The Fairness in Nursing Home Arbitration Act bans pre-dispute mandatory binding arbitration clauses from nursing home contracts. Opponents of the bill argue that pre-dispute mandatory binding arbitration should continue as a cost-saving measure. In reality, mandatory arbitration does not save costs, but it does enable ill-practicing nursing homes to escape accountability and public scrutiny while cutting off the rights of our nation’s elderly. Why should nursing home residents have fewer rights than everyone else?
- Limiting accountability through mandatory arbitration encourages poor and negligent nursing home care and increases costs.
- Nursing home corporations are profitable entities increasingly owned by investment firms.
- Small Businesses do not see litigation as a major problem.
- The cost of nursing home care has risen sharply in the last five years due to labor shortages, rising food prices, and round-the-clock care — litigation costs are not a cost driver in this industry.
- Currently, Medicare and Medicaid end up footing the bill for negligent nursing home care.
- Nursing home cases usually occur when a resident was injured or has died because of a facility?s neglect. It is the nursing homes that do not take responsibility for the neglect and pursue frivolous costly appeals.
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