When a lawyer fails to honor the letter-of-protection, doctors and medical facilities still deserve their payment for services they previously performed. Most of the time plaintiff's lawyers that are in breach of contract will want to handle these matters outside of the courtroom.
Full Answer
A letter of protection is actually very simple to understand. The Injury attorney will give your doctor a lien or letter of protection against the funds from the settlement. Said simply, the attorney guarantees that the accident doctor will get paid their fair share of any settlement funds. A LOP makes it easier for the patient or accident ...
· When a lawyer fails to honor the letter-of-protection, doctors and medical facilities still deserve their payment for services they previously performed. Most of the time plaintiff's lawyers that are in breach of contract will want to handle these matters outside of the courtroom.
· A lawyer must pay the doctor any outstanding dues as soon as the cash settlement is received. Failure to do so can result in legal action against the lawyer. If you have suffered injuries in an accident and are having trouble paying your medical bills, you likely are eligible for compensation. Call to hire a lawyer at Cordisco & Saile and get a letter of protection …
· The lawyer is a fiduciary. “In all 50 states, the Doctor’s Lien, or Letter of Protection as it is also called in some states, creates a fiduciary relationship making the lawyer trustee of ...
Your auto accident doctor may not honor a letter of protection because they don’t like your personal injury attorney.
A letter of protection is actually very simple to understand. The Injury attorney will give your doctor a lien or letter of protection against the funds from the settlement. Said simply, the attorney guarantees that the accident doctor will get paid their fair share of any settlement funds. A LOP makes it easier for the patient or accident victim ...
The doctor will give you your medical records so that the case can come to a conclusion. Many doctors may even lower medical fees for treatment of serious car accident injuries. The accident physician will be much more willing to provide expert testimony about the seriousness of your injuries.
If you cannot afford your medical bills, then contact your accident doctor to negotiate any unpaid bills. Oftentimes, this happens when your application for injury compensation is rejected.
Make sure that your accident doctor will accept a LOP before your first appointment. You can use PIP and Med Pay coverage before needing a LOP in certain states such as Florida. However, you may need a LOP if your medical coverage exceeds PIP and Med Pay.
Many good accident doctors will not accept a LOP from attorneys who have shown predatory behavior or dishonest billing practices. In addition, there is a chance that your accident doctor will not get paid if your personal injury case loses in court. In the event that your case loses in court, you will be personally responsible for all medical ...
To begin with, a medical lien or LOP is a serious financial instrument that provides protection for the accident doctor. However, while a LOP may give the accident doctor claim to a portion of the settlement money, it does not protect against a dishonest or greedy attorney. Many good accident doctors will not accept a LOP from attorneys who have ...
What is a letter of protection from an attorney? A letter of protection is a document that helps persons who have suffered injuries in an accident get help with medical treatment costs. It is one of multiple letters that a law firm can send after an accident on behalf of client, in addition to spoliation letters and more. After an accident, you may not have the necessary funds to pay for your medical treatment.
The letter will inform the doctor that that the personal injury lawyer has taken your case and expects to recover compensation for your losses. The letter will assure the doctor that he or she will be paid in full when the cash settlement is received.
When you do receive the cash settlement, any outstanding medical dues are cleared using funds from the settlement. The lawyer clears the doctor’s outstanding debt first.
Insurance companies will not begin paying your medical costs immediately. The insurer will pay the medical costs only after all your bills are paid. You will receive damages for medical costs when a settlement is finalized.
“In all 50 states, the Doctor’s Lien, or Letter of Protection as it is also called in some states, creates a fiduciary relationship making the lawyer trustee of settlement funds for the benefit of the client, the doctor and, finally, the attorney.
Specializing in personal injury cases and representing chiropractors for over 35 years, Steel explains that a lien, “Is a binding, enforceable, written contract signed by the patient, attorney and health care provider requiring bills to be paid from the proceeds of settlement prior to the individual receiving any funds.”
“In all 50 states,” Steel points out, “the Doctor’s Lien, or Letter of Protection as it is also called in some states, creates a fiduciary relationship, making the lawyer trustee of settlement funds for the benefit of the client, the doctor and, finally, the attorney.
