Senate Bill sb2688

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    Florida Senate - 2002        (NP)                      SB 2688

    By Senator Saunders





    25-1891-02

  1                      A bill to be entitled

  2         An act relating to Collier County; providing

  3         for liens in favor of a nonprofit corporation

  4         operating a charitable hospital within the

  5         county upon causes of action, suits, claims,

  6         counterclaims, and demands accruing to

  7         patients, or their legal representatives;

  8         providing for liens upon amounts due under

  9         hospital insurance and upon judgments,

10         settlements, and settlement agreements for

11         charges for hospital care, treatment, and

12         maintenance; providing for liens upon amounts

13         due under hospitalization, public liability,

14         and other indemnity policies; providing for

15         perfecting and enforcing such liens; providing

16         for recovery of costs, attorney's fees, and

17         expenses; requiring that a claim of lien be

18         recorded; providing recording fees; providing a

19         method for satisfying a lien; providing that a

20         release or satisfaction is not valid unless the

21         lienholder joins in or executes a release;

22         providing that a settlement in the absence of a

23         release is prima facie evidence of an

24         impairment of the lien; providing that the

25         lienholder has a right of action for damages on

26         account of such impairment; providing for

27         recovery from the party accepting a release or

28         satisfaction or making a settlement; providing

29         that the act does not apply to accidents or

30         injuries covered by the state's Workers'

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    Florida Senate - 2002        (NP)                      SB 2688
    25-1891-02




  1         Compensation Law; providing for severability;

  2         providing an effective date.

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  4  Be It Enacted by the Legislature of the State of Florida:

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  6         Section 1.  Any nonprofit corporation operating a

  7  hospital that qualifies as a charitable hospital under section

  8  501(c)(3) of the Internal Revenue Code, located in Collier

  9  County, is entitled to and is given a lien for all reasonable

10  charges for hospital care, treatment, and maintenance of an

11  ill or injured person and for the charges for tests,

12  laboratory work, X rays, drugs, and other items incident to

13  the care and treatment supplied by or charged to the hospital

14  for the benefit of the ill or injured person, the total or

15  unpaid part of which is defined as the "hospital bill." Such

16  lien is upon all causes of action, suits, claims,

17  counterclaims, and demands accruing to the person to or for

18  whom such care, treatment, or maintenance is furnished, or

19  accruing to the legal representative of such person, or to any

20  person who incurs or is liable for the hospital bill,

21  regardless of whether by law or contract. Such lien is also

22  given upon the amounts due and payable under hospitalization

23  insurance or hospital or medical expenses due or payable under

24  a public liability policy, or its indemnity; upon proceeds of

25  such insurance or indemnity agreement; and upon all judgments,

26  settlements, and settlement agreements, and the sums payable

27  thereunder, which are rendered or entered into by virtue

28  thereof and which concern the illness or injuries giving rise

29  to such causes of action, suits, claims, counterclaims,

30  demands, amounts due or payable, proceeds, judgments,

31  settlements, or settlement agreements and which have

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    Florida Senate - 2002        (NP)                      SB 2688
    25-1891-02




  1  necessitated or have directly contributed to the necessity for

  2  such hospital care, treatment, or maintenance, regardless of

  3  whether the illness or injury is the result of a tort or

  4  otherwise.

  5         Section 2.  (1)  In order to perfect such lien, an

  6  executive officer, controller, or agent of the hospital,

  7  within 30 days after the person has been discharged from the

  8  hospital, must file in the office of the Clerk of the Circuit

  9  Court of Collier County a verified claim in writing which

10  contains:

11         (a)  The name and address of the patient, as it appears

12  on the records of the hospital and, if the patient is a minor,

13  the name of the parent or legal guardian of the minor patient;

14         (b)  The name and location of the hospital;

15         (c)  The dates of admission to and discharge of the

16  patient from the hospital;

17         (d)  The amount claimed to be due for hospital care,

18  treatment, and maintenance; and

19         (e)  To the best knowledge of the person signing the

20  claim, the names and addresses, if known, of all persons,

21  firms, or corporations claimed by such ill or injured person,

22  or his or her legal representative, to be liable under

23  hospital or other indemnity insurance.

24         (2)  The claimant shall, within 3 days after filing the

25  claim of lien, mail a copy of the claim of lien by registered

26  or certified mail, with return receipt requested and postage

27  prepaid, to each person, firm, or corporation claimed to be

28  liable under such hospital or other indemnity insurance at the

29  address provided in the claim of lien.

30         (3)  The filing of a claim of lien constitutes notice

31  of the claim each person, firm, or corporation that may be

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    Florida Senate - 2002        (NP)                      SB 2688
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  1  liable on account of such illness or injuries, regardless of

  2  whether the person, firm, or corporation is named in the

  3  claim, and regardless of whether a copy of the claim is

  4  received by the person, firm, or corporation. The claim does

  5  not constitute a lien upon anything other than interests

  6  specified in section 1 and is not a general lien upon the

  7  property or persons named in the claim.

