Nursing Home Binding Arbitration Agreements No Longer Enforceable, According to CMS Decision

For some time, nursing home facilities have relied upon binding arbitration agreements in their contracts to avoid any judicial involvement among disputes.  Recently, a federal decision has been released that will preclude nursing home facilities from forcefully using arbitration clauses in their contracts.  According to a report, the new decision will allow potential residents and their families the opportunity to become educated and informed about opting for or against arbitration agreements.    

Additionally, nursing home residents and their families will be allowed to have open communication with state surveyors of these facilities about concerns.  “This protects the resident and his or her representative from any undue influence by the long-term care facility to discuss the circumstances surrounding a concern, complaint, or grievance,” a CMS spokesman said in a report.  For more, read this story and this article.