Bowden v. the Medical Center, Inc.

CourtSupreme Court of Georgia
DecidedJune 15, 2015
DocketS14G1632
StatusPublished

This text of Bowden v. the Medical Center, Inc. (Bowden v. the Medical Center, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bowden v. the Medical Center, Inc., (Ga. 2015).

Opinion

297 Ga. 285 FINAL COPY

S14G1632. BOWDEN v. THE MEDICAL CENTER, INC.

NAHMIAS, Justice.

Georgia law gives a hospital a lien for the reasonable charges for its care

and treatment of an injured person against all causes of action accruing to that

person on account of her injuries, and establishes a process for the hospital to

perfect its lien for the amount claimed to be due. See OCGA §§ 44-14-470, 44-

14-471. The Medical Center, Inc. (TMC) provided hospital care to Danielle

Bowden, who did not have health insurance, after she was injured in a car

wreck, billed her $21,409.59 for her care, and filed a hospital lien for that

amount. In a subsequent lawsuit, Bowden sought to invalidate the lien on the

ground that the billed charges were grossly excessive and did not reflect the

reasonable value of the care she received, while TMC alleged that $21,409.59

was a reasonable amount for Bowden’s care and sought a declaratory judgment

establishing the validity of its lien.

During discovery, TMC objected to Bowden’s requests for, among other

things, information and documents regarding the amounts that the hospital

charged insured patients for the same type of care. Bowden filed a motion to compel discovery, which the trial court granted subject to the entry of a

protective order to ensure confidentiality. On interlocutory appeal, the Court of

Appeals reversed, holding that the trial court abused its discretion in granting

the motion because “the discovery Bowden seeks is not relevant to her claim

that TMC’s medical charges for her treatment were unreasonable.” The Medical

Center, Inc. v. Bowden, 327 Ga. App. 714, 714 (761 SE2d 116) (2014). We

granted Bowden’s petition for certiorari to review that holding.

As explained below, where the subject matter of a lawsuit includes the

validity and amount of a hospital lien for the reasonable charges for a patient’s

care, how much the hospital charged other patients, insured or uninsured, for the

same type of care during the same time period is relevant for discovery

purposes. The Court of Appeals erred in concluding otherwise and in holding

on that ground that the trial court abused its discretion in granting Bowden’s

motion to compel. Accordingly, we reverse the Court of Appeals’ judgment.

1. On July 1, 2011, the rental car in which Danielle Bowden was a

passenger was involved in an accident. At about 10:40 p.m., Bowden, who was

21 years old and did not have health insurance, was taken by ambulance to

TMC’s hospital in Columbus, Georgia, where she received emergency medical

2 treatment that included surgery for a broken leg. At some point on July 2,

Bowden’s mother allegedly signed an admission form that said in relevant part:

I, the undersigned, am seeking treatment at The Medical Center, Inc. . . . for myself or a person for whom I am responsible for his/her medical care. . . . The undersigned agrees, whether as Agent, Guarantor, or Patient, that in consideration of the services to be rendered to the patient, the undersigned is individually obligated to pay the account in full of the Hospital, and attending physicians, or organizations, or other satisfactory financial arrangements must be made prior to time of patient discharge.

Bowden was discharged from the hospital on July 4. On July 13, she returned

to the hospital for physical therapy and allegedly signed the same admission

form herself. TMC billed Bowden a total of $21,409.59 for her care and filed

a hospital lien for that amount pursuant to OCGA § 44-14-470 (b).1

1 OCGA § 44-14-470 (b) says: Any person, firm, hospital authority, or corporation operating a hospital, nursing home, or physician practice or providing traumatic burn care medical practice in this state shall have a lien for the reasonable charges for hospital, nursing home, physician practice, or traumatic burn care medical practice care and treatment of an injured person, which lien shall be upon any and all causes of action accruing to the person to whom the care was furnished or to the legal representative of such person on account of injuries giving rise to the causes of action and which necessitated the hospital, nursing home, physician practice, or provider of traumatic burn care medical practice care, subject, however, to any attorney’s lien. The lien provided for in this subsection is only a lien against such causes of action and shall not be a lien against such injured person, such legal representative, or any other property or assets of such persons and shall not be evidence of such person’s failure to pay a debt. This subsection shall not be construed to interfere with the exemption from this part provided by Code Section 44-14-474 [exempting moneys that become due under the workers’ compensation statutes].

3 On July 27, 2012, the rental car company (Enterprise) filed a complaint

in interpleader against Bowden and TMC and paid $25,000 into the registry of

the trial court. The complaint alleged that Enterprise was self-insured with an

insurance certificate that provided automobile coverage up to $25,000; that

Bowden presented a claim against Enterprise, which Enterprise offered to settle

for the policy limit; and that the offer was rejected because Bowden and TMC

were unable to agree on how much of the settlement proceeds should go to TMC

to release its hospital lien.2

On August 20, 2012, Bowden answered the complaint and filed a

crossclaim against TMC, alleging that she was uninsured and indigent at the

time of her treatment and that her bill of $21,409.59 was grossly excessive and

did not reflect the reasonable value in the community of her treatment. Bowden

also alleged that the emergency nature of her injuries and treatment prevented

her from utilizing the provisions of OCGA § 31-7-11 to make pre-treatment cost

comparisons.3 She denied signing a payment contract with TMC and alleged

2 TMC had offered to settle its lien for $8,333, but Bowden declined. 3 OCGA § 31-7-11 says: (a) Any hospital shall, upon request, provide a written summary of certain hospital and related services charges, including but not limited to:

4 that any such contract would be void as both procedurally and substantively

unconscionable. Bowden asserted a claim against TMC for unjust enrichment

and, alternatively, breach of contract and violation of Georgia’s version of the

Uniform Deceptive Trade Practices Act (“UDTPA”), OCGA §§ 10-1-370 to 10-

1-375. As relief, she sought damages and attorney fees and asked that TMC’s

“lien be dismissed.”

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