Can DPW Demand Reimbursement of Medical Assistance Made to An Injured Minor After Settlement of Claim With Third Party Trotfeasor ?
In Shearer v. Moore, 277 Pa. Super. 70, 419 A.2d 665 (1980), the Department of Public Welfare's (DPW) made medical assistance payments to an injured minor.
When the claim against the third party tortfeasor reached a settlement, DPW demanded reimbursement.
In applying the equitable principles of subrogation, the Court held . . . "where a subrogor's attorney creates a common fund for the benefit of the subrogee, the attorney is entitled to reimbursement from the subrogee for its proportionate share of reasonable attorney's fees and expenses of litigation." 419 A.2d at 668.