Legal LOP Agreement

LEGAL LOP AGREEMENT

This Letter of Protection Agreement (the "Agreement") is entered into as of , (Effective Date) by and between Client Name: of Client Address: and Healthcare Provider Name: of Provider Address: .

Recitals

WHEREAS, Client asserts claims for personal injury and related damages arising from the incident described as: ; and

WHEREAS, Provider has rendered or will render medical services, treatment, and care to Client and expects payment for such services; and

WHEREAS, the parties desire to protect Provider's right to payment from proceeds recovered by Client from any settlement, judgment, or other recovery of Client's claim (collectively, "Recovery").

NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as follows.

1. Definitions

1.1 "Protected Charges" means all reasonable and customary charges for medical care and services provided by Provider to Client through the date of final billing. Protected Charges may include previously incurred balances, ongoing care, and reasonable future care directly related to the injuries at issue.

1.2 "Net Recovery" means the gross amount recovered by Client from any source on account of Client's claim, less: (a) Court-awarded fees and costs; (b) third-party liens required by law; and (c) reasonable and documented litigation expenses actually advanced by Client's counsel.

2. Scope of Protection

Provider agrees to defer immediate collection efforts and to refrain from initiating collection or lien enforcement against Client for Protected Charges, provided that Client and Client's counsel (if applicable) cooperate in good faith to prosecute Client's claim and to notify Provider of any settlement negotiations or offers.

3. Provider Obligations

Provider shall: (a) provide medically necessary care and maintain itemized billing records; (b) at Client's request, provide records and reasonable cooperation to Client's counsel to the extent permitted by law; and (c) not seek separate recovery from any settlement fund except as provided by this Agreement.

4. Client Obligations

Client shall: (a) promptly provide Provider with notice of any settlement, judgment, or offer and provide documentation of the Net Recovery; (b) not settle the claim without providing Provider at least prior written notice; and (c) cooperate in the execution of any instruments necessary to effectuate Provider's right to payment from Recovery.

5. Allocation and Payment

5.1 Payment to Provider from Recovery shall be made in the following order of priority: (a) payment of reasonable attorneys' fees and litigation costs; (b) payment of third-party liens required by law; (c) payment to Provider of Protected Charges. The parties agree that Provider's share of Recovery shall be the outstanding amount of Protected Charges unless otherwise agreed in writing.

5.2 If the parties elect a negotiated compromise of Provider's account, such compromise must be memorialized in writing and signed by Provider and Client. Compromised amounts are binding only when reduced to a written instrument signed by Provider.

6. Attorney Cooperation and Assignment

If Client is represented by counsel, Client authorizes counsel to disburse funds from any settlement or judgment to satisfy Provider's Protected Charges in accordance with this Agreement. Client hereby assigns to Provider the right to be paid from Recovery up to the amount of Protected Charges and agrees that Provider may, if necessary, enforce such assignment against counsel or against settlement proceeds.

Counsel Name (if applicable):

7. Costs, Interest, and Accounting

Provider may charge interest on outstanding balances only to the extent permitted by applicable law. Provider shall provide Client and Client's counsel, upon written request, an itemized statement of Protected Charges and receipts for payments received from Recovery.

8. Lien and Enforcement

Provider may assert a lien or take enforcement action against Recovery if Client or Client's counsel fails to make payment within after demand following finalization of Recovery. Provider's remedies shall be cumulative and in addition to any other remedies at law or equity.

9. Term and Termination

This Agreement shall remain in effect until Provider is paid in full for Protected Charges or until terminated by mutual written agreement. Termination shall not affect Provider's right to payment from any Recovery obtained prior to termination.

10. Notices

Notices to Client

Notices to Provider

11. Amendments; Waiver

Any amendment to this Agreement must be in writing and signed by both parties. Failure to enforce any provision constitutes neither a waiver nor a modification of that provision absent a signed, written waiver.

12. Governing Law; Venue

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to conflict of laws principles. Venue for disputes arising under this Agreement shall lie in the state or federal courts located in the county indicated by Provider's address unless otherwise agreed in writing.

13. Severability; Entire Agreement

If any provision of this Agreement is held invalid or unenforceable, the remainder of the Agreement shall remain in full force and effect. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiations, representations, or agreements, whether written or oral.

14. Counterparts; Execution

This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. A signature delivered electronically or by facsimile shall be binding for all purposes.

Additional Terms (optional)

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