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Press Release

AAJ Comments on Proposed Rule Attacking the Rights of Seniors

August 07,2017

Washington, DC—Today, the American Association for Justice (AAJ) joined hundreds of advocates in submitting comments opposing the Centers for Medicare and Medicaid Services (CMS) proposed rule to repeal its celebrated regulatory prohibition on the use of forced arbitration clauses in long-term care facility admissions contracts.

“CMS should reiterate its commitment to protecting vulnerable patients and their families by reaffirming its final rule banning mandatory pre-dispute arbitration clauses from nursing home intake contracts,” said AAJ President Kathleen Nastri in the Association’s comments to CMS. “Repealing the agency’s previously final rule would fundamentally jeopardize the safety and welfare of thousands of nursing home residents throughout the country.”

Less than a year ago, CMS stood with America’s seniors in adopting its well-founded rule to prohibit the use of forced arbitration clauses in long-term care facility and nursing home admission contracts. The agency found that these clauses were unjustly stripping nursing home residents of their rights and allowing facilities to hide failures in providing care from residents and the public.

In June, new leadership at CMS proposed a repeal of the ban on arbitration agreements and acted to take away the newly reclaimed rights of nursing home residents.

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