23 SB 168/FA S. B. 168 - 1 - Senate Bill 168 By: Senators Williams of the 25th, Summers of the 13th, Still of the 48th, Echols of the 49th and Harbin of the 16th A BILL TO BE ENTITLED AN ACT To amend Part 8 of Article 8 of Chapter 14 of Title 44 of the Official Code of Georgia 1 Annotated, relating to liens of hospitals and nursing homes, so as to allow a chiropractic2 practice to have a lien on a cause of action accruing to an injured person for the costs of care3 and treatment of injuries arising out of the cause of action; to require the filing of a claim4 with any health insurer providing coverage to an injured person; to revise definitions; to5 provide for related matters; to repeal conflicting laws; and for other purposes.6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 SECTION 1.8 Part 8 of Article 8 of Chapter 14 of Title 44 of the Official Code of Georgia Annotated,9 relating to liens of hospitals and nursing homes, is amended by revising said part as follows:10 "Part 811 44-14-470.12 (a) Except where the context otherwise requires in subsection (b) of this Code section, as13 used in this part, the term:14 23 SB 168/FA S. B. 168 - 2 - (1) 'Chiropractic practice' means any chiropractic practice that includes one or more15 chiropractors licensed to practice chiropractic in this state.16 (1)(2) 'Hospital' means any hospital or nursing home subject to regulation and licensure17 by the Department of Community Health.18 (2)(3) 'Hospital care, treatment, or services' means care, treatment, or services furnished19 by a hospital or nursing home.20 (3)(4) 'Nursing home' means any intermediate care home, skilled nursing home, or21 intermingled home.22 (4)(5) 'Physician practice' means any medical practice that includes one or more23 physicians licensed to practice medicine in this state.24 (5)(6) 'Traumatic burn care medical practice' means care, treatment, or services rendered25 by a medical practice with respect to a patient whose burn care, treatment, or services26 resulted in charges in excess of $50,000.00, arising out of a single accident or occurrence.27 (b) Any person, firm, hospital authority, or corporation operating a hospital, nursing home,28 or physician practice, or chiropractic practice, or providing traumatic burn care medical29 practice in this state shall have a lien for the reasonable charges for hospital, nursing home,30 physician practice, chiropractic practice, or traumatic burn care medical practice care and31 treatment of an injured person, which lien shall be upon any and all causes of action32 accruing to the person to whom the care was furnished or to the legal representative of such33 person on account of injuries giving rise to the causes of action and which necessitated the34 hospital, nursing home, physician practice, chiropractic practice, or provider of traumatic35 burn care medical practice care, subject, however, to any attorney's lien and in the case of36 any chiropractic lien, said lien shall also be subject to any hospital lien. The lien provided37 for in this subsection is only a lien against such causes of action and shall not be a lien38 against such injured person, such legal representative, or any other property or assets of39 such persons and shall not be evidence of such person's failure to pay a debt. This40 23 SB 168/FA S. B. 168 - 3 - subsection shall not be construed to interfere with the exemption from this part provided 41 by Code Section 44-14-474.42 44-14-471.43 (a) In order to perfect the lien provided for in Code Section 44-14-470, the operator of the44 hospital, nursing home, physician practice, chiropractic practice, or provider of traumatic45 burn care medical practice:46 (1) Shall, not less than 15 days prior to the date of filing the statement required under47 paragraph (2) of this subsection, provide written notice to the patient and, to the best of48 the claimant's knowledge, the persons, firms, corporations, and their insurers claimed by49 the injured person or the legal representative of the injured person to be liable for50 damages arising from the injuries and shall include in such notice a statement that the lien51 is not a lien against the patient or any other property or assets of the patient and is not52 evidence of the patient's failure to pay a debt. Such notice shall be sent to all such53 persons and entities by first-class and certified mail or statutory overnight delivery, return54 receipt requested; and55 (2) Shall file in the office of the clerk of the superior court of the county in which the56 hospital, nursing home, physician practice, chiropractic practice, or provider of traumatic57 burn care medical practice is located and in the county wherein the patient resides, if a58 resident of this state, a verified statement setting forth the name and address of the patient59 as it appears on the records of the hospital, nursing home, physician practice, chiropractic60 practice, or provider of traumatic burn care medical practice; the name and location of61 the hospital, nursing home, physician practice, chiropractic practice, or provider of62 traumatic burn care medical practice and the name and address of the operator thereof;63 the dates of admission and discharge of the patient therefrom or with respect to a64 physician practice or chiropractic practice, the dates of treatment; and the amount claimed65 to be due for the hospital, nursing home, physician practice, chiropractic practice, or66 23 SB 168/FA S. B. 168 - 4 - provider of traumatic burn care medical practice care, which statement must be filed 67 within the following time period:68 (A) If the statement is filed by a hospital, nursing home, or provider of traumatic burn69 care medical practice, then the statement shall be filed within 75 days after the person70 has been discharged from the facility; or71 (B) If the statement is filed by a physician practice or chiropractic practice , then the72 statement shall be filed within 90 days after the person first sought treatment from the73 physician practice or chiropractic practice for the injury.74 (b) The filing of the claim or lien shall be notice thereof to all persons, firms, or75 corporations liable for the damages, whether or not they received the written notice76 provided for in this Code section. The failure to perfect such lien by timely complying77 with the notice and filing provisions of paragraphs (1) and (2) of subsection (a) of this78 Code section shall invalidate such lien, except as to any person, firm, or corporation liable79 for the damages, which receives prior to the date of any release, covenant not to bring an80 action, or settlement, actual notice of a notice and filed statement made under81 subsection (a) of this Code section, via hand delivery, certified mail, return receipt82 requested, or statutory overnight delivery with confirmation of receipt. 