A class action lawsuit has been filed against Integrated Health Services Livingston, alleging breach of contract and negligence.

On July 5, 2001, Mary Cockrell signed an admission contract with the defendants that contained an illegal arbitration provision in the terms, requiring the plaintiff to waive her right to a jury trial as a precondition for admission to the defendant’s nursing home. Although the plaintiff was eligible for Medicaid benefits, the defendants, in addition to assigning her Medicaid benefits, required the plaintiff to waive her right to a jury trial as “other consideration”, which is a violation of Alabama law.

“These violations resulted in a breach of the Provider Contract that the defendants entered into with the Alabama Medicaid Agency,” said plaintiffs’ attorney Paul Sizemore with the firm of Beasley, Allen, Crow, Methvin, Portis & Miles, P.C. “The defendants have enjoyed the benefits of this illegal contract and have failed to perform their duties in reference to the third party beneficiary plaintiffs.”

As a proximate consequence of the defendants’ breach of the Provider Contract, the plaintiffs suffered injuries and damage and were forced to incur attorneys’ fees and costs in an effort to enforce their contractual rights.

Other defendants named in this case include Integrated Health Services, Inc., Livingston Nursing Home Integrated Health Services, Community Care of America, Inc., and Melinda Hoffman.

Ms. Cockrell is being represented by Paul Sizemore with the firm of Beasley, Allen, Crow, Methvin, Portis & Miles, P.C., in Montgomery, Alabama, and Don Hall with the firm of Moore, Tucker & Hall in Bessemer, Alabama.



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