A Connecticut trial court finds that a son is liable for breach of oral contract with a nursing home after he did not promptly establish his mother's eligibility for Medicaid even though he did not sign the nursing home's admission agreement as the responsible party. Glastonbury Healthcare Center, Inc., v. Esposito (Conn. Super. Ct. No. CV 01-0811032, June 23, 2008).
Carmine Esposito admitted his mother to a nursing home and signed the admission agreement on her behalf. The agreement stated that the "Responsible Party" agrees to provide all the information necessary to apply for Medicaid and act promptly to establish eligibility for Medicaid. Although Mr. Esposito did not sign the admission agreement as a responsible party, the nursing home representative informed him at the signing that he was the responsible party.
Mr. Esposito applied for Medicaid on behalf of his mother, but he did not immediately provide the state with all the information requested and did not immediately reduce his mother's assets. This resulted in a delay in his mother's eligibility. The nursing home sued Mr. Esposito for breach of contract, among other things, asking for damages caused by the loss of Medicaid benefits.
The Connecticut Superior Court holds that Mr. Esposito breached an oral contract with the nursing home and awards damages. According to the court, because Mr. Esposito did not sign the admission agreement as a "responsible party," there was no written contract. However, the court finds that Mr. Esposito violated an oral contract by not providing the information requested by the state and not promptly establishing his mother's eligibility for Medicaid.
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