SPELLING-OUT THE OBVIOUS
Retainer Agreement Additions Regarding Governmental Benefits & Liens
The intensifying focus on the collection of governmental liens and the tightening-of-the-belt in relation to public assistance, has created a more complex arena for the practice of personal injury. This has been magnified by the confusion and extra post-settlement labor created by the Ahlborn decision. While you understand and know what your retainer agreement states, now more than ever, it is important to make sure your retainer agreement “spells-out the obvious” i.e. limits your representation to the personal injury claim, allows the hiring of governmental and medical lien investigators, allows the retaining of additional attorneys to handle the lien resolution, and advise regarding impact of a verdict or settlement on public assistance. The below suggestions are to assist you in reviewing your fee agreement only. Of course, local bar rule should always be consulted.
LIEN INVESTAGATION COST:
I hereby authorize FIRM to take whatever legal steps it deems appropriate under the circumstances to prosecute my claim for damages, and authorize FIRM to advance on my behalf such reasonable costs and expenses as it believes to be reasonable, including but not limited to, expenses for hiring investigators, expert witnesses and/or attorneys (including attorney/experts to assist with investigating medical/governmental reimbursement liens).
DISBURSEMENT OF PROCEEDS
I understand that prior to disbursement of settlement or verdict proceeds, third-party interest such as Medicare, Medicaid, and other medical provider liens must be investigated and satisfied. I further understand that current state and federal law may require FIRM to take steps to determine if such interest exist, even if I have not received notice from medical providers prior to verdict or settlement. I understand that resolution of governmental and/or medical liens is a separate matter that may require the retention of additional attorney(s) or attorney firms under separate retainer.
INFORMING FIRM / PUBLIC ASSISTANCE
I understand that current and future public assistance, such as Medicaid, SSI, Food Stamps, subsidized housing, etc. may be affected by a verdict or settlement. I further understand that I am obligated to keep FIRM informed of any applications for such government benefits or changes in my current eligibility. Additionally, I understand that I must keep FIRM timely informed of all bills, liens and related correspondences from any health care provider or governmental agency. I understand that FIRM does not represent me in relation to applying for, obtaining or preserving governmental benefits. I understand that I must consider the impact on my current and future governmental assistance a verdict or settlement may have, and I should explore my options regarding preservation of these benefits before receiving a verdict or settlement. Failure to explore these issues before verdict or settlement may compromise my ability to do so in the future.
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