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Committee backs fix to close medical-debt collection loophole in Idaho Patient Act
Summary
Senate Bill 10-79 would make the Idaho Patient Act’s caps and limitations follow a judgment even if the debt is sold and refiled; sponsor and witnesses described patients facing repeated lawsuits and attorney-fee burdens; the committee sent the bill to the floor with a do-pass recommