Arbitration clauses are common in nursing home admission contracts. However the government announced a new regulation, which is scheduled to take place on Nov. 28, 2016, declaring in most situations these arbitration clauses will be unenforceable.
In this Elder Law Minute video, Wes Coulson, Illinois Elder Law attorney, discusses the new rule taking effect Nov. 28, the legal challenge from the nursing home industry, and what it all means for you.
Arbitration Clauses in Nursing Home Admission Contracts: New Rule Nov. 28, legal challenge
Transcript:
Hi, I’m Wes Coulson and this is your Elder Law Minute. I want today about really an ongoing important legal development, that’s one of these “stay tuned” kind of situations.
Within the past couple of months, the government announced a new regulation that in most situations will declare the arbitration clauses in nursing home admission agreements to be unenforceable. That’s been a sticking point for a lot of nursing home residents because if they have been injured because of improper care in a nursing home, it’s meant that they haven’t been able to sue, that they’ve only been able to go through arbitration, a less favorable forum to have those concerns resolved.
The new rule is scheduled to take place November 28 (2016), but now a lawsuit has been filed by basically a nursing home industry group challenging whether that change could be made by regulation. So, this is something that’s potentially really important. Stay tuned for developments. Thanks.
For more about nursing home care, visit these articles:
- Medicaid vs. Private Pay: Is the quality of nursing home care the same?
- Medicare and Nursing Home Care: Is it covered?
- Medicaid planning for someone who is already in a nursing home
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