80-year-old Woman Fights Nursing Home Arbitration Clause

An attorney for an elderly stroke victim urged a state’s Supreme Court to let her take her fraud claims against a nursing home to trial, rather than to arbitration as the health care facility is demanding. A circuit court judge ruled that the victim could not be forced to arbitrate her claims, but his decision was recently overturned by the court of appeals. The woman suffered a stroke in September 2005 and states that the nursing home delayed filing her Medicaid application so it could continue charging her a higher daily rate for several months. The delay eventually cost her more than $70,000. She also alleged that a nursing home employee put her in touch with people who tried to buy her home for far less than its value. Currently, Illinois is trying to pass legislation that bans binding arbitration in nursing home contracts. Binding arbitration clauses compel unwary purchasers into forfeiting their right to their day in court. To read more about the binding arbitration clause, please click the link.

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