Disclaimer: This article is for educational purposes and does not constitute legal advice.
Detailed Answer
What Is a Physician’s Lien in Nebraska?
Under Nebraska’s Hospital Lien Act, health care providers—including physicians—can file a lien to secure payment for services related to a personal injury. Nebraska Revised Statutes §44-2819 allows a provider to claim reasonable charges for treatment that arises from an injured person’s recovery. These liens attach to any subsequent settlement, judgment or award obtained by the injured individual. (Neb. Rev. Stat. §44-2819)
Filing Requirements and Enforcement
Providers must record their lien in the clerk of the district court in the county where treatment occurred within 90 days after the last date of service. If they fail to enforce the lien through a court action before settlement disbursement, they may lose the right to collect against the proceeds. (Neb. Rev. Stat. §44-2820)
Negotiating and Reducing Liens
You can negotiate your physician’s lien directly with the provider or their representative. Many providers prefer a reduced lump-sum payment over a prolonged court battle. You may also petition the court to determine the reasonableness of the charges under Neb. Rev. Stat. §44-2823, which allows a judge to lower a lien if the billed amounts exceed customary and reasonable fees. (Neb. Rev. Stat. §44-2823)
Strategies to Maximize Net Recovery
Engage an attorney early to review all liens and demand statements. Allocate settlement funds specifically for medical expenses and your net award. Leverage potential challenges to unreasonable charges to secure concessions. Obtain written lien waivers upon negotiated reductions. Finally, verify any federal or state medical subrogation claims (e.g., Medicare, Medicaid) before final disbursement.
Helpful Hints
- Confirm the lien’s validity and filing date within 90 days of your last treatment.
- Request a detailed billing statement to identify unreasonable or duplicate charges.
- Offer a quick, reduced payment if it equals or exceeds the lien holder’s likely net recovery after litigation costs.
- Use court review under Neb. Rev. Stat. §44-2823 to challenge excessive fees.
- Obtain a written lien satisfaction letter before you distribute settlement funds.
- Check for Medicare or Medicaid liens and follow federal subrogation rules.