Before they even know where the dining room is or the name of the nurse assigned to their care, new residents of nursing homes are often asked to sign an arbitration agreement that waives their constitutional right to a trial by jury in the event of a dispute with the nursing home.
And most of the time, the residents sign it, unaware of what the agreement means or how it may affect them and their families if something goes wrong. In fact, a 2009 study by the American Health Care Association showed that nearly 70 percent of all nursing home residents had signed an alternative dispute agreement at the time of admission. The agreements typically cover not only financial disputes but also personal injury matters, including negligence and wrongful-death charges.
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