Shands Teaching Hospital and Clinics, Inc., v. Mercury Ins. Co. of FloridaAnnotate this Case
This case arose when Mercury, an insurer, offered a settlement proposal to the hospital and the hospital refused the settlement offer. At issue was the constitutionality of the Alachua County Lien Law, chapter 88-539, Laws of Florida (Lien Law), and the Alachua County Hospital Lien Ordinance, Alachua County Code sections 262.20-262.25 (Ordinance), both of which established certain lien rights for charitable hospitals in Alachua County. The court held that the Lien Law was unconstitutional under article III, section 11(a)(9) of the Florida Constitution. The court held, however, that the Ordinance was not unconstitutional and that the First District should have upheld the trial court's judgment on the basis of the Ordinance. In addressing a cross-appeal presented by Mercury, the court held that the trial court properly limited the hospital's damages and properly awarded it attorney fees.