§ 189 — Liens of hospitals

New York § 189

• Jurisdiction: New York
• Law LIE: Lien
• Art. 8: Other Liens On Personal Property

Text

§ 189. Liens of hospitals. 1. Every corporation incorporated under\ngeneral law or special act as a charitable institution maintaining a\nhospital in the state supported in whole or in part by charity, the\nstate university of New York and every county, city, town or village\noperating and maintaining a hospital shall to the extent hereinafter\nprovided have a lien upon any and all rights of action, suits, claims,\ncounterclaims or demands, of any nature whatsoever, of any person\nreceiving emergency treatment or admitted to any such hospital and\nreceiving treatment, care and maintenance therein, on account of any\npersonal injuries received within a period of one week prior to\nreceiving emergency treatment or admission to the hospital and as the\nresult of the negligence, wrongful act or any other tort, of any other\nperson or persons or corporation, which any such injured person or the\nlegal representative of such injured person, in case of death as the\nresult of such injuries, may or shall have, assert or maintain against\nany such other person or corporation for damages on account of such\ninjuries, for the amount of the reasonable charges of such hospital, for\nthe treatment, care and maintenance of such injured person at cost rates\nin such hospital. If such injured person received emergency treatment or\nwas admitted to the hospital on account of personal injuries received\nwithin a week prior to such treatment or admission, the state university\nor any such corporation or such municipal corporation maintaining a\nhospital to which such person may be transferred for subsequent\ntreatment of the same injuries shall also have a lien as provided herein\nalthough such transfer may occur during or after a week from the time\nwhen such injuries were received. No such lien shall be effective,\nhowever, unless a written notice containing the name and address of the\ninjured person, the date of the accident, the name and location of the\nhospital and the name of the person or persons, firm or firms,\ncorporation or corporations alleged to be liable to the injured party\nfor the injuries received, shall prior to the payment of any moneys to\nsuch injured person, his attorneys, or legal representatives as\ncompensation for such injuries be mailed, registered or certified and\npostage prepaid, to the person or persons, firm or firms, corporation or\ncorporations, alleged to be liable to the injured party for the injuries\nsustained prior to the payment to such injured person, his attorneys or\nlegal representatives, as compensation for such injuries. Such hospital\nshall mail a copy of such notice to any insurance carrier which has\ninsured such person, firm or corporation against such liability. Such\nmailing shall be deemed to be effective notwithstanding any inaccuracy\nor omission therein if the information contained therein shall be\nsufficient to enable the person or persons or corporation alleged to be\nliable, by the exercise of reasonable diligence, to identify the injured\nperson, the occurrence upon which the claim for damages is based and the\nname and address of the hospital asserting the lien. Any hospital\nclaiming a lien hereunder shall, in addition to the foregoing, file in\nthe office of the county clerk of the county in which the hospital is\nlocated and mail to the persons and in the manner above provided, after\nthe discharge of any injured person, an additional notice of lien, duly\nverified, which shall show the total hospital charges which have accrued\nand no lien hereunder shall exceed this amount.\n 2. (a) Subject to the provisions of paragraph (b) hereof the lien of\nany such hospital shall attach: (i) To any verdict, decision, decree,\njudgment or final order made or rendered in any suit, action or\nproceeding of any nature whatsoever, brought in any court of this state,\nby such injured person, or the legal representative of such injured\nperson in case of death as the result of such injuries, against any\nother person or persons or corporation for the recovery of damages or\ncompensation on account of such injuries or for the death of such person\nresulting therefrom, as well as to the proceeds of any settlement of any\nsuch verdict, decision, decree, judgment or final order made or rendered\nin any such suit, action or proceeding.\n (ii) To the proceeds of the settlement or compromise of any such suit,\naction or proceeding, effected, before any verdict, decision, decree,\njudgment or final order is made or rendered therein, by any such injured\nperson or his legal representative in case of death, with any other\nperson, persons, or corporation claimed or alleged to be liable for said\ninjuries or death, or with any other person or persons or corporations\non account thereof.