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Enforcing Healthcare Liens The statute of limitations on enforcing a lien is two years from the date of entry of judgment or settlement of the dependent case. As stated previously, the amount may not exceed the total compensation paid to the victim.
A medical lien is a claim that another party has to a portion of your settlement or jury verdict. It specifically describes a claim a medical provider, hospital or health insurance company has for paying for your medical care.
A lien is a demand for payment applied from the settlement you receive. Someone to whom you owe money may file the lien against a settlement. In the case of a medical lien, this is usually another party who provided you with medical services.
With a contractual medical lien, the provider has four years from the date you fail to pay under the contract. If your agreement specifies that the amount is placed in trust for the provider, there is no statute of limitations, and the provider can sue for recovery at any time.
Enforcing Healthcare Liens The statute of limitations on enforcing a lien is two years from the date of entry of judgment or settlement of the dependent case. As stated previously, the amount may not exceed the total compensation paid to the victim.
A medical lien is a demand for payment that may be placed against a potential settlement or verdict in a personal injury case. It acts just like a lien against a car loan or a loan with a bank against encumbered property. It attaches to the proceeds of your settlement with the insurance company or your attorney.
Do You Have to Pay the Hospital if There is No Lien Filed? Whether there is a lien or not, you still have an obligation to pay the hospital's bills. If you fail to do so, they have four years from the date the services were provided to sue you to collect on the bills.
These liens attach only to settlement proceeds, they do not attach to any other personal or real property of the patient/plaintiff.
The practice of placing Healthcare liens against an accident victim's settlement proceeds has become standard practice in the Healthcare industry in Arizona. A Healthcare lien does not attach to an accident victim's personal or real property and should not impair his/her credit rating.