Abusive Arbitration Clauses in Nursing Home Contracts

Karl Truman
Attorney
(866) 735-1102 Ext 315
Posted by Karl TrumanJanuary 14, 2009 9:06 AM
Tags: None

A recent article in The Advocate by the Kentucky Justice Association discussed nursing home contracts that contain mandatory arbitration clauses. These clauses require claims against the facility to be brought before a private arbitrator, instead of a public court. These even include claims for abuse or neglect.

Mandatory arbitration clauses may or may not be enforcable. Some of the factors a court may consider include:

Did the resident agree to arbitrate claims against the nursing home?

Did both parties assent to arbitration?

If the resident signed the agreement on her own behalf, did she have the capacity to do so?

If someone other than the resident signed the contract, did that person sign on behalf of the resident and have authority to bind the resident to arbitration?

Did the signatory sign the agreemetn on behalf of the residetn, versus on her own behalf?

When a loved one enters a nursing home, few people would worry about the fine print in the contract. But, it is important to understand what you are sigining. Arbtration clauses give away many important rights you may have in bringing a claim.

A good starting point to research nursing homes is www.medicare.gov/NHCompare/Include/DataSection/Questions/SearchCriteriaNEW.asp

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