Nursing Home Update - READ CAREFULLY BEFORE SIGNING!
When faced with the overwhelming decision to admit a family member to a skilled nursing home, your primary concern is finding a suitable facility that will provide the very best care for your loved one. Once you have found the facility that you hope will provide proper care, the admission process may seem like the easy part - that is, until the stack of paperwork requiring your signature is presented to you! It is important to take the time to read each document you are asked to sign and ask the staff to explain anything you do not understand.
A growing trend in the nursing home industry is to include an arbitration clause as part of the wording of the admission agreement or as a separate stand-alone document called an "Arbitration Agreement."
Hoyt Tessener, our attorney handling nursing home claims, answers some questions about arbitration agreements and what signing such an agreement could mean for your family.
Q - Have you seen an increasing number of arbitration agreements in the nursing home claims that you work with?
A - Yes. Approximately 80 percent of nursing home agreements now have an arbitration clause. Usually it is hidden among the admission documents.
Q - What is arbitration?
A - Arbitration is a way to settle a claim or dispute outside of our court system. The parties supposedly agree on the method of the arbitration. The agreement dictates how a dispute is decided, who decides it, and the amount you are allowed to receive.
Q - So, by agreeing to arbitration, does the resident's family give up something?
A - Most definitely. There is nothing wrong with choosing arbitration as long as it is fair. Unfortunately, the arbitration agreement in the nursing home admission documents is not explained to the family members and is very one-sided. For example, most arbitration agreements require that a claim be decided by a nursing home person. In addition, the loser may have to pay the costs to the winner. Finally, the amount of damages is severely limited.
Q - Can you give some general guidance to families that might be faced with this issue?
A - Ask if there is an arbitration clause or agreement. If there is, ask for an explanation of the arbitration procedure. Remember that you are in the bargaining position. Try to find another nursing home available for your loved one. If you are not comfortable signing the arbitration clause and another facility does not require arbitration, tell the administrator. If unsure about what you are signing, ask an attorney to review the documents before you sign.
