Detailed Answer
Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Under Connecticut law, medical providers may assert a lien against any personal injury recovery when they treat you for injuries caused by another party’s negligence. Connecticut General Statutes § 52-249 allows hospitals, nursing homes and other licensed health care institutions to secure payment by filing a written notice of lien in the court where your lawsuit or arbitration is pending. Once you reach a settlement or obtain a judgment, that lien attaches to the proceeds.
Key points under Conn. Gen. Stat. § 52-249:
- Eligible Providers: Licensed hospitals, nursing homes and outpatient treatment centers.
- Filing Deadline: The provider must file a notice of lien within 30 days after you serve them with the notice of suit. Late filings lose their priority.
- Scope of Lien: The lien covers reasonable charges for treatment related to the injuries at issue, not unrelated medical care.
- Priority of Payment: Settlement funds typically pay attorney fees and litigation costs first. Remaining proceeds satisfy valid liens.
In practice, you must satisfy valid medical liens from your personal injury settlement. However, you or your attorney can negotiate lien amounts downward. Many providers accept a percentage reduction to avoid the expense of enforcing their lien. If a provider overstates its charges, you may challenge the lien’s reasonableness in court.
Example Scenario: After a car crash, Jane Doe’s hospital treats her for $15,000. Her attorney notifies the hospital of the lawsuit on January 1. The hospital files a lien by January 31 in the Superior Court of Connecticut. Jane settles her claim for $50,000. Attorney fees and costs consume $20,000. The hospital enforces its lien for the remaining $15,000—or negotiates to accept $10,000. Jane receives the balance after lien payment.
If you ignore a valid lien, the provider may move the court to enforce it against settlement funds. To avoid disputes, include all known providers in settlement negotiations and escrow disputed amounts until you resolve any challenges.
For the full text of the lien statute, see Conn. Gen. Stat. § 52-249: https://www.cga.ct.gov/current/pub/chap_901.htm#sec52-249
Helpful Hints
- Request lien statements early to review charges and file challenges promptly.
- Negotiate with providers—many accept 30–50% reductions to settle liens.
- Use an escrow account for disputed lien amounts to protect your settlement release.
- Document all communications and get lien waivers in writing once paid.
- Discuss lien resolution strategies with your personal injury attorney before settlement.