\n (iii) To the proceeds of the settlement or compromise of any such\nclaim, demand, or cause of action effected, before the commencement of\nany suit, action or proceeding thereon, by any such injured person or\nhis legal representative in case of death, with any other person, or\npersons or corporation claimed or alleged to be liable for said injuries\nor death, or with any other person or persons or corporation on account\nthereof.\n (b) In the case of a recovery by judgment, settlement or compromise\nunder sections one hundred nineteen and one hundred twenty or one\nhundred thirty, one hundred thirty-two and one hundred thirty-three of\nthe decedent estate law, such lien shall attach only if the reasonable\nexpenses of medical aid, nursing and attention incident to the injury\nare an element of the damages recoverable in such action.\n 3. After the filing of the notice and mailing of the copy and\nstatement as herein provided, no release of any judgment, claim, or\ndemand by such injured person shall be valid or effective against such\nlien. The person or persons or corporation making any payment to such\ninjured person or his legal representative for the injury sustained\nshall give notice by registered mail to the hospital having such lien\nand shall for a period of one year from the date of the receipt of such\nnotice by such hospital as aforesaid remain liable to such hospital for\nthe amount of its reasonable charges as aforesaid due at the time of\nsuch payment, to the extent of the full and true consideration paid or\ngiven to the injured person or his legal representative, less the amount\nof any other liens or claims against such moneys superior to such\nhospital lien, and the state university or any such corporation or other\ninstitution or body maintaining such hospital may within such period\nenforce its lien by a suit at law against such person or persons or\ncorporation making any such payment or gift.\n 4. Every county clerk shall, at the expense of the county, provide a\nsuitable, well-bound book, to be called the hospital lien docket, in\nwhich, upon the filing of any lien claim under the provisions of this\nsection, he shall enter the name of the injured person, the date of the\naccident or event causing the injury, the name of the hospital or other\ninstitution making the claim. The said clerk shall make a proper index\nof the same in the name of the injured person.\n 5. Any person or persons, firm or firms, corporation or corporations\nlegally liable for such lien or against whom a claim shall be asserted\nfor compensation for such injuries, shall be permitted to examine the\nrecords of such hospital or of any such corporation, or other\ninstitution or body maintaining such hospital in reference to such\ntreatment, care and maintenance of such injured person, except such\nconfidential communications or records as are privileged, unless such\nconfidential status shall have been waived.\n 6. The lien of any such hospital under the provisions of this section\nshall not apply to any award or settlement made pursuant to the\nworkmen's compensation law of this state, nor to the proceeds of any\nsuch award or settlement, in respect to the injury for which a lien is\nfiled, nor in case the amount paid to the injured person or his\nrepresentative in the event of death in settlement or compromise is\nthree hundred dollars or less.\n 6-a. At any time after the filing and mailing of the notices of lien\nas provided in subdivision one of this section, any such injured person,\nor his legal representative in case of death, such hospital, or any\nperson, firm or corporation alleged to be liable to the injured person\nor to his legal representative, may apply for an order determining the\nvalidity of such lien and fixing the amount thereof. Such application\nshall be made to the surrogate of the county wherein letters have been\nissued to the executor or administrator of the injured person, or to any\ncourt which would have jurisdiction of an action based upon contract for\na sum equal to the amount set forth in the notice of lien filed in the\noffice of the county clerk as provided in subdivision one of this\nsection; provided, however, that except for an application made to such\nsurrogate, the application shall be made in the county in which the\nnotice of lien has been filed. Such application shall be made upon not\nless than eight nor more than ten days' notice. Notice of the\napplication shall be served upon the following persons, other than the\napplicant: (a) the person, firm or corporation alleged to be liable to\nthe injured person or to his legal representative, (b) the hospital, or\nthe attorney, if known, who on its behalf filed said notice of lien, (c)\nthe injured person or his legal representative, (d) any insurance\ncarrier, if known, which has insured such person, firm or corporation\nalleged to be liable, against such liability. If an action for damages\non account of such injury or death is pending, service upon any party\nthereto may be made upon his or its attorney of record. Upon the return\nof such application and the determination of the validity of such lien,\nif it appears that there is a bona fide dispute as to the charges, an\nimmediate hearing to determine the amount of the reasonable charges of\nsuch hospital