83 (c) No filing of a claim or lien under this part shall be enforceable unless the person, firm,84 hospital authority, or corporation operating a hospital, nursing home, physician practice,85 chiropractic practice, or traumatic burn care medical practice filing such claim or lien first86 submitted a claim to each health insurer of the injured person, if such injured person has87 health insurance coverage, and had such claim rejected.88 44-14-472.89 The clerk of the superior court shall endorse the date and hour of filing on the statement90 filed pursuant to Code Section 44-14-471; and, at the expense of the county, the clerk shall91 provide a lien book with a proper index in which the clerk shall enter the date and hour of92 the filing; the names and addresses of the hospital, nursing home, physician practice,93 23 SB 168/FA S. B. 168 - 5 - chiropractic practice, or provider of traumatic burn care medical practice, the operators94 thereof, and the patient; and the amount claimed. The information shall be recorded in the95 name of the patient. The clerk shall receive a fee as required by subparagraph (f)(1)(A) of96 Code Section 15-6-77 as his or her fee for such filing.97 44-14-473.98 (a) No release of the cause or causes of action or of any judgment thereon or any covenant99 not to bring an action thereon shall be valid or effectual against the lien created by Code100 Section 44-14-470 unless the holder thereof shall join therein or execute a release of the101 lien; and the claimant or assignee of the lien may enforce the lien by an action against the102 person, firm, or corporation liable for the damages or such person, firm, or corporation's103 insurer. If the claimant prevails in the action, the court may allow reasonable attorney's104 fees. The action shall be commenced against the person liable for the damages or such105 person's insurer within one year after the date the liability is finally determined by a106 settlement, by a release, by a covenant not to bring an action, or by the judgment of a court107 of competent jurisdiction.108 (b) No release or covenant not to bring an action which is made before or after the patient109 was discharged from the hospital, nursing home, chiropractic practice, or provider of110 traumatic burn care medical practice or, with respect to a physician practice, which is made111 after the patient first sought treatment from the physician practice or chiropractic practice112 for the injuries shall be effective against the lien perfected in accordance with Code113 Section 44-4-471, if such lien is perfected prior to the date of the release, covenant not to114 bring an action, or settlement unless consented to by the lien claimant; provided, however,115 that any person, firm, or corporation which consummates a settlement, release, or covenant116 not to bring an action with the person to whom hospital, nursing home, physician practice,117 chiropractic practice, or traumatic burn care medical practice care, treatment, or services118 were furnished and which first procures from the injured party an affidavit as prescribed119 23 SB 168/FA S. B. 168 - 6 - in subsection (c) of this Code section shall not be bound or otherwise affected by the lien 120 except as provided in subsection (c) of this Code section, regardless of when the settlement,121 release, or covenant not to bring an action was consummated.122 (c) The affidavit shall affirm:123 (1) That all hospital, nursing home, physician practice, chiropractic practice, or provider124 of traumatic burn care medical practice bills incurred for treatment for the injuries for125 which a settlement is made have been fully paid; and126 (2) The county of residence of such affiant, if a resident of this state;127 provided, however, that the person taking the affidavit shall not be protected thereby where128 the affidavit alleges the county of the affiant's residence and the lien of the claimant is at129 such time on file in the office of the clerk of the superior court of the county and is130 recorded in the name of the patient as it appears in the affidavit.131 44-14-474.132 This part shall not apply to any moneys becoming due under Chapter 9 of Title 34.133 44-14-475.134 No settlement or release entered into or executed prior to the entry of the injured party into135 the hospital, nursing home, or facility which provides traumatic burn care medical practice136 or prior to the time the patient first sought treatment from the physician practice or137 chiropractic practice for the injuries shall be affected by or subject to the terms of this part.138 44-14-476.139 This part shall not be construed to give any hospital, nursing home, physician practice,140 chiropractic practice, or provider of traumatic burn care medical practice referred to in this141 part an independent right of action to determine liability for injuries sustained by a person142 or firm.143 23 SB 168/FA S. B. 168 - 7 - 44-14-477. 144 Any person who gives any false affidavit as provided by Code Section 44-14-473 commits145 the offense of false swearing."146 SECTION 2.147 All laws and parts of laws in conflict with this Act are hereby repealed. 148