Mercy Regional Health Center, Inc. v. Brinegar

223 P.3d 311, 43 Kan. App. 2d 156, 2010 Kan. App. LEXIS 10
CourtCourt of Appeals of Kansas
DecidedJanuary 22, 2010
Docket100,637
StatusPublished
Cited by3 cases

This text of 223 P.3d 311 (Mercy Regional Health Center, Inc. v. Brinegar) is published on Counsel Stack Legal Research, covering Court of Appeals of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mercy Regional Health Center, Inc. v. Brinegar, 223 P.3d 311, 43 Kan. App. 2d 156, 2010 Kan. App. LEXIS 10 (kanctapp 2010).

Opinions

Bukaty, J.:

Jason Brinegar (Brinegar) appeals the trial court’s award of attorney fees against him in favor of Mercy Regional Health Center, Inc. (Mercy). We affirm.

This case began in October 2006, as a debt collection proceeding under Chapter 61 of the Kansas Code of Civil Procedure. Mercy sued Jason and Jennifer Brinegar to collect for services rendered in connection with a minor surgical procedure that was performed on their daughter at Mercy. Brinegar, who is an attorney, filed an answer on behalf of his wife and himself disputing the debt. He included with his answer a counterclaim on behalf of Jennifer and himself alleging Mercy violated the Kansas Consumer Protection Act (KCPA), K.S.A. 50-623 et seq., and the Fair Debt Collections Practices Act (FDCPA), 15 U.S.C. § 1692 (2006) etseq. Eventually, the Brinegars voluntarily dismissed their KCPA and FDCPA claims. Then just prior to the scheduled trial, they agreed to a judgment against them for $1,230.57, the amount of the original hospital bill. Mercy sought to recover attorney fees against Brinegar [158]*158only, and the parties went to trial on that sole issue. After holding a lengthy evidentiary hearing during which over 30 exhibits were admitted into evidence, the trial court prepared and filed a detailed journal entiy awarding a judgment for attorney fees to Mercy under K.S.A. 50-634(e) and K.S.A. 60-211 against Brinegar. He appeals from that judgment.

Essential Facts

One of Brinegar5s arguments that we address in this appeal requires a scrutiny of his intent at the time he filed the counterclaim with the court. Consequently, a somewhat detailed recitation of the facts leading up to and following that filing is necessary for an understanding of the issues.

On October 20, 2005, the Brinegars’ daughter underwent a scheduled minor surgery at Mercy. Jennifer took her daughter to Mercy for the surgeiy and signed the admissions documents. The admission documents contained the following statement relating to the agreement to pay for services:

TO. AGREEMENT TO PAY FOR SERVICES AND ASSIGNMENT OF INSURANCE BENEFITS. In consideration of the admission, care, and treatment provided to the patient, the undersigned . . . agrees to pay Mercy Regional Health Center all charges for services rendered in accordance with its regular rates on this date. . . .
“I hereby assign to Mercy Regional Health Center any and all medical benefits payable from any policy of insurance insuring the patient or person responsible for the patient’s care ... to be paid directly to Mercy to be applied to the charges for services rendered. I understand I am responsible for co-insurance payments, deductibles and/or any remaining balance.”

The Brinegar family had a health insurance policy through Blue Cross Blue Shield of Kansas (BCBS). The relevant portion of the Brinegars’ policy relating to the allowable charges for covered services from a contracting provider stated as follows:

“A. Contracting Providers of Blue Cross and Blue Shield of Kansas or another entity on behalf of Blue Cross and Blue Shield of Kansas or another entity on behalf of Blue Cross and Blue Shield of Kansas for other than Prescription Drugs or Sleep Studies.
“The Contracting Provider Agreement between the provider and the Company or the provider and the other entity sets out the method the Company or other entity will use to determine allowable charges for covered services. Contracting [159]*159Providers have agreed to accept the Company’s or other entity’s determination of Your benefits as payment in full for covered services, except that You are responsible for payment of: Deductible, Coinsurance, Copayment/Copay amounts, shared payment amounts, non-covered services, private room charges in excess of the allowable amount stated in Your Certificate, and amounts in excess of any other benefit limitations of Your Certificate.”

The total amount of the bill from Mercy for the services provided to the Brinegars’ daughter came to $2,351.00. Apparently, this bill would have been the same amount for the particular services received, regardless of whether the patient was covered by Medicaid, private insurance, or was uninsured.

Mercy submitted the bill to BCBS. Based on its agreement with BCBS, Mercy was required to write off $1,120.43 of the charges. The remaining amount of $1,230.57 applied towards the Brinegars’ deductible and became the Brinegars’ responsibility to pay.

On November 21, 2005, Mercy sent the Brinegars a bill for this balance of $1,230.57. The following month, Mercy sent a second bill to the Brinegars. Mercy later received a handwritten note from Brinegar. In the note, Brinegar wrote as follows:

“If you really want me to pay this bill you are going to have to do much better than simply send such a general & undetailed statement. Further, I demand to be informed of the amount Medicaid pays for this procedure/service.
“In the alternative I will send you $600.00 to settle this account in full.”

Upon receiving Brinegars letter, a Mercy account representative checked Medicaid eligibility. Apparendy, the Brinegars’ daughter did not qualify for Medicaid coverage. The account representative called Brinegar and left a number with his receptionist.

Between January and April 2006, Mercy sent several notices to the Brinegars for the amount owing. At one point during this time, Brinegar called an account representative with Mercy and was very demeaning and rude. He demanded an itemized statement, demanded to know what Medicaid paid, and stated he was only going to pay Medicaid’s amount even though his daughter did not qualify for Medicaid. When the representative stated she did not know and did not have that information without submitting the bill to Medicaid, Brinegar called her a liar. He also stated that Mercy [160]*160would have to sue him to collect and that he had been down that road before.

In April 2006, Mercy turned over the Brinegars’ account to Kansas Counselors, Inc. (KCI), for collections. Brinegar then responded in a letter to KCI in which he disputed the debt and requested a verification of it. Brinegar is an attorney with the firm Galloway, Wiegers, and Heeney, P.A. He sent the letter in his capacity as his and his wife’s attorney. At the end of his letter, he wrote: “[I]f your client insists on pursuing this matter by filing suit, we will demand depositions of ALL attending physicians as well as an administrator.”

KCI forwarded Brinegars letter to Mercy, and the matter was referred to Grant Bannister, an attorney in Manhattan, Kansas. Bannister sent Brinegar a letter, along with an itemized hospital bill from Mercy, a remittance from BCBS, and patient claim details from BCBS. In the letter, Bannister told Brinegar that Mercy had declined his offer of $600.

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Mercy Regional Health Center, Inc. v. Brinegar
223 P.3d 311 (Court of Appeals of Kansas, 2010)

Cite This Page — Counsel Stack

Bluebook (online)
223 P.3d 311, 43 Kan. App. 2d 156, 2010 Kan. App. LEXIS 10, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mercy-regional-health-center-inc-v-brinegar-kanctapp-2010.