§ 50-24.1-30 — Third-party liability recovery

North Dakota § 50-24.1-30

• Jurisdiction: North Dakota
• Title 50: Public Welfare
• Ch. 50-24.1: Medical Assistance for Needy Persons

Text

1. The department shall seek recovery of reimbursement from a third party up to the full
amount of medical assistance paid.
2. A medical assistance recipient shall inform the department of any rights the recipient
has to third-party benefits and shall inform the department of the name and address of
any individual, entity, or program that is or may be liable to provide third-party benefits.
3. A release or satisfaction of a cause of action, suit, claim, counterclaim, demand,
judgment, settlement, or settlement agreement is not valid or effectual as against a
claim created under this chapter unless the department joins in the release or
satisfaction or executes a release of its claim.
4. The department shall recover the full amount of all medical assistance provided on
behalf of a recipient to the full extent of third-party benefits received by the recipient or
the department for medical expenses. The department shall recover the third-party
benefits directly from any third party or from the recipient or legal representative, if the
recipient or legal representative has received third-party benefits, up to the amount of
medical assistance provided to the recipient.
5. An applicant for or recipient of medical assistance shall cooperate in the recovery of
third-party benefits.
6. To enforce its rights to third-party benefits, the department may institute, intervene in,
or join any legal or administrative proceeding in its own name.
a. If either the recipient or the department brings an action against a third party, the
recipient or the department must provide to the other within thirty days after
commencing the action written notice by personal delivery or registered mail of
the action, the name of the court in which the case is brought, the case number of
such action, and a copy of the pleadings. If either the department or the recipient
brings an action, the other may become a party to or may consolidate an action
brought independently with the other.
b. A judgment, award, or settlement of a claim in an action by a recipient to recover
damages for injuries or other third-party benefits in which the department has an
interest may not be satisfied or released without first giving the department notice
and a reasonable opportunity to file and satisfy its claim or proceed with any
action as otherwise permitted by law.
7. Any transfer or encumbrance of any right, title, or interest to which the department has
a right with the intent, likelihood, or practical effect of defeating, hindering, or reducing
recovery by the department for reimbursement of medical assistance provided to a
recipient is void and of no effect against the claim of the department.
8. A recipient who has notice or who has actual knowledge of the department's rights to
third-party benefits who receives any third-party benefit or proceeds for a covered
illness or injury is either required to pay the department within sixty days after receipt
of settlement proceeds the full amount of the third-party benefits up to the total medical
assistance provided or to place a sum equal to the full amount of the total medical
assistance provided in a trust account pending judicial or administrative determination
of the department's right to the third-party benefits.

9. Notwithstanding any provision in this section to the contrary, the department is not
required to seek reimbursement from, or may reduce or compromise a claim against, a
liable third party on claims for which the amount it reasonably expects to recover will
be less than the cost of recovery or for which recovery efforts will not be cost-effective.
Cost-effectiveness is determined based on the following:
a. Actual and legal issues of liability as may exist between the recipient and the
liable party;
b. Total funds available for settlement; and
c. An estimate of the cost to the department of pursuing its claim.