for the treatment, care, and maintenance of such injured\nperson at cost rates shall forthwith be ordered before the court and a\njury, or, if a jury be waived, before the court or a referee. Upon such\nhearing the party making the application or the hospital may apply to\nthe court for an order requiring the other to pay the reasonable\nexpenses, not including attorneys' fees, incurred in making proof. For\nthe purposes of this section, proof that the charges made by the\nhospital to the injured person for bed, board, routine nursing, ordinary\ndressings and drugs, x-ray services, laboratory tests, and other medical\ncare or treatment do not exceed the charges made by the hospital for\nsuch services and supplies in the care of workmen's compensation\npatients shall be prima facie evidence of the reasonableness of such\ncharges at cost rates in the care of the injured person. A copy of the\norder upon such application, with notice of entry, shall be served by\nthe party making the application on every person, firm or corporation\nserved with notice of the application, or upon his or its attorney\nappearing upon the application, and the sum fixed in said order shall\nconstitute the extent of the lien provided in this section.\n 7. The provisions of this section to the contrary notwithstanding, the\nlien herein created shall be subject and subordinate to the lien of the\namount recovered by verdict, report, decision, judgment or decree,\nsettlement or compromise, of any attorney or attorneys retained by any\nsuch injured person or his legal representative in case of death, to\nprosecute his claim for damages for personal injuries or for the death\nof the injured person, having or acquiring by virtue of such retainer a\nlien on the cause of action of any such injured person, or his legal\nrepresentative in case of death, or on the verdict, report, decision,\njudgment, decree made in, or any settlement or compromise of, any such\naction or claim for damages for personal injuries or for the death of\nsuch injured person; and, notwithstanding the provisions of this\nsection, the lien created hereunder in no case shall be operative so as\nto create a priority or a precedence therefor as against any other lien,\ndebt or claim in the administration of the estate of a decedent or the\ndistribution of damages recovered or obtained on account of a wrongful\nact, neglect or default causing a decedent's death, and the amount of\nthe debt or claim covered by such lien in such a case shall have the\nsame position as to priority and be payable in the same manner and to\nthe same extent as otherwise provided by law.\n 8. Execution upon any judgment obtained in an action based upon\ninjuries for which a lien has been filed as herein provided shall be\nstayed until the lien has been satisfied or discharged in accordance\nwith the provisions of this section.\n 9. Upon the order of any court of record having jurisdiction in the\npremises, any person, persons or corporation against whom a lien shall\nhave been filed and served may deposit the amount of any settlement or\njudgment less the amount of any other liens or claims against such\nmoneys superior to such hospital lien, with the county treasurer in the\ncounty in which the lien is filed, except, in a county within the city\nof New York where such deposit shall be made with the commissioner of\nfinance of such city, and the person, persons or corporation so\ndepositing shall be discharged from all liability in connection with\nsuch lien which lien shall attach to the fund so deposited.\n 10. Any such lien may be enforced by action against the person,\npersons or corporations claimed to be liable or against the fund\ndeposited as hereinbefore provided in any court of record.\n 11. The filing of a notice of lien of a hospital under the provision\nof this section shall be valid for a period of ten years only. The\nvalidity of the filing may be extended for successive additional period\nof ten years each from the date of refiling, by filing in the proper\ncounty clerk's office, a copy of the original notice of lien within\nninety days next preceding the expiration of each period, with a\nstatement attached, signed by the lienor, showing the amount remaining\nto be paid thereon. Such copy, with statement attached, shall be filed\nand entered in the same manner as a notice of hospital lien filed and\nentered for the first time, and the county clerk shall be entitled to a\nlike fee as upon the original filing. Every renewal of a hospital lien\nmust be stamped or marked "renewal," and contain therein reference to\nthe date of filing of the lien which it is desired to continue for a\nfurther period, and the date of filing of the latest previous renewal\nthereof. The county clerk is authorized to destroy any and all notices\nof liens of hospitals filed in his office pursuant to the provisions of\nthis section, after the expiration of twelve years from the date of\nfiling, and any and all indexes to such notices of lien, after the\nexpiration of twenty-five years from the date of the last entry of a\nlien therein.\n