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         713.827Liens 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         713.828Receiving 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         713.829Accounting 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         713.831Disputed 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.

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