Survey - Lien Activation Fee - §4903.06 (a) (5) (California)

The filing and enforcement of liens (different states refer to these with different terms) to secure payment for services or goods against a workers' compensation award is complex and filled with special rules - this category is for questions and discussion of this special area of work comp law.

Survey - Lien Activation Fee - §4903.06 (a) (5) (California)

Postby LienExaminer on Thu Jun 27, 2013 1:00 pm

I would like to get as many responses as possible from both the lien claimant and the defense sides.
I am doing a survey of sorts. I know it will not be a very scientific survey, but I want to know what everyone is thinking out there.

§ 4903.06 (a) (5)
Any lien filed pursuant to subdivision (b) of Section 4903 prior to January 1, 2013, and any cost that was filed as a lien prior to January 1, 2013, for which the filing fee or lien activation fee has not been paid by January 1, 2014, is dismissed by operation of law.

Answer these questions

Lien Claimant of Defense?

For Lien Claimants
1. Will you be paying activation fees on every lien? Or will you have a dollar threshold? If a threshold what will the dollar amount be?
2. Will you look at other issue prior to paying Activation Fee? Such as paid per fee schedule and lien is only a balance? Bill is for non-certified treatment? Etc?
3. What impact do you think this will have in the numbers of liens that will end up being dismissed due to Failure to Pay Activation Fee? Will you have a 50% reduction in liens to pursue? 20% reduction?

For the defense
1. What impact do you estimate this will have in terms of reduction in the amount of liens you still need to resolve?
2. What are you doing now and leading up to the end of the year? Negotatiating the liens? Or do a sort of wait and see?
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Re: Survey - Lien Activation Fee - §4903.06 (a) (5) (California)

Postby vampireinthenight on Fri Jun 28, 2013 8:06 am

It depends. :P

Seriously, it depends on if the lien has merit. Probably based mostly on historical precedence, I wait until the conclusion of the case to take a hard look at a lien (esp if part of the bill has been paid). If it is say a treatment provided over UR denial and no objections from applicant, then that one usually simmers. Well... you get the idea. Fees have not changed my general approach much.
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