2006 New York Code - Liens Of Hospitals.

 
    §  189.  Liens  of  hospitals. 1. Every corporation incorporated under
  general law or special act as a  charitable  institution  maintaining  a
  hospital  in  the  state  supported  in whole or in part by charity, the
  state university of New York and every county,  city,  town  or  village
  operating  and  maintaining  a  hospital shall to the extent hereinafter
  provided have a lien upon any and all rights of action,  suits,  claims,
  counterclaims  or  demands,  of  any  nature  whatsoever,  of any person
  receiving emergency treatment or  admitted  to  any  such  hospital  and
  receiving  treatment,  care  and  maintenance therein, on account of any
  personal injuries  received  within  a  period  of  one  week  prior  to
  receiving  emergency  treatment  or admission to the hospital and as the
  result of the negligence, wrongful act or any other tort, of  any  other
  person  or  persons or corporation, which any such injured person or the
  legal representative of such injured person, in case  of  death  as  the
  result  of  such injuries, may or shall have, assert or maintain against
  any such other person or corporation for  damages  on  account  of  such
  injuries, for the amount of the reasonable charges of such hospital, for
  the treatment, care and maintenance of such injured person at cost rates
  in such hospital. If such injured person received emergency treatment or
  was  admitted  to  the hospital on account of personal injuries received
  within a week prior to such treatment or admission, the state university
  or any such corporation or  such  municipal  corporation  maintaining  a
  hospital  to  which  such  person  may  be  transferred  for  subsequent
  treatment of the same injuries shall also have a lien as provided herein
  although such transfer may occur during or after a week  from  the  time
  when  such  injuries  were  received.  No  such lien shall be effective,
  however, unless a written notice containing the name and address of  the
  injured  person,  the date of the accident, the name and location of the
  hospital and  the  name  of  the  person  or  persons,  firm  or  firms,
  corporation  or  corporations  alleged to be liable to the injured party
  for the injuries received, shall prior to the payment of any  moneys  to
  such   injured  person,  his  attorneys,  or  legal  representatives  as
  compensation for such injuries be mailed, registered  or  certified  and
  postage prepaid, to the person or persons, firm or firms, corporation or
  corporations, alleged to be liable to the injured party for the injuries
  sustained  prior to the payment to such injured person, his attorneys or
  legal representatives, as compensation for such injuries. Such  hospital
  shall  mail  a  copy  of  such notice to any insurance carrier which has
  insured such person, firm or corporation against  such  liability.  Such
  mailing  shall  be deemed to be effective notwithstanding any inaccuracy
  or omission therein  if  the  information  contained  therein  shall  be
  sufficient  to enable the person or persons or corporation alleged to be
  liable, by the exercise of reasonable diligence, to identify the injured
  person, the occurrence upon which the claim for damages is based and the
  name and address of  the  hospital  asserting  the  lien.  Any  hospital
  claiming  a  lien hereunder shall, in addition to the foregoing, file in
  the office of the county clerk of the county in which  the  hospital  is
  located  and mail to the persons and in the manner above provided, after
  the discharge of any injured person, an additional notice of lien,  duly
  verified, which shall show the total hospital charges which have accrued
  and no lien hereunder shall exceed this amount.
    2.  (a)  Subject to the provisions of paragraph (b) hereof the lien of
  any such hospital shall attach: (i) To any  verdict,  decision,  decree,
  judgment  or  final  order  made  or  rendered  in  any  suit, action or
  proceeding of any nature whatsoever, brought in any court of this state,
  by such injured person, or the  legal  representative  of  such  injured
  person  in  case  of  death  as the result of such injuries, against any
  other person or persons or corporation for the recovery  of  damages  or
  compensation on account of such injuries or for the death of such person
  resulting therefrom, as well as to the proceeds of any settlement of any
  such verdict, decision, decree, judgment or final order made or rendered
  in any such suit, action or proceeding.
    (ii) To the proceeds of the settlement or compromise of any such suit,
  action  or  proceeding,  effected, before any verdict, decision, decree,
  judgment or final order is made or rendered therein, by any such injured
  person or his legal representative in case  of  death,  with  any  other
  person, persons, or corporation claimed or alleged to be liable for said
  injuries  or  death, or with any other person or persons or corporations
  on account thereof.
    (iii) To the proceeds of the settlement  or  compromise  of  any  such
  claim,  demand,  or cause of action effected, before the commencement of
  any suit, action or proceeding thereon, by any such  injured  person  or
  his  legal  representative  in  case of death, with any other person, or
  persons or corporation claimed or alleged to be liable for said injuries
  or death, or with any other person or persons or corporation on  account
  thereof.
