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Berry Baumann accompanied her mother to memorial Hospital, where her mother was

ID: 442931 • Letter: B

Question

Berry Baumann accompanied her mother to memorial Hospital, where her mother was placed in intensive care for heart problems. A nurse asked Baumann to sign various documents, including one that authorized the hospital to release medical information and to receive the mother’s insurance benefits directly. This form states: “I understand I am financially responsible to the hospital for charges for charges not covered by this authorization.” Baumann’s mother died during the course of her hospitalization. The hospital later sued Baumann to recover $19,013.42 in unpaid hospital charges based on the form she signed, which the hospital called a “guarantee of payment.” Baumann contended that she signed the document as an agent for her mother and was thus not personally liable. Decide.

Explanation / Answer

In this case, Berry Baumann is a surrogate decision maker for the incompetent patient. The patient was her mother.

As per law, the surrogates have no financial responsibility for the medical care selected by them for the patients. However, Berry is the patient's daughter and as per law, she has an independent obligation.

Moreover, Berry had signed a document acknowledging her liability toward all charges, whether or not covered by the authorization. So, Berry had agreed to be responsible and hence is liable.

Berry could have signed the documents in her mother's name by POA i.e power of attorney (if she had one). Suppose the mother's name was Jane Smith, the Berry should have signed as Jane Smith by POA. This would not have created any liability for her, whatsoever.

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