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DAUGHTERS OF CHARITY HEALTH SERVICES v. LINNSTAEDTER

No. 05-0108.

226 S.W.3d 409 (2007)

DAUGHTERS OF CHARITY HEALTH SERVICES OF WACO, A Texas Corporation D/B/A Providence Health Center, Petitioner, v. Donald LINNSTAEDTER and Kenneth Bolen, Respondents.

Supreme Court of Texas.

Decided June 1, 2007.

Attorney(s) appearing for the Case

Andy McSwain, Colin H. O'Neill, Daniel Nesbitt MacLemore IV, Fulbright Winniford, P.C., Waco, for Petitioner.

Rod S. Squires, Derek Tod Gilliland, Fadra L. Day, Williams Squires Wren Brown & Gilliland, L.L.P., Waco, for Respondents.

Thomas B. Hudson Jr., P.M. Schenkkan, Graves Dougherty Hearon & Moody, P.C., Austin, for Amicus Curiae.

Justice BRISTER delivered the opinion of the Court.

Few patients today ever pay a hospital's full charges, due to the prevalence of Medicare, Medicaid, HMOs, and private insurers who pay discounted rates.1 The question presented here is whether a hospital paid by a workers' compensation carrier can recover the discount from its full charges by filing a lien against a patient's tort recovery. Because hospitals cannot sue such patients for...

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