Admitting a loved one to a nursing home is an emotional and difficult experience. Increasingly, nursing homes are including mandatory arbitration clauses in their admission papers. By signing a mandatory arbitration clause, the patient and/or his family gives away a significant legal right — trial by jury – should a dispute arise over the quality of care rendered to the patient. These clauses purport to be voluntary. However, the patient and/or his family is already under great stress at the time of admission, worrying about the patient’s health and future care needs. Usually, they simply sign all of the necessary admission papers without any understanding of the implications of such a clause. Recognizing the unfairness of these clauses, legislation has been introduced in Congress to invalidate them. But the powerful forces of the nursing home industry are fighting hard to defeat this legislation, and they may win.
Why is the nursing home industry fighting so hard? MONEY. The industry knows that juries will hold nursing homes accountable for bad care and award significantly more in damages than most arbitrators. Wouldn’t it be better if, instead of spending money on lobbyists to influence Congress, the industry spent that money to hire more patient care staff and better train that staff? Maybe then the nursing homes would not have to worry so much about lawsuits.
