Wednesday, October 12, 2016

CMS Final Rule Prohibits Pre-Dispute Arbitration Agreements

Dianne De La Mare


The Center for Medicare and Medicaid Services (CMS) has released a final rule that includes a regulation that prohibits pre-dispute arbitration agreements. The regulation allows for voluntary post-dispute arbitration agreements; but there are certain conditions that must be met even with a post-dispute arbitration agreement. The regulation also allows another individual to sign the arbitration agreement under certain conditions. The regulation is effective on November 28, 2016, and is not retroactive. If a center enters into a pre-dispute arbitration agreement up through Nov. 27, 2016, it is still a valid agreement. See § 483.70(n).

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