Bill Text: FL S1592 | 2024 | Regular Session | Introduced
Bill Title: Liens to Recover Charges for Health Care Services
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2024-03-08 - Died in Judiciary [S1592 Detail]
Download: Florida-2024-S1592-Introduced.html
Florida Senate - 2024 SB 1592
By Senator Berman
26-01679-24 20241592__
1 A bill to be entitled
2 An act relating to liens to recover charges for health
3 care services; creating a new part IV of ch. 713,
4 F.S., relating to health care services liens; creating
5 s. 713.826, F.S.; providing a short title; creating s.
6 713.827, F.S.; providing that physicians and
7 chiropractors who provide services to an individual
8 injured as a result of the negligent act of another
9 have a lien for the amount due for such services
10 against any amount recovered by the injured individual
11 in a civil action filed against the individual who
12 caused the injury; providing that such liens are
13 inferior to certain liens or claims; providing a lien
14 is deemed timely if the physician or chiropractor
15 submits to the attorney of the injured individual an
16 itemized statement; providing such a statement is
17 admissible at trial or in negotiating a settlement;
18 requiring the physician or chiropractor to present to
19 the attorney written notice of lien specifying the
20 total amount requested; creating s. 713.828, F.S.;
21 providing for attachment of a lien on all funds from a
22 settlement or judgement in the civil action; requiring
23 that an amount sufficient to pay liens be set aside
24 before disbursement of such funds; providing that
25 certain records are admissible in certain proceedings;
26 requiring lienholders to share, on a pro rata basis,
27 the total amount available for liens if the total
28 amount of the lien exceeds a certain percentage;
29 defining the term “net proceeds”; providing that the
30 injured individual’s instructions regarding
31 disbursement of funds is not binding on the person
32 charged with disbursing them; providing construction;
33 creating s. 713.829, F.S.; requiring that persons
34 disbursing funds provide to the lienholder a
35 certification with sufficient information to
36 demonstrate that the distribution complies with
37 specified requirements, under certain circumstances;
38 providing that the provision of specified information
39 to a lienholder does not constitute a breach of the
40 attorney-client privilege; providing requirements for
41 the certification; providing construction; providing
42 for the enforcement of liens; requiring that actions
43 for enforcement of liens be brought within a specified
44 timeframe; providing for the awarding of attorney fees
45 and costs in connection with certain disputes;
46 creating s. 713.831, F.S.; requiring that any lien
47 claim be fully determined before payment if the amount
48 is in dispute; providing an effective date.
49
50 Be It Enacted by the Legislature of the State of Florida:
51
52 Section 1. Present part IV of chapter 713, Florida
53 Statutes, is redesignated as part V, and a new part IV is
54 created, consisting of ss. 713.827-713.831, Florida Statutes,
55 entitled “Health Care Services Liens.”
56 Section 2. Section 713.826, Florida Statutes, is created to
57 read:
58 713.826 Short title.—Sections 713.827-713.831 may be cited
59 as the “Health Care Services Lien Act.”
60 Section 3. Section 713.827, Florida Statutes, is created to
61 read:
62 713.827 Liens for physician and chiropractic services.—
63 (1) A physician licensed under chapter 458 or chapter 459
64 or a chiropractor licensed under chapter 460 who provides
65 services within his or her scope of practice to an individual
66 injured as a result of the negligent act of another, subject to
67 compliance with subsection (2), has a lien for the amount due
68 for such services rendered to the injured individual against any
69 amount recovered by that individual, or his or her heirs,
70 personal representative, or next of kin, in a civil action filed
71 against the individual who caused the injury. Such lien is
72 inferior to any lien or claim of an attorney representing the
73 injured individual. When damages are recovered for and on behalf
74 of minors, the lien attaches to the sum recovered as if the
75 individual were of the age of majority.
76 (2) A lien under this section is contingent upon timely
77 submission by the physician or the chiropractor, as applicable,
78 to the attorney representing the injured individual in such
79 civil action of an itemized statement for services provided,
80 which the attorney may use at trial or in negotiating a
81 settlement. Upon presenting such an itemized statement, the
82 physician or chiropractor, as applicable, shall present to the
83 attorney a written notice of lien under this section, which must
84 specify the total amount sought by the physician.
