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Verdicts
Bankruptcy Trustee Can Seek Med-Mal Damages
The U.S. District Court for the Middle District of Alabama has determined that although a debtor who failed to list a potential medical malpractice lawsuit in her bankruptcy filings thereby lost her right to pursue the claim, the bankruptcy trustee was not similarly barred from seeking recovery in the medical malpractice action. Jackson Hospital & Clinic Inc. v. Anderson, 2016 U.S. Dist. LEXIS 106841 (M.D. Ala., 8/12/16).
In 2010, Joann Anderson was treated at Alabama's Jackson Hospital. Her Employee Retirement Income Security Act (ERISA) insurance plan, BCBS, paid $215,650 for her medical care to Jackson Hospital. Anderson then filed for Chapter 7 bankruptcy on Nov. 8, 2011. In that filing, she did not include a potential medical malpractice action against Jackson Hospital, and BCBS was not listed as a creditor. Anderson's bankruptcy debts were discharged by the court on March 1, 2012, and the bankruptcy proceeding was closed four days later.
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