In a wrongful death action, Medicare is not entitled to a lien on the portion of the recovery attributable to the claims of the survivors.

The plaintiffs' settled a wrongful death claim against a nursing home. The defendant, the Secretary of the Department of Health and Human Services ("HHS"), sought reimbursement for medical payments made on behalf of the decedent. The estate paid Medicare under protest and sought review. The U.S. District Court for the Middle District of Florida held that Medicare was entitled to reimbursement for the total amount of medical expenses paid. The plaintiffs appealed. The appellate court held that the claim of the estate for the medical bills was separate and distinct from the claim of the survivors. As a result, in a wrongful death context, Medicare is not entitled to a lien on the portion of the recovery attributable to the claims of the survivors.

Case Law Alert - 1st Qtr 2011