Adopted

COMMITTEE AMENDMENT NO 1 PROPOSED TO

House Bill No. 1651

BY: Committee

     AMEND by striking Section 5 in its entirety and inserting in lieu thereof:

     "SECTION 5.  (1)  If an individual receives care or treatment from the University of Mississippi Medical Center (UMMC) for injuries, disease, sickness or other medical condition caused under circumstances creating a cause of action in favor of the individual against any person, firm or corporation, and UMMC does not receive full compensation from the individual or any third party for all expenses incurred for providing that care or treatment to the individual, then UMMC is entitled to recover from any proceeds that may result from the exercise of any rights of recovery that the individual may have against any such person, firm or corporation in an amount equal to the extent of money owed to UMMC for treatment provided to the individual.  The individual who received care or treatment from UMMC shall execute and deliver instruments and papers to do whatever is necessary to secure those rights and shall do nothing after receiving care or treatment from UMMC to prejudice the subrogation rights of UMMC.  Court orders or any agreement for reimbursement of UMMC's interest shall direct payments to UMMC in the amount owed it, which shall be authorized to endorse any and all, including, but not limited to, multi-payee checks, drafts, money orders, or other negotiable instruments representing recoveries of payments for treatment that are received by UMMC.  In accordance with Section 6 of this act, endorsement of multi-payee checks, drafts, money orders or other negotiable instruments by UMMC shall be deemed endorsed by the individual.  UMMC may compromise or settle any such claim and execute a release of any claim it has by virtue of this section.

     (2)  The acceptance by an individual of care or treatment from UMMC for injuries, disease or sickness caused under circumstances creating a cause of action in favor of the individual against any person, firm or corporation shall not affect the right of the individual or his or her legal representative to recover UMMC's interest as an element of damages in any action at law;however, a copy of the pleadings shall be certified to UMMC at the time of the institution of suit, and proof of that notice shall be filed of record in that action.  UMMC may, at any time before the trial on the facts, join in that action or may intervene in that action to protect its interest.  Any amount recovered by an individual or his or her legal representative shall be applied as follows:

          (a)  The amount of UMMC's interest on behalf of the individual for the uncompensated care or treatment provided to the individual, or such pro rata amount as may be arrived at by the legal representative of UMMC and the individual's attorney; and

          (b)  Any excess shall be forwarded to the individual or if he has an attorney, then the attorney.

     (3)  No compromise of any claim by the individual or his or her legal representative shall be binding upon or affect the rights of UMMC against the third party unless UMMC has entered into the compromise.  Any compromise effected by the individual or his or her legal representative with the third party in the absence of advance notification to and approved by UMMC shall constitute conclusive evidence of the liability of the third party, and UMMC, in litigating its claim against the third party, shall be required only to prove the amount and correctness of its claim relating to the injury, disease or sickness.  If the individual or his or her legal representative fails to notify UMMC of the institution of legal proceedings against a third party for which UMMC has a cause of action, the facts relating to negligence and the liability of the third party, if judgment is rendered for the individual, shall constitute conclusive evidence of liability in a later action maintained by UMMC and only the amount and correctness of UMMC's claim relating to injuries, disease or sickness shall be tried before the court.  UMMC shall be authorized in bringing that action against the third party and his or her insurer jointly or against the insurer alone for the amount owed it.

     (4)  Nothing in this section shall be construed to diminish or otherwise restrict the subrogation rights of UMMC against a third party for the amount due for care or treatment provided by UMMC to an individual as a result of injuries, disease or sickness caused under circumstances creating a cause of action in favor of the individual against such a third party."

     Amend further on line 629 by deleting the word "uncompensated" 

     Amend further on line 640 by inserting "UMMC" after the word "owing" and deleting the word "uncompensated" 

     Amend further on line 645 by striking the language "sixty (60)" and inserting the language and figure "forty-five (45)" in lieu thereof   

     Amend further on lines 653 and 659 by deleting the word "uncompensated"

     Amend further by deleting lines 661 through 670 in their entirety