Medicare Payments
Friday, April 5th, 2019
Recently, a Maryland law firm settled with the United States to resolve allegations that it failed to reimburse the United States for Medicare payments made to medical providers on behalf of a firm client. Under the Medicare statute and regulations, Medicare is authorized to make conditional payments for medical items or services under certain circumstances, with the requirement that when an injured person receives a tort settlement or judgment, those receiving the proceeds of the settlement or judgment, including the injured person’s attorney, are required to repay Medicare for the conditional payments. Under the terms of the settlement agreement, the firm agreed to pay the United States $250,000 to resolve the Government’s claims. Per the US Attorney’s Office for the District of Maryland, “This settlement reminds attorneys of their obligation to reimburse Medicare for conditional payments after receiving settlement or judgment proceeds for their clients. This settlement should also remind attorneys not to disburse settlement proceeds until receipt of a final demand from Medicare to pay the outstanding debt.”