Bill To Ban Binding Arbitration Agreements In Nursing Home Contracts 'Warranted,' Editorial States

Main Category: Caregivers / Homecare
Also Included In: Litigation / Medical Malpractice
Article Date: 15 Apr 2008 - 11:00 PDT

email to a friend   printer friendly   view / write opinions   rate article

Congress has begun to consider several bills that seek to establish standards for binding arbitration agreements in consumer contracts, and legislation that would ban such agreements in nursing home contracts "may be warranted," a Washington Post editorial states.

According to the editorial, such agreements "mandate that any dispute between the consumer and the company be resolved through private arbitration," which is "generally cheaper and speedier than litigation." However, most consumers "aren't aware that many of the contracts they sign include" such agreements, some of which "can be unfair," and those who are aware are "helpless to do anything about them because consumers generally must accept contracts in their entirety," the editorial states.

Nursing home residents are "among the most vulnerable in the country, and decisions to place family members in these facilities are often made under the most stressful of circumstances," the editorial states, adding, "Allowing residents or their families to sue may be the only way to prod nursing homes to improve care" (Washington Post, 4/12).

Reprinted with kind permission from http://www.kaisernetwork.org. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at http://www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation© 2005 Advisory Board Company and Kaiser Family Foundation. All rights reserved.