Texas 2017 - 85th Regular

Texas House Bill HB4048 Compare Versions

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11 By: Thierry H.B. No. 4048
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44 A BILL TO BE ENTITLED
55 AN ACT
66 relating to the attachment of a hospital lien on a cause of action
77 or claim of an injured person who receives hospital services.
88 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
99 SECTION 1. Section 55.001(3), Property Code, is amended to
1010 read as follows:
1111 (3) "Hospital" has the meaning assigned by Section
1212 241.003, Health and Safety Code [means a person or institution
1313 maintaining a facility that provides hospital services in this
1414 state].
1515 SECTION 2. Sections 55.002(a) and (b), Property Code, are
1616 amended to read as follows:
1717 (a) A hospital has a lien on a cause of action or claim of an
1818 individual who receives hospital services for injuries caused by an
1919 accident that is attributed to the negligence of another person.
2020 For the lien to attach, the individual must receive services from
2121 [be admitted to] a hospital not later than 72 hours after the
2222 accident.
2323 (b) The lien extends to both the [admitting] hospital from
2424 which an individual initially receives services and a hospital to
2525 which the individual is transferred for treatment of the same
2626 injury.
2727 SECTION 3. Section 55.003(a), Property Code, is amended to
2828 read as follows:
2929 (a) A lien under this chapter attaches to:
3030 (1) a cause of action for damages arising from an
3131 injury for which the injured individual receives services from [is
3232 admitted to] the hospital or receives emergency medical services;
3333 (2) a judgment of a court in this state or the decision
3434 of a public agency in a proceeding brought by the injured individual
3535 or by another person entitled to bring the suit in case of the death
3636 of the individual to recover damages arising from an injury for
3737 which the injured individual receives services from [is admitted
3838 to] the hospital or receives emergency medical services; and
3939 (3) the proceeds of a settlement of a cause of action
4040 or a claim by the injured individual or another person entitled to
4141 make the claim, arising from an injury for which the injured
4242 individual receives services from [is admitted to] the hospital or
4343 receives emergency medical services.
4444 SECTION 4. Sections 55.004(b) and (c), Property Code, are
4545 amended to read as follows:
4646 (b) A hospital lien described by Section 55.002(a) is for
4747 the amount of the hospital's charges for services provided to the
4848 injured individual during the first 100 days that [of] the injured
4949 individual receives services from the hospital [individual's
5050 hospitalization].
5151 (c) A hospital lien described by Section 55.002(a) may also
5252 include the amount of a physician's reasonable and necessary
5353 charges for emergency hospital care services provided to the
5454 injured individual during the first seven days that [of] the
5555 injured individual receives services from the hospital
5656 [individual's hospitalization]. At the request of the physician,
5757 the hospital may act on the physician's behalf in securing and
5858 discharging the lien.
5959 SECTION 5. Section 55.009 Property Code, is added to read as
6060 follows:
6161 Sec. 55.009. RECOVERY LIMITED. (a) If a person is entitled
6262 by law to seek a recovery of medical expenses for injuries caused by
6363 an accident that is attributed to the negligence of another person,
6464 the person and all lien holders are entitled to recover as provided
6565 by Subsection (b) or (c).
6666 (b) This subsection applies when a person is not represented
6767 by an attorney in obtaining a recovery. The person and all lien
6868 holders are entitled to recover under Subsection (a) of a person's
6969 recovery in an amount that is equal to the lesser of:
7070 (1) one-half of the person's gross recovery; or
7171 (2) the total amount provided by Sec 55.004.
7272 (c) This subsection applies when a person is represented by
7373 an attorney in obtaining a recovery. The person and lien holders
7474 share under Subsection (a) of a person's recovery is an amount that
7575 is equal to the lesser of:
7676 (1) one-half of the person's gross recovery less
7777 attorney's fees and procurement costs as provided by Section
7878 55.011; or
7979 (2) the total under Sec 55.004 less attorney's fees and
8080 procurement costs as provided by Section 55.011.
8181 SECTION 6. Section 55.010 Property Code, is added to read as
8282 follows:
8383 Sec. 55.010. ATTORNEY'S FEES IN DECLARATORY JUDGMENT
8484 ACTION. Notwithstanding Section 37.009 or any other law, if a
8585 declaratory judgment action is brought under this chapter, the
8686 court may not award costs or attorney's fees to any party in the
8787 action for the declaratory judgment action.
8888 SECTION 7. Section 55.011 Property Code, is added to read as
8989 follows:
9090 Sec. 55.011. ATTORNEY'S FEES IN RECOVERY ACTION. (a) Except
9191 as provided by Subsection (c), a lien holder whose interest is not
9292 actively represented by an attorney in an action seeking a recovery
9393 for injuries caused by an accident that is attributed to the
9494 negligence of another person shall pay to an attorney representing
9595 the person a fee in an amount determined under an agreement entered
9696 into between the attorney and the lien holder plus a pro rata share
9797 of expenses incurred in connection with the recovery.
9898 (b) Except as provided by Subsection (c), in the absence of
9999 an agreement described by Subsection (a), the court shall award to
100100 the attorney, payable out of the lien holder's share of the total
101101 gross recovery, a reasonable fee for recovery of their share, not
102102 to exceed one-third of their recovery, plus a pro rata share of
103103 expenses incurred in connection with the recovery.
104104 (c) If an attorney representing the lien holder's interest
105105 actively participates in obtaining a recovery, the court shall
106106 award and apportion between the person's attorney and lien holder's
107107 attorney a fee and pro rata expenses payable out of recovery. In
108108 apportioning the award, the court shall consider the benefit
109109 accruing to the lien holder as a result of each attorney's service.
110110 The total attorney's fees may not exceed one-third of the payor's
111111 recovery.
112112 SECTION 8. Section 55.012 Property Code, is added to read as
113113 follows:
114114 Sec. 55.012. CONSTRUCTION OF CHAPTER. Nothing in this
115115 chapter shall be construed to prevent a hospital or emergency
116116 medical services provider from waiving, negotiating, or not
117117 pursuing any claim or recovery described in this chapter. The
118118 injured individual or their authorized representative retains
119119 exclusive authority to conduct negotiations on behalf of the
120120 injured individual in the absence of a court order.
121121 SECTION 13
122122 . The change in law made by this Act applies only
123123 to a lien for services provided to an injured individual on or after
124124 the effective date of this Act. A lien for services provided before
125125 the effective date of this Act is governed by the law as it existed
126126 immediately before the effective date of this Act, and that law is
127127 continued in effect for that purpose.
128128 SECTION 14. This Act takes effect September 1, 2017.