IN North Allegheny Summer 2019 | Page 15

INDUSTRY INSIGHT ELDER CARE SPONSORED CONTENT AN ADULT CHILD CAN BE LIABLE FOR A PARENT’S NURSING HOME BILL A lthough a nursing home cannot require a child to be personally obligated for their parent’s nursing home bill, there are circumstances in which an adult child can be liable to pay the bill. With the average cost of nursing home care in Pennsylvania exceeding $10,000 per month, this is not a circumstance many can afford to navigate. Federal regulations prevent a nursing home from requiring a third party to be personally liable, or guarantee payment, as a condition of admission. However, children of nursing home residents often sign the nursing home admission agreement as the “responsible party.” This is a confusing term and it isn’t always clear from the contract what it means. It is important to read the contract very carefully because some nursing homes still have language in their contracts that violates the regulations. Typically, the responsible party is agreeing to do everything in his or her power to make sure that the resident pays the nursing home from the resident’s funds. If the resident runs out of funds, the responsible party may be required to apply for Medicaid on the resident’s behalf. With most Medicaid applications being improperly YOUR SYMBOL OF PROTECTION Are you worried about losing your home or life savings to the cost of long term care? Are you a veteran or spouse of a veteran? If the answer is yes, we can help. What's at risk? Only everything you own Protecting People, Property, & Life Savings 724-942-6200 PittsburghElderLaw.com denied, if the responsible party doesn’t follow through on properly applying for Medicaid, appealing a denial, or providing the state with all the information needed to determine Medicaid eligibility, the nursing home may sue the responsible party for breach of contract. In addition, if a responsible party misuses a resident’s funds instead of paying the resident’s bill, the nursing home may also sue the responsible party. In both of these circumstances, the responsible party may end up having to pay the nursing home out of his or her own funds. Another way children may be liable for a nursing home bill is through filial responsibility laws which obligate adult children to provide necessities like food, clothing, housing, and medical attention for their indigent parents. A Pennsylvania appeals court found a son liable for his mother’s $93,000 nursing home bill under the state’s filial responsibility law. Health Care & Retirement Corporation of America v. Pittas (Pa. Super. Ct., No. 536 EDA 2011, May 7, 2012). John Pittas’ mother entered a nursing home for rehabilitation following a car crash. She later left the nursing home and moved to Greece, and a large portion of her bill at the nursing home went unpaid. Mr. Pittas’ mother had applied for Medicaid to cover her care, but that application was still pending at the time of her discharge. The nursing home then sued Mr. Pittas for nearly $93,000 under Pennsylvania’s filial responsibility law. The trial court ruled in favor of the nursing home, and Mr. Pittas appealed. He argued that the court should have considered alternate forms of payment, such as Medicaid or his mother’s husband and her two other adult children. The Pennsylvania Superior Court agreed with the trial court and held Mr. Pittas liable for his mother’s nursing home debt. The court stated that the law doesn’t require consideration of other sources of income or waiting until a Medicaid claim is resolved. It also said that the nursing home had every right to choose which family members to pursue for the money owed. In March 2013 the state’s Supreme Court declined to hear the case, meaning that the ruling is final. In the past, filial responsibility laws rarely have been enforced, but as it has become more difficult to qualify for Medicaid, states are becoming more likely to use them. Pennsylvania is one state that has used filial responsibility laws aggressively. The importance of having an Elder Law Attorney represent the applicant throughout the long term care continuum cannot be overstated. The process is complicated, confounding, and potentially catastrophic for those blindly entering the long term care maze without competent legal counsel. Christine Brown Murphy is a partner with the elder law firm of Zacharia Brown P.C. Zacharia Brown is one of the oldest, most established elder law firms in western Pennsylvania. Their practice focuses on Medicaid eligibility, Veterans Benefits planning, estate administration, and estate planning including wills, powers of attorney, living wills, and trusts. Pittsburgh area office locations include McMurray, McKeesport and Wexford. Phone: 724.942.6200. Website: www.pittsburghelderlaw.com. E-mail: [email protected] NORTH ALLEGHENY ❘ SUMMER 2019 13