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Walmart sues Brain Damaged woman to recoup health care costs

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toto - 26 Mar 2008 01:03 GMT
Legally, they are in the right, but where is that compassionate
Walmart they want us all to believe exists?

http://www.cnn.com/2008/US/03/25/walmart.insurance.battle/index.html

Eight years ago, Shank was stocking shelves for the retail giant and
signed up for Wal-Mart's health and benefits plan.

Two years after the accident, Shank and her husband, Jim, were awarded
about $1 million in a lawsuit against the trucking company involved in
the crash. After legal fees were paid, $417,000 was placed in a trust
to pay for Debbie Shank's long-term care.

Wal-Mart had paid out about $470,000 for Shank's medical expenses, but
in 2005, Wal-Mart's health plan sued the Shanks for the same amount.

The Shanks didn't notice in the fine print of Wal-Mart's health plan
policy that the company has the right to recoup medical expenses if an
employee collects damages in a lawsuit.

******************************
In 2007, the retail giant reported net sales in the third quarter of
$90 billion.

Legal or not, CNN asked Wal-Mart why the company pursued the money.

Wal-Mart spokesman John Simley, who called Debbie Shank's case
"unbelievably sad," replied in a statement: "Wal-Mart's plan is bound
by very specific rules. ... We wish it could be more flexible in Mrs.
Shank's case since her circumstances are clearly extraordinary, but
this is done out of fairness to all associates who contribute to, and
benefit from, the plan."

Jim Shank said he believes Wal-Mart should make an exception.

"My idea of a win-win is -- you keep the paperwork that says you won
and let us keep the money so I can take care of my wife," he said.

The family's situation is so dire that last year Jim Shank divorced
Debbie, so she could receive more money from Medicaid.

Jim Shank, 54, is recovering from prostate cancer, works two jobs and
struggles to pay the bills. He's afraid he won't be able to send their
youngest son to college and pay for his and Debbie's care.

"Who needs the money more? A disabled lady in a wheelchair with no
future, whatsoever, or does Wal-Mart need $90 billion, plus $200,000?"
he asked.

The family's attorney agrees.

Signature

Dorothy

There is no sound, no cry in all the world
that can be heard unless someone listens ..

The Outer Limits

Banty - 26 Mar 2008 01:24 GMT
>Legally, they are in the right, but where is that compassionate
>Walmart they want us all to believe exists?
[quoted text clipped - 15 lines]
>policy that the company has the right to recoup medical expenses if an
>employee collects damages in a lawsuit.

Now wait a minute.  Details seem to be missing from the story (I take it, for
example, that the accident had to do with a truck..?), but, if they got a
settlement that included her health costs, why should they have health costs
paid by their insurance as well?  This looks like a failure on the part of their
counsel.

And Walmart profits have nothing to do with it.

Banty
Nan - 26 Mar 2008 01:39 GMT
>Now wait a minute.  Details seem to be missing from the story (I take it, for
>example, that the accident had to do with a truck..?), but, if they got a
[quoted text clipped - 5 lines]
>
>Banty

And it's not anything most other companies that most people work for,
wouldn't do in the same situation.  It's just to easy to malign
Walmart.  Not that I love them, but I don't hate them, either.

Nan
Barbara - 26 Mar 2008 16:58 GMT
> In article <gd4ju3165iuir5c0s623v97am14jkfu...@4ax.com>, toto says...
>
[quoted text clipped - 27 lines]
>
> Banty- Hide quoted text -

What irked me was that the article was written as if WalMart's health
insurance clause was unusual.  AFAIK, no health insurance company
permits double recover; if you recover your medical costs from a 3d
party, you have to pay back your own insurer.

This is certainly an extreme -- & a sad -- case.  OTOH, I do see the
insurer's POV.  Health care costs are through the roof.  My employer
just switched to yet another, worse than the last lousy one, insurance
plan because the cost of the old one went up over $100 per person per
month.  If insurance companies couldn't recoup when someone else paid
the bills, it would get even worse.

*Someone* should be responsible to care for that woman.  If a trucking
company is to blame for what happened to her, it should be that
company.

Barbara
Ignoramus13009 - 26 Mar 2008 16:20 GMT
> Legally, they are in the right, but where is that compassionate
> Walmart they want us all to believe exists?
[quoted text clipped - 15 lines]
> policy that the company has the right to recoup medical expenses if an
> employee collects damages in a lawsuit.

So, the money is not in Debbie's hands, they are in a separate entity
which is the trust.

While this is obviously complicated, I do not expect the trust legal
entity, presumably established by the court decision, as bound by the
agreement between Debbie and Walmart.

So Walmart can sue Debbie, and all she would need to do is declare
bankruptcy and she would continue to get health care from the trust.

i
Beliavsky - 26 Mar 2008 16:57 GMT
> Legally, they are in the right, but where is that compassionate
> Walmart they want us all to believe exists?

I don't think this is on-topic for misc.kids .
toto - 27 Mar 2008 00:55 GMT
>> Legally, they are in the right, but where is that compassionate
>> Walmart they want us all to believe exists?
>
>I don't think this is on-topic for misc.kids .

Sure it is.  We have talked about not shopping at Walmart in other
threads.  Besides, with all the spam, anything that is not spam is on
topic, imo.

Signature

Dorothy

There is no sound, no cry in all the world
that can be heard unless someone listens ..

The Outer Limits

Banty - 27 Mar 2008 01:20 GMT
>>> Legally, they are in the right, but where is that compassionate
>>> Walmart they want us all to believe exists?
[quoted text clipped - 4 lines]
>threads.  Besides, with all the spam, anything that is not spam is on
>topic, imo.

That's quite a low standard.

Banty
 
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