provided by Sec 55.004. | ||
(c) This subsection applies when a person is represented by | ||
an attorney in obtaining a recovery. The person and lien holders | ||
share under Subsection (a) of a person's recovery is an amount that | ||
is equal to the lesser of: | ||
(1) one-half of the person's gross recovery less | ||
attorney's fees and procurement costs as provided by Section | ||
55.011; or | ||
(2) the total under Sec 55.004 less attorney's fees and | ||
procurement costs as provided by Section 55.011. | ||
SECTION 6. Section 55.010 Property Code, is added to read as | ||
follows: | ||
Sec. 55.010. ATTORNEY'S FEES IN DECLARATORY JUDGMENT | ||
ACTION. Notwithstanding Section 37.009 or any other law, if a | ||
declaratory judgment action is brought under this chapter, the | ||
court may not award costs or attorney's fees to any party in the | ||
action for the declaratory judgment action. | ||
SECTION 7. Section 55.011 Property Code, is added to read as | ||
follows: | ||
Sec. 55.011. ATTORNEY'S FEES IN RECOVERY ACTION. (a) Except | ||
as provided by Subsection (c), a lien holder whose interest is not | ||
actively represented by an attorney in an action seeking a recovery | ||
for injuries caused by an accident that is attributed to the | ||
negligence of another person shall pay to an attorney representing | ||
the person a fee in an amount determined under an agreement entered | ||
into between the attorney and the lien holder plus a pro rata share | ||
of expenses incurred in connection with the recovery. | ||
(b) Except as provided by Subsection (c), in the absence of | ||
an agreement described by Subsection (a), the court shall award to | ||
the attorney, payable out of the lien holder's share of the total | ||
gross recovery, a reasonable fee for recovery of their share, not | ||
to exceed one-third of their recovery, plus a pro rata share of | ||
expenses incurred in connection with the recovery. | ||
(c) If an attorney representing the lien holder's interest | ||
actively participates in obtaining a recovery, the court shall | ||
award and apportion between the person's attorney and lien holder's | ||
attorney a fee and pro rata expenses payable out of recovery. In | ||
apportioning the award, the court shall consider the benefit | ||
accruing to the lien holder as a result of each attorney's service. | ||
The total attorney's fees may not exceed one-third of the payor's | ||
recovery. | ||
SECTION 8. Section 55.012 Property Code, is added to read as | ||
follows: | ||
Sec. 55.012. CONSTRUCTION OF CHAPTER. Nothing in this | ||
chapter shall be construed to prevent a hospital or emergency | ||
medical services provider from waiving, negotiating, or not | ||
pursuing any claim or recovery described in this chapter. The | ||
injured individual or their authorized representative retains | ||
exclusive authority to conduct negotiations on behalf of the | ||
injured individual in the absence of a court order. | ||
SECTION 13 | ||
. The change in law made by this Act applies only | ||
to a lien for services provided to an injured individual on or after | ||
the effective date of this Act. A lien for services provided before | ||
the effective date of this Act is governed by the law as it existed | ||
immediately before the effective date of this Act, and that law is | ||
continued in effect for that purpose. | ||
SECTION 14. This Act takes effect September 1, 2017. |