85 Section 4. Section 713.828, Florida Statutes, is created to
86 read:
87 713.828 Receiving person charged with duty of retaining
88 funds; evidence; attorney fees; charges.—
89 (1) A lien under s. 713.827 attaches upon all funds paid to
90 any person in compensation for or settlement of the claim for
91 injury, whether in litigation or otherwise. If an attorney
92 represents the injured individual, the lien is perfected once
93 served upon an injured individual’s attorney as provided under.
94 s. 713.827.
95 (2) Prior to disbursement of funds recovered by or on
96 behalf of the injured individual, an amount sufficient to
97 satisfy the lien under s. 713.827 must be set aside. Evidence as
98 to the amounts for any treatment, supplies, or services rendered
99 is admissible during the pendency of the proceedings.
100 (3) If the lien for physician or chiropractic services is
101 for 60 percent or more of the total amount recovered by or on
102 behalf of the injured individual, each physician or chiropractor
103 who holds a lien must proportionately share an amount equal to
104 60 percent of the net proceeds, based on the amount of his or
105 her lien as a percentage of the total amount of liens. For
106 purposes of this subsection, the term “net proceeds” means the
107 amount remaining after the payment of contractual attorney fees
108 in connection with the civil action. All costs incurred by the
109 injured individual may not reduce the amount of the lien and
110 must be paid by the injured person.
111 (4) Except as otherwise provided in this act, an injured
112 individual’s instruction for the disbursement of settlement or
113 judgment proceeds is not binding on the attorney disbursing the
114 proceeds to the extent that the injured individual’s
115 instructions conflict with this act.
116 (5) This section may not be construed to interfere with any
117 amount contractually due for attorney fees.
118 Section 5. Section 713.829, Florida Statutes, is created to
119 read:
120 713.829 Accounting of disbursements; enforcement of lien
121 rights.—
122 (1) Notwithstanding any confidentiality agreement entered
123 into between the injured individual and the payor of proceeds as
124 settlement of compensation for injuries, upon the written
125 request for payment and the executed confidentiality agreement,
126 a person distributing funds to a lienholder under this act in an
127 amount less than the amount claimed by the lienholder shall
128 provide to that lienholder a certification with sufficient
129 information to demonstrate that the distribution was pro rata
130 and consistent with s. 713.828(3). If the person distributing
131 settlement or judgment proceeds is an attorney, the
132 certification required by this subsection does not constitute a
133 breach of the attorney-client privilege.
134 (2) The certification required under subsection (1) must
135 include a statement of all of the following:
136 (a) The total amount of the settlement.
137 (b) The total distribution to lienholders, the amount of
138 each lien claimed, and the percentage of each lien paid, if not
139 paid in full.
140 (c) The total amount of attorney fees.
141 (3) This act may not be construed to require any person to
142 act contrary to the requirements of the Health Insurance
143 Portability and Accountability Act of 1996, Pub. L. No. 104-191,
144 and rules adopted pursuant to this act.
145 (4) A lien under s. 713.827 may be enforced by civil action
146 in the jurisdiction where the lien was filed. Such action must
147 be brought within 1 year after the lienholder becomes aware of
148 final judgment, settlement, or compromise of the claim asserted
149 or maintained by or on behalf of the injured individual. With
150 respect to any dispute under this act between the lienor and the
151 lienholder, or between an assignee of a lienholder and lienor,
152 the prevailing party must be awarded reasonable attorney fees
153 and costs.
154 Section 6. Section 713.831, Florida Statutes, is created to
155 read:
156 713.831 Disputed claims to be established before payment.
157 If the amount demanded for health care or medical services is in
158 dispute, payment may not be compelled until the claim is fully
159 determined. Liens under s. 713.827 may be enforced as provided
160 in s. 713.829(4).
161 Section 7. This act shall take effect July 1, 2024.
