senate Bill S4576

2011-2012 Legislative Session

Relates to the limitation of non-statutory reimbursement and subrogration

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Sponsored By

Archive: Last Bill Status -

  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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view actions (2)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 04, 2012 referred to judiciary
Apr 12, 2011 referred to judiciary

S4576 - Details

Law Section:
General Obligations Law
Laws Affected:
Amd §5-335, Gen Ob L

S4576 - Summary

Relates to the limitation of non-statutory reimbursement and subrogration.

S4576 - Sponsor Memo

S4576 - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K


                       2011-2012 Regular Sessions

                            I N  S E N A T E

                             April 12, 2011

Introduced  by Sen. BONACIC -- (at request of the Office of Court Admin-
  istration) -- read twice and ordered printed, and when printed  to  be
  committed to the Committee on Judiciary

AN  ACT  to amend the general obligation law, in relation to the limita-
  tion of non-statutory reimbursement and subrogation


  Section  1.  Section 5-335 of the general obligations law, as added by
section 8 of part F of chapter 494 of the laws of 2009,  is  amended  to
read as follows:
  S  5-335.  Limitation  of  non-statutory reimbursement and subrogation
claims in personal injury and wrongful death actions. (a) When a  plain-
tiff  settles  with, OR OBTAINS JUDGMENT AGAINST, one or more defendants
in an action for personal injuries, medical, dental, or podiatric  malp-
ractice,  or  wrongful death, it shall be conclusively presumed that the
settlement OR JUDGEMENT does not include any compensation for  the  cost
of  health care services, loss of earnings or other economic loss to the
extent those losses or expenses have been or are obligated to be paid or
reimbursed by a benefit provider, except for those payments as to  which
there  is  a statutory right of reimbursement. By entering into any such
settlement OR BY SEEKING OR OBTAINING SUCH JUDGEMENT, a plaintiff  shall
not  be deemed to have taken an action in derogation of any nonstatutory
right of any benefit provider that paid or is  obligated  to  pay  those
losses  or  expenses; nor shall a plaintiff's entry into such settlement
OR RECOVERY OF SUCH JUDGEMENT constitute a  violation  of  any  contract
between the plaintiff and such benefit provider.
  Except  where  there  is  a statutory right of reimbursement, no party
entering into such a settlement OR OBTAINING SUCH A JUDGEMENT  shall  be
subject  to  a subrogation claim or claim for reimbursement by a benefit
provider and a benefit provider shall have no lien or right of  subroga-
tion or reimbursement against any such [settling] party, with respect to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.


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