    (b)  In  the  case of a recovery by judgment, settlement or compromise
  under sections one hundred  nineteen  and  one  hundred  twenty  or  one
  hundred  thirty,  one hundred thirty-two and one hundred thirty-three of
  the decedent estate law, such lien shall attach only if  the  reasonable
  expenses  of  medical  aid, nursing and attention incident to the injury
  are an element of the damages recoverable in such action.
    3. After the filing  of  the  notice  and  mailing  of  the  copy  and
  statement  as  herein  provided,  no  release of any judgment, claim, or
  demand by such injured person shall be valid or effective  against  such
  lien.  The  person  or persons or corporation making any payment to such
  injured person or his legal  representative  for  the  injury  sustained
  shall  give  notice  by registered mail to the hospital having such lien
  and shall for a period of one year from the date of the receipt of  such
  notice  by such hospital as aforesaid remain liable to such hospital for
  the amount of its reasonable charges as aforesaid due  at  the  time  of
  such  payment,  to the extent of the full and true consideration paid or
  given to the injured person or his legal representative, less the amount
  of any other liens or  claims  against  such  moneys  superior  to  such
  hospital lien, and the state university or any such corporation or other
  institution  or  body  maintaining  such hospital may within such period
  enforce its lien by a suit at law against  such  person  or  persons  or
  corporation making any such payment or gift.
    4.  Every  county clerk shall, at the expense of the county, provide a
  suitable, well-bound book, to be called the  hospital  lien  docket,  in
  which,  upon  the  filing of any lien claim under the provisions of this
  section, he shall enter the name of the injured person, the date of  the
  accident  or event causing the injury, the name of the hospital or other
  institution making the claim. The said clerk shall make a  proper  index
  of the same in the name of the injured person.
    5.  Any  person or persons, firm or firms, corporation or corporations
  legally liable for such lien or against whom a claim shall  be  asserted
  for  compensation  for  such injuries, shall be permitted to examine the
  records  of  such  hospital  or  of  any  such  corporation,  or   other
  institution  or  body  maintaining  such  hospital  in reference to such
  treatment, care and maintenance of  such  injured  person,  except  such
  confidential  communications  or  records as are privileged, unless such
  confidential status shall have been waived.
    6. The lien of any such hospital under the provisions of this  section
  shall  not  apply  to  any  award  or  settlement  made  pursuant to the
  workmen's compensation law of this state, nor to  the  proceeds  of  any
  such  award  or settlement, in respect to the injury for which a lien is
  filed, nor in case  the  amount  paid  to  the  injured  person  or  his
  representative  in  the  event  of  death in settlement or compromise is
  three hundred dollars or less.
    6-a.  At  any time after the filing and mailing of the notices of lien
  as provided in subdivision one of this section, any such injured person,
  or his legal representative in case of  death,  such  hospital,  or  any
  person,  firm  or corporation alleged to be liable to the injured person
  or to his legal representative, may apply for an order  determining  the
  validity  of  such  lien and fixing the amount thereof. Such application
  shall be made to the surrogate of the county wherein letters  have  been
  issued to the executor or administrator of the injured person, or to any
  court which would have jurisdiction of an action based upon contract for
  a  sum  equal to the amount set forth in the notice of lien filed in the
  office of the county clerk  as  provided  in  subdivision  one  of  this
  section;  provided, however, that except for an application made to such
  surrogate, the application shall be made in  the  county  in  which  the
  notice  of  lien has been filed. Such application shall be made upon not
  less  than  eight  nor  more  than  ten  days'  notice.  Notice  of  the
  application  shall  be served upon the following persons, other than the
  applicant: (a) the person, firm or corporation alleged to be  liable  to
  the  injured person or to his legal representative, (b) the hospital, or
  the attorney, if known, who on its behalf filed said notice of lien, (c)
  the injured person  or  his  legal  representative,  (d)  any  insurance
  carrier,  if  known,  which has insured such person, firm or corporation
  alleged to be liable, against such liability. If an action  for  damages
  on  account  of  such injury or death is pending, service upon any party
  thereto may be made upon his or its attorney of record. Upon the  return
  of  such application and the determination of the validity of such lien,
  if it appears that there is a bona fide dispute as to  the  charges,  an
  immediate  hearing  to determine the amount of the reasonable charges of
  such hospital for the treatment, care, and maintenance of  such  injured
  person  at  cost rates shall forthwith be ordered before the court and a
  jury, or, if a jury be waived, before the court or a referee. Upon  such
  hearing  the  party  making the application or the hospital may apply to
  the court for an  order  requiring  the  other  to  pay  the  reasonable
  expenses,  not  including attorneys' fees, incurred in making proof. For
  the purposes of this  section,  proof  that  the  charges  made  by  the
  hospital to the injured person for bed, board, routine nursing, ordinary
  dressings and drugs, x-ray services, laboratory tests, and other medical
  care  or  treatment  do  not exceed the charges made by the hospital for
  such services  and  supplies  in  the  care  of  workmen's  compensation
  patients  shall  be  prima  facie evidence of the reasonableness of such
  charges at cost rates in the care of the injured person. A copy  of  the
  order  upon  such  application, with notice of entry, shall be served by
  the party making the application on every person,  firm  or  corporation
  served  with  notice  of  the  application,  or upon his or its attorney
  appearing upon the application, and the sum fixed in  said  order  shall
  constitute the extent of the lien provided in this section.
