Hospital & EMS Liens Statute – IMPORTANT AMENDMENT (eff. June 10, 2019)
Did you know there was an important amendment passed by the Texas Legislature this year impacting hospital liens in third party cases? Hopefully, this will help some cases where the medical lien is severely limiting the plaintiff’s net recovery, thereby preventing settlement.
Section 55.004(b) of the Texas Property Code is amended eff. June 10, 2019, and summarized as follows:
(b) Provides that a hospital lien described by Section 55.002(a) (relating to providing that a hospital has a lien on a cause of action or claim of an individual who receives hospital services for injuries caused by an accident that is attributed to the negligence of another person) is for the lesser of:
(1) creates this subdivision from existing text and makes a non-substantive change to this subdivision; or
(2) 50 percent of all amounts recovered by the injured individual through a cause of action, judgment, or settlement described by Section 55.003(a) (relating to providing that a lien under this chapter attaches to certain procedures).
“Texas Property Code, Chapter 55, Hospital & Emergency Medical Services Liens”
For ease of reference in a resource most lawyers have access to, this portion of the Texas Property Code may be found in O’Connor’s Texas CPRC plus. Win Win Mediation Group will continue to be among the first to provide awareness to these changes in the law that help settle your cases. Let us help you settle your case at mediation.