[CLBS] [CLBS} Medical Lien question

[Catherine Dullea]

If medical lien is a medical indigency lien under Idaho Code and it was
properly perfected prior to the bankruptcy, you can't get rid of it (Handy
vs Bonner County, In re Handy, 97.31 I.B.C.R., Bankr.D.Idaho 1997).  If it
was not property perfected, you can (Mechling vs Bonner County, In re
Mechling,  02.4 I.B.C.R., Bankr. D. Idaho 2002).  So you'll need to know
what the hospital or county did to perfect the lien and whether it was
adequate under the UCC.  Good luck.

-----Original Message-----
From: CLBS [mailto:clbs-bounces at admws.idaho.gov] On Behalf Of Matthew T.
Christensen
Sent: Friday, February 26, 2016 11:16 AM
To: CLBS at admws.idaho.gov
Subject: [CLBS] [CLBS} Medical Lien question

Folks,

Scenario:  Client has previous personal injury accident.  Existing
unresolved personal injury claim (policy limits = $100k).  $600k in medical
bills; hospital has a medical lien on the insurance claim (assume properly
pursued/perfected).  Brain damage as a result of the accident = good case
for "to the extent necessary for support" exemption claim for PI proceeds.

Question/Problem:  What to do (if anything) about the medical lien.  Can it
be avoided (similar to a judgment lien on a house)?  Or is the Debtor stuck
with it, and all PI proceeds just go to the medical folks?

I can (and probably will) research this - but figured I'd see if there was
any collective wisdom first.

MTC


Matthew T. Christensen
Attorney and Counselor at Law

ANGSTMAN JOHNSON
Attorneys and Counselors
3649 N. Lakeharbor Lane
Boise, Idaho  83703
(208) 384-8588
(208) 853-0117 (fax)
mtc at angstman.com<mailto:mtc at angstman.com>
www.angstman.com<http://www.angstman.com/>

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