1 | 1 | | By: Thierry H.B. No. 4048 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | relating to the attachment of a hospital lien on a cause of action |
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7 | 7 | | or claim of an injured person who receives hospital services. |
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8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 9 | | SECTION 1. Section 55.001(3), Property Code, is amended to |
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10 | 10 | | read as follows: |
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11 | 11 | | (3) "Hospital" has the meaning assigned by Section |
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12 | 12 | | 241.003, Health and Safety Code [means a person or institution |
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13 | 13 | | maintaining a facility that provides hospital services in this |
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14 | 14 | | state]. |
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15 | 15 | | SECTION 2. Sections 55.002(a) and (b), Property Code, are |
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16 | 16 | | amended to read as follows: |
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17 | 17 | | (a) A hospital has a lien on a cause of action or claim of an |
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18 | 18 | | individual who receives hospital services for injuries caused by an |
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19 | 19 | | accident that is attributed to the negligence of another person. |
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20 | 20 | | For the lien to attach, the individual must receive services from |
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21 | 21 | | [be admitted to] a hospital not later than 72 hours after the |
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22 | 22 | | accident. |
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23 | 23 | | (b) The lien extends to both the [admitting] hospital from |
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24 | 24 | | which an individual initially receives services and a hospital to |
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25 | 25 | | which the individual is transferred for treatment of the same |
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26 | 26 | | injury. |
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27 | 27 | | SECTION 3. Section 55.003(a), Property Code, is amended to |
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28 | 28 | | read as follows: |
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29 | 29 | | (a) A lien under this chapter attaches to: |
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30 | 30 | | (1) a cause of action for damages arising from an |
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31 | 31 | | injury for which the injured individual receives services from [is |
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32 | 32 | | admitted to] the hospital or receives emergency medical services; |
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33 | 33 | | (2) a judgment of a court in this state or the decision |
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34 | 34 | | of a public agency in a proceeding brought by the injured individual |
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35 | 35 | | or by another person entitled to bring the suit in case of the death |
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36 | 36 | | of the individual to recover damages arising from an injury for |
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37 | 37 | | which the injured individual receives services from [is admitted |
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38 | 38 | | to] the hospital or receives emergency medical services; and |
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39 | 39 | | (3) the proceeds of a settlement of a cause of action |
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40 | 40 | | or a claim by the injured individual or another person entitled to |
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41 | 41 | | make the claim, arising from an injury for which the injured |
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42 | 42 | | individual receives services from [is admitted to] the hospital or |
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43 | 43 | | receives emergency medical services. |
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44 | 44 | | SECTION 4. Sections 55.004(b) and (c), Property Code, are |
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45 | 45 | | amended to read as follows: |
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46 | 46 | | (b) A hospital lien described by Section 55.002(a) is for |
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47 | 47 | | the amount of the hospital's charges for services provided to the |
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48 | 48 | | injured individual during the first 100 days that [of] the injured |
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49 | 49 | | individual receives services from the hospital [individual's |
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50 | 50 | | hospitalization]. |
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51 | 51 | | (c) A hospital lien described by Section 55.002(a) may also |
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52 | 52 | | include the amount of a physician's reasonable and necessary |
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53 | 53 | | charges for emergency hospital care services provided to the |
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54 | 54 | | injured individual during the first seven days that [of] the |
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55 | 55 | | injured individual receives services from the hospital |
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56 | 56 | | [individual's hospitalization]. At the request of the physician, |
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57 | 57 | | the hospital may act on the physician's behalf in securing and |
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58 | 58 | | discharging the lien. |
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59 | 59 | | SECTION 5. Section 55.009 Property Code, is added to read as |
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60 | 60 | | follows: |
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61 | 61 | | Sec. 55.009. RECOVERY LIMITED. (a) If a person is entitled |
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62 | 62 | | by law to seek a recovery of medical expenses for injuries caused by |
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63 | 63 | | an accident that is attributed to the negligence of another person, |
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64 | 64 | | the person and all lien holders are entitled to recover as provided |
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65 | 65 | | by Subsection (b) or (c). |
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66 | 66 | | (b) This subsection applies when a person is not represented |
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67 | 67 | | by an attorney in obtaining a recovery. The person and all lien |
