Killing the Patient to Cure the Disease: Medicare's Jurisdictional Bar Does Not Apply to Bankruptcy Courts

Maizel, Samuel R. & Potere, Michael B.

Journal: Emory Bankruptcy Developments Journal

Volume: 32

First Page: 19

Year: 2015

Bluebook Citation: 32 EMORY BANKR. DEV. J. 19 (2015)

Author: Samuel R. Maizel: all 3 publications


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  • 2016Florida Agency for Health Care Administration v. Bayou Shores SNF, LLC 11th Cir.

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Abstract

The Social Security Act requires an exhaustion of administrative remedies prior to judicial review through 42 U.S.C. §§ 405(g) & (h). A hospital's appeal from a claim of overpayment by the government can take years, forcing hospital closure due to a lack of continued Medicare payments. Historically, some bankruptcy courts, looking to legislative history, have found that they lack jurisdiction over Medicare claims prior to the exhaustion of administrative remedies. However, in In re Bayou Shores, SNF, LLC and In re Nurses' Registry and Home Health Corp., the bankruptcy court found that under the plain language of § 405(h) it did have jurisdiction of Medicare claims.

This Article argues that courts should continue to adopt a plain language interpretation of § 405(h), which is consistent with the purpose of the Code.

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