    7. The provisions of this section to the contrary notwithstanding, the
  lien  herein created shall be subject and subordinate to the lien of the
  amount recovered by  verdict,  report,  decision,  judgment  or  decree,
  settlement  or  compromise, of any attorney or attorneys retained by any
  such injured person or his legal representative in  case  of  death,  to
  prosecute  his  claim for damages for personal injuries or for the death
  of the injured person, having or acquiring by virtue of such retainer  a
  lien  on  the  cause  of action of any such injured person, or his legal
  representative in case of death, or on the  verdict,  report,  decision,
  judgment,  decree  made in, or any settlement or compromise of, any such
  action or claim for damages for personal injuries or for  the  death  of
  such  injured  person;  and,  notwithstanding  the  provisions  of  this
  section,  the lien created hereunder in no case shall be operative so as
  to create a priority or a precedence therefor as against any other lien,
  debt or claim in the administration of the estate of a decedent  or  the
  distribution  of  damages recovered or obtained on account of a wrongful
  act, neglect or default causing a decedent's death, and  the  amount  of
  the  debt  or  claim  covered by such lien in such a case shall have the
  same position as to priority and be payable in the same  manner  and  to
  the same extent as otherwise provided by law.
    8.  Execution  upon  any  judgment  obtained  in  an action based upon
  injuries for which a lien has been filed as  herein  provided  shall  be
  stayed  until  the  lien  has been satisfied or discharged in accordance
  with the provisions of this section.
    9. Upon the order of any court of record having  jurisdiction  in  the
  premises,  any  person, persons or corporation against whom a lien shall
  have been filed and served may deposit the amount of any  settlement  or
  judgment  less  the  amount  of  any  other liens or claims against such
  moneys superior to such hospital lien, with the county treasurer in  the
  county  in  which the lien is filed, except, in a county within the city
  of New York where such deposit shall be made with  the  commissioner  of
  finance  of  such  city,  and  the  person,  persons  or  corporation so
  depositing shall be discharged from all  liability  in  connection  with
  such lien which lien shall attach to the fund so deposited.
    10.  Any  such  lien  may  be  enforced  by action against the person,
  persons or corporations  claimed  to  be  liable  or  against  the  fund
  deposited as hereinbefore provided in any court of record.
    11.  The  filing of a notice of lien of a hospital under the provision
  of this section shall be valid for a  period  of  ten  years  only.  The
  validity  of the filing may be extended for successive additional period
  of ten years each from the date of refiling, by  filing  in  the  proper
  county  clerk's  office,  a  copy  of the original notice of lien within
  ninety days next  preceding  the  expiration  of  each  period,  with  a
  statement  attached,  signed by the lienor, showing the amount remaining
  to be paid thereon.  Such copy, with statement attached, shall be  filed
  and  entered  in  the same manner as a notice of hospital lien filed and
  entered for the first time, and the county clerk shall be entitled to  a
  like  fee  as upon the original filing. Every renewal of a hospital lien
  must be stamped or marked "renewal," and contain  therein  reference  to
  the  date  of  filing  of the lien which it is desired to continue for a
  further period, and the date of filing of the  latest  previous  renewal
  thereof.  The  county clerk is authorized to destroy any and all notices
  of liens of hospitals filed in his office pursuant to the provisions  of
  this  section,  after  the  expiration  of twelve years from the date of
  filing, and any and all indexes to  such  notices  of  lien,  after  the
  expiration  of  twenty-five  years  from the date of the last entry of a
  lien therein.