Signing a lien simply means that the doctor agrees to wait for payment — from the lawyer — when the case settles.
“When you get a phone call asking that you cut your bill, ‘because the settlement was too low and I can only get you $1, 000,’ reply by stating, ‘Please send me a copy of the draft, settlement agreement and client’s proposed disbursement.’
Specializing in personal injury cases and representing chiropractors for over 35 years, Steel explains that a lien, “It is a binding, enforceable, written contract signed by the patient, attorney and health care provider requiring bills to be paid from the proceeds of settlement prior to the individual receiving any funds.”
Letters of Protection can serve a critical role for indigent or insurance-less plaintiffs who need medical care. That said, they can also result in an abuse of the medical payment system by excessively inflating charges for medical services. To the extent they also result in excessive or unnecessary care, the problem ought to be receiving greater attention by both the legal system and the medical system. As a result of the issues raised in this article, both plaintiff and defense counsel are best served by better understanding these agreements, their benefits, and the potential downsides associated with damages that are never actually incurred, or worse, care that is excessive, suboptimal, and even iatrogenic.
Rule of Evidence 403 provides: “The court may exclude relevant evidence if its probative value is substantially outweighed by a danger of one or more of the following: unfair prejudice, confusing the issues, misleading the jury, undue delay, or needlessly presenting cumulative evidence.” Clearly, the plaintiff will argue Rule 403 governs. Furthermore, hearsay objections will also be strenuously argued by the plaintiff and the court’s ruling on them will be fact, dependent based on the terms of the agreement, the contents of documents, and the role the agreements play.
Most providers will not enter into an agreement where they must accept the risk of defense verdict, or recovered funds that are lower than the medical expenses incurred. A prudent attorney will also expressly absolve himself or herself from any obligation to pay for the services rendered. Example:
It is good practice to also include language that limits payment subject to conditions presented by the lawsuit as well as subject to any liens on the settlement or judgment that arise from other providers or other debtors. Examples:
The introductory paragraph defines who the author of the letter is, who he or she represents, what the suit is about, and why the letter was sent. Example:
Plaintiff attorneys will also assert that letters of protection are collateral sources and any evidence related to them should be excluded from trial. As stated by the Houston court of appeals: “The collateral source rule is both a rule of evidence and damages. Generally, it precludes a tortfeasor from obtaining the benefit of, or even mentioning, payments to the injured party from sources other than the tortfeasor. In other words, the defendant is not entitled to present evidence of, or obtain an offset for, funds received by the plaintiff from a collateral source.” Taylor v. Am. Fabritech, Inc., 132 S.W.3d 613, 626 (Tex. App.—Houston [14th Dist.] 2004, pet. denied); see also Big Bird Tree Serv. v. Gallegos, 365 S.W.3d 173(Tex. App. –Dallas 2012, no pet. h.) (the court considered whether the trial court erred by permitting plaintiff to submit affidavits at trial from hospital providers for the full billed charges despite the presence of significant write offs due to an indigent charity program, and cited both the Haygood decision and the collateral source rule to support its holding that TCRP 41.0105 does not preclude recovery of the full billed charges under the facts since holding otherwise would permit a tortfeasor to “avoid liability for medical expenses born by a charity program designed to benefit indigent patients.”).
Attorney's Letter of Protection to Medical Providers. "In BI cases, don't use the doctor's form for a letter of protection for his/her bill. Use your own form to protect yourself from liability.". The letters and liens that medical providers ask either you or your client to sign do not protect YOU when settlement time comes.
When you sign multiple forms for medical providers you can get into some real conflicts of provisions. The doctor's form conflicts with the hospital's form, and the hospital's form conflicts with the physical therapist's forms, and the chiropractor's form attempts to supervene them all. In most states, you are held to be the trustee ...
The form the doctor gives your client to sign is usually not good for either you, the client, or the lawsuit. Nine times out of ten, the doctor's form is worded so that the doctor can be attacked on the witness stand for having agreed not to be paid unless the case is won.
I suspect that the attorney withheld funds from your settlement to pay those medical service providers to whom she had signed letters of protection (LOPs).
I suspect that the attorney withheld funds from your settlement to pay those medical service providers to whom she had signed letters of protection (LOPs).