  8         Section 3.  (1)  The Clerk of the Circuit Court of Lee

  9  County shall endorse on each such claim the date and hour of

10  filing in the official records of Collier County, or the clerk

11  may provide a hospital lien book with an index in which he or

12  she shall record the claim and show the date and hour of

13  filing. The clerk shall be paid by the claimant, as his or her

14  fee for filing and recording the claim, the amount authorized

15  for recording under section 28.24, Florida Statutes, as

16  amended.

17         (2)  The hospital claiming a lien shall furnish the

18  patient with a properly executed satisfaction upon payment or

19  discharge of the lien. The clerk shall record any satisfaction

20  that is executed and acknowledged under oath by the lien

21  claimant, through its executive officer, controller, or agent,

22  in the official records of Collier County upon payment of the

23  filing fee authorized under section 28.24, Florida Statutes,

24  as amended.

25         (3)  A release or satisfaction of any action, suit,

26  claim, counterclaim, demand, judgment, settlement, or

27  settlement agreement is not valid or effectual against such

28  lien unless the lienholder joins therein or executes a release

29  of the lien.

30         (4)  An acceptance of a release or satisfaction of any

31  such cause of action, suit, claim, counterclaim, demand,

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    Florida Senate - 2002        (NP)                      SB 2688
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  1  judgment, settlement, or settlement agreement, in the absence

  2  of a release or satisfaction of the lien, constitutes prima

  3  facie evidence of an impairment of the lien, and the

  4  lienholder may recover from the one accepting the release or

  5  satisfaction, or making the settlement, the complete unpaid

  6  reasonable cost of the hospital care, treatment, and

  7  maintenance without limitation, plus the cost of recording the

  8  lien. Satisfaction of any judgment rendered in favor of the

  9  lienholder in any such action operates as a satisfaction of

10  the lien. Any action by the lienholder must be brought in the

11  court having jurisdiction of the amount of the lienholder's

12  claim. If the lienholder prevails in such action, the

13  lienholder is entitled to recover from the defendant all costs

14  allowed by law, together with reasonable attorney's fees to

15  the lienholder's attorney for handling the action.

16         Section 4.  (1)  Regardless of whether the lien has

17  been perfected under section 2, upon a suit being filed by the

18  patient or on the patient's behalf which concerns the illness

19  or injury or care, treatment, and maintenance of the patient,

20  an executive officer, controller, or agent of the hospital may

21  file in the suit a notice of nonpayment of the hospital bill,

22  which notice must be recorded and which constitutes a

23  perfected lien upon any judgment recovered or settlement made

24  to the extent of the unpaid reasonable cost of the hospital

25  care, treatment, and maintenance, without limitation. Such

26  notice must be served upon each party to the suit, and his or

27  her attorney of record, by registered or certified mail.

28         (2)  A release or satisfaction of such action, suit,

29  claim, counterclaim, demand, judgment, settlement, or

30  settlement agreement is not valid or effectual as against such

31  lien unless the lienholder joins therein or executes a release

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    Florida Senate - 2002        (NP)                      SB 2688
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  1  of the lien. An acceptance of a release or satisfaction of any

  2  such cause of action, suit, claim, counterclaim, demand, or

  3  judgment, or a settlement of any of the foregoing in the

  4  absence of a release or satisfaction of the lien, constitutes

  5  prima facie evidence of an impairment of the lien, and the

  6  lienholder is entitled to an action at law for damages on

  7  account of such impairment and, in such action, may recover

  8  from the one accepting the release or satisfaction, or making

  9  the settlement, the complete unpaid reasonable cost of the

10  hospital care, treatment, and maintenance, without limitation.

11  Satisfaction of a judgment rendered in favor of the lienholder

12  in any such action operates as a satisfaction of the lien. Any

13  action by the lienholder must be brought in the court having

14  jurisdiction of the amount of the lienholder's claim. If the

15  lienholder prevails in such action, the lienholder may recover

16  from the defendant all costs allowed by law, together with

17  reasonable attorney's fees to the lienholder's attorney for

18  handling the action.

19         Section 5.  The acceptance of hospital care is deemed a

20  determination that hospitalization insurance was taken out for

21  the benefit of the hospital and as an equitable assignment of

22  the proceeds to the hospital. The hospital may write or stamp

23  upon every statement rendered by it that it claims a lien upon

24  the proceeds of all hospitalization insurance, and such legend

25  is notice to any individual, partnership, firm, association,

26  or corporation into whose possession the statement comes, that

27  the hospital has such a lien. In this event, payment to the

28  policyholder without settlement directly to the hospital by

29  the insurance company makes the insurance company liable to

30  the hospital for the amount of the hospital bill or as much

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    Florida Senate - 2002        (NP)                      SB 2688
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  1  thereof as the policy indemnifies, despite failure of the

  2  hospital to perfect such lien as provided in this act.

  3         Section 6.  This act does not apply to accidents or

  4  injuries within the purview of the Workers' Compensation Law

  5  of this state.

  6         Section 7.  If any provision of this act or its

  7  application to any person or circumstance is held invalid, the

  8  invalidity does not affect other provisions or applications of

  9  the act which can be given effect without the invalid

10  provision or application, and to this end the provisions of

11  this act are severable. The invalidity of any provision of

12  this act with respect to a particular hospital does not affect

13  its validity with respect to any other hospital.

14         Section 8.  This act shall take effect upon becoming a

15  law.

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