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68 | 68 | | holders are entitled to recover under Subsection (a) of a person's |
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69 | 69 | | recovery in an amount that is equal to the lesser of: |
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70 | 70 | | (1) one-half of the person's gross recovery; or |
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71 | 71 | | (2) the total amount provided by Sec 55.004. |
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72 | 72 | | (c) This subsection applies when a person is represented by |
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73 | 73 | | an attorney in obtaining a recovery. The person and lien holders |
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74 | 74 | | share under Subsection (a) of a person's recovery is an amount that |
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75 | 75 | | is equal to the lesser of: |
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76 | 76 | | (1) one-half of the person's gross recovery less |
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77 | 77 | | attorney's fees and procurement costs as provided by Section |
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78 | 78 | | 55.011; or |
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79 | 79 | | (2) the total under Sec 55.004 less attorney's fees and |
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80 | 80 | | procurement costs as provided by Section 55.011. |
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81 | 81 | | SECTION 6. Section 55.010 Property Code, is added to read as |
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82 | 82 | | follows: |
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83 | 83 | | Sec. 55.010. ATTORNEY'S FEES IN DECLARATORY JUDGMENT |
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84 | 84 | | ACTION. Notwithstanding Section 37.009 or any other law, if a |
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85 | 85 | | declaratory judgment action is brought under this chapter, the |
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86 | 86 | | court may not award costs or attorney's fees to any party in the |
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87 | 87 | | action for the declaratory judgment action. |
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88 | 88 | | SECTION 7. Section 55.011 Property Code, is added to read as |
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89 | 89 | | follows: |
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90 | 90 | | Sec. 55.011. ATTORNEY'S FEES IN RECOVERY ACTION. (a) Except |
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91 | 91 | | as provided by Subsection (c), a lien holder whose interest is not |
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92 | 92 | | actively represented by an attorney in an action seeking a recovery |
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93 | 93 | | for injuries caused by an accident that is attributed to the |
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94 | 94 | | negligence of another person shall pay to an attorney representing |
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95 | 95 | | the person a fee in an amount determined under an agreement entered |
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96 | 96 | | into between the attorney and the lien holder plus a pro rata share |
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97 | 97 | | of expenses incurred in connection with the recovery. |
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98 | 98 | | (b) Except as provided by Subsection (c), in the absence of |
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99 | 99 | | an agreement described by Subsection (a), the court shall award to |
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100 | 100 | | the attorney, payable out of the lien holder's share of the total |
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101 | 101 | | gross recovery, a reasonable fee for recovery of their share, not |
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102 | 102 | | to exceed one-third of their recovery, plus a pro rata share of |
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103 | 103 | | expenses incurred in connection with the recovery. |
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104 | 104 | | (c) If an attorney representing the lien holder's interest |
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105 | 105 | | actively participates in obtaining a recovery, the court shall |
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106 | 106 | | award and apportion between the person's attorney and lien holder's |
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107 | 107 | | attorney a fee and pro rata expenses payable out of recovery. In |
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108 | 108 | | apportioning the award, the court shall consider the benefit |
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109 | 109 | | accruing to the lien holder as a result of each attorney's service. |
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110 | 110 | | The total attorney's fees may not exceed one-third of the payor's |
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111 | 111 | | recovery. |
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112 | 112 | | SECTION 8. Section 55.012 Property Code, is added to read as |
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113 | 113 | | follows: |
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114 | 114 | | Sec. 55.012. CONSTRUCTION OF CHAPTER. Nothing in this |
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115 | 115 | | chapter shall be construed to prevent a hospital or emergency |
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116 | 116 | | medical services provider from waiving, negotiating, or not |
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117 | 117 | | pursuing any claim or recovery described in this chapter. The |
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118 | 118 | | injured individual or their authorized representative retains |
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119 | 119 | | exclusive authority to conduct negotiations on behalf of the |
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120 | 120 | | injured individual in the absence of a court order. |
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121 | 121 | | SECTION 13 |
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122 | 122 | | . The change in law made by this Act applies only |
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123 | 123 | | to a lien for services provided to an injured individual on or after |
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124 | 124 | | the effective date of this Act. A lien for services provided before |
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125 | 125 | | the effective date of this Act is governed by the law as it existed |
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126 | 126 | | immediately before the effective date of this Act, and that law is |
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127 | 127 | | continued in effect for that purpose. |
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128 | 128 | | SECTION 14. This Act takes effect September 1, 2017. |
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