Briarcliff Nursing Home, Inc. v. Turcotte

No. 1012193, 1012195 (Ala. Sup. Ct. Mar. 2004) ; Clearinghouse Number: 55574

Description

Deceased Nursing Home Resident’s Estate Is Bound by Admissions Contract Arbitration Provision In Wrongful Death Action

Abstract

The Alabama Supreme Court held that the estate of a deceased nursing home resident, bringing a wrongful death suit against the nursing home, was bound by the arbitration provision contained in the admission contract. Plaintiff executor and administratrix of the estates of deceased nursing home residents brought wrongful death actions against defendant nursing home. Moving to compel arbitration, defendant argued that plaintiffs were bound by the nursing home’s admission contracts, which included an arbitration provision and were signed by agents of the deceased. Plaintiffs argued that, as representatives of the estates, they did not sign the admission contracts and were not bound by them. Plaintiffs also asserted that the arbitration provision was unconscionable and part of a contract of adhesion. The trial court denied defendant’s motion, and defendant appealed to the Alabama Supreme Court. The supreme court held that plaintiffs stood in decedents’ shoes and were bound by any valid agreement, including the agreement on arbitration, entered into by decedents. The arbitration provision was not unconscionable, and the contract was not one of adhesion. The supreme court stated that, even though nursing home choice was limited, defendant did not have overwhelming bargaining power because decedents could have chosen alternate care. This “meaningful choice” also means, the supreme court held, that the contract is not one of adhesion. In an amici brief to support plaintiffs’ motion for rehearing, the National Senior Citizens Law Center, with others, argued that such contracts and arbitration provisions were unconscionable because nursing home applicants, especially those on Medicaid, were under pressure to find care, had limited financial resources and mobility, and thus did not have meaningful choice,.

Additional Information

Attorney Information
Amici counsel are Russell Jackson Drake, Whatley Drake, L.L.C., 2323 2nd Ave. N. Birmingham, Ala. 35203 (205.328.9576); Deborah Zuckerman, Bruce Vignery, Dorothy Siemon, Michael Schuster, AARP, 601 E St., N.W., Washington, DC 20049 (202.434.2060); Edward King, National Senior Citizens Law Center, 1101 14th St., N.W., Suite 400, Washington, DC 20005 (202.289.6976)
Docket Date
2004-03-01 00:00:00+00:00

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