Cook v. Jefferson Parish Hospital Service
(May 2004)

Thomas Anzelmo won an appeal at the 5th Circuit in favor of East Jefferson General Hospital in Cook v. Jefferson Parish Hospital Service. East Jefferson argued a plaintiff should not be able to recover the portion of medical expenses written off by a hospital pursuant to Medicare under the collateral source rule. The 5th Circuit acknowledged a previous ruling by the 2nd Circuit which held “a plaintiff may not recover as damages that portion of medical expenses ‘contractually adjusted’ or ‘written off’ by a healthcare provider pursuant to the requirements of the Medicaid program.” The court further held that “[b]ecause the portion of medical expenses that are “written off” by a healthcare provider are not damages incurred by the injured plaintiff, they are not subject to recovery by application of the collateral source rule.” The 5th Circuit concurred with the decision of the 2nd Circuit and held “…that the trial court erred in awarding that portion of medical expenses which were ‘contractually adjusted’ or ‘written off’ by East Jefferson pursuant to Medicare.”