3rd Circ. OKs State Liens On Medicaid Patient Awards

Law360, New York (June 29, 2011, 8:56 PM EDT) -- The Third Circuit on Wednesday upheld the Pennsylvania Department of Public Welfare's use of liens on judgments and settlements that Medicaid beneficiaries secure from third parties, backing a practice used by more than 30 states to recoup medical expenses.

In a precedential 2-1 ruling, the appeals panel concluded that the liens limited to medical costs were an exception to provisions of the Social Security Act prohibiting states from imposing liens on the property of Medicaid beneficiaries. The Act also requires states to seek reimbursement for medical...
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