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A group consisting of lawyers, activists and the lead plaintiff held a press conference to celebrate a legal victory against MountainView Regional Medical Center.
The lawsuit accused the hospital of illegal debt collection practices. Since July of 2021, hospitals were not allowed to sue patients or take them to collections for outstanding debt if they were below 200% of the federal poverty level.
The lawsuit consisted of 277 MountainView patients and the hospital settled.
Lead plaintiff Ruby Kirker said that in 2021 while she was pregnant, she went to the hospital and then got hit with a lawsuit over the debt that she acquired.
“It’s disappointing and it’s embarrassing, too, to get stuff like that in the mail,” Kirker said. “It’s devastating especially due to that income, the low-income bracket that we were in.”
Kirker continued by explaining that the lawyers called her and explained the law. She then agreed to be part of the lawsuit and represent the other patients.
“It’s amazing to not only represent myself but represent a lot of other people that are going through the same exact thing that I am going through,” Kirker said.
New Mexico Law and Poverty Center Legal Director Sovereign Hager said that cases like this are not unheard of.
“We have seen and heard from patients everyday across the state that they have either been sued or didn’t receive information about their rights under the law,” Hager said.
Hager also said that this lawsuit shows that “the law is meaningful, and it protects people and that hospitals should be on notice that they need to comply with the law.”
In a statement from MountainView, the hospital said that it is “committed to following all laws and regulations, including the Patient Debt Collection Protection Act, and are pleased to have resolution in this matter. We care deeply about our patients, and very consciously try to help patients manage their hospital bills and consider the unique circumstances of each individual’s situation.”
The total settlement was “about $399,000” with each plaintiff receiving $625 in damages and being refunded amounts that they paid up to $200,000. The patients will also have all lawsuits against them dismissed and the hospitals will have to change their debt collection practices.