Forced Nursing Home Arbitration

The vast majority of nursing homes require new residents to sign a residential agreement contract before moving in.  These agreements are such a standard practice that most people don’t question them.  Unfortunately, potential nursing home residents and their families should do just that.  Very important information and clauses, such as nursing home arbitration agreements, may be hidden underneath the standard language and expectations of a residential agreement.

For example, nationwide, there is a troubling trend of nursing homes including mandatory arbitration clauses within residential contracts.  These forced nursing home arbitration clauses prohibit the resident from filing a lawsuit against the nursing home, instead requiring legal matters to be solved via arbitration.  Many residents signing agreements are unaware of these clauses and what they mean if legal issues arise.

In this article, our Houston nursing home abuse attorney discusses arbitration, the problems with mandatory arbitration, and what you can do to protect your legal rights.  For questions about a nursing home residential agreement you are party to, contact MedMalFirm.com directly to speak with an attorney.

What is Arbitration?

Arbitration is a legal method used to resolve contractual disputes ranging from student loans to cell phone service to healthcare.  Known as alternative dispute resolution (ADR), arbitration utilizes a neutral, objective third party to resolve conflict outside the court system.  While useful in some scenarios, the use of arbitration clauses in nursing home contracts can be dangerous.  In fact, officials in at least 16 states have urged the federal government to limit or extinguish Medicare and Medicaid funding to nursing homes with arbitration clauses.

Arbitration does not require a judge or jury, and is not open to public scrutiny.  Complex arbitration clauses are often buried in contracts, which may be confusing to elderly residents, or completely misunderstood.  There are also many nursing home contracts that are signed by family members who may not have the legal authority to bind their loved one to an arbitration agreement.

Problems with Nursing Home Arbitration

There are several notable problems with nursing home arbitration.  Consider, for example, the case of a 100-year-old nursing home resident who was found suffocated and strangled by her 97-year-old roommate.  While prosecutors filed charges against the roommate, the nursing home was not held responsible because the victim’s residential agreement contract contained an arbitration clause preventing legal action, even in cases of wrongful death.

Even though the roommate had a history of mental illness, paranoia, and other problems, the nursing home never took action to place the victim in another room, or address the roommates potential for dangerous behavior.  Because of the arbitration clause, the nursing home could not be held liable for the death of the resident, and the family was forced into arbitration.

During the arbitration process, legal counsel for the victim’s family noted that the arbitration company handling the case had previously managed over 400 arbitration cases for the law firm representing the nursing home.  This raised the question of objectivity and bias, which is presumably the purpose of using an arbitrator.  Further, when the arbitrator ruled in favor of the nursing home, no explanation was offered for the ruling.

Nursing Home Arbitration and Your Rights

Forced nursing home arbitration protects nursing homes from legal accountability, and offers no protection for elderly residents.  Further, numerous ongoing court battles argue that forced arbitration takes away a nursing home resident’s right to a jury trial.  Attorney Charles Brown of MedMalFirm.com says,

“The right to a jury trial is a fundamental right for a reason. It allows the public to know what nursing homes would prefer to hide behind the cloak of arbitration.”

Arbitration allows nursing homes to keep allegations of abuse, neglect, or exploitation secret from the public and the court system.

It is completely unacceptable for nursing homes to avoid the civil justice system while continuing to offer substandard and unethical care to elderly residents.  If you or a loved one has suffered an injury due to negligent nursing home care, and you want to learn more about your legal rights and arbitration clauses, contact MedMalFirm.com to speak with a caring, compassionate nursing home abuse attorney.  Fill out our online form or call us toll free at 877-887-4850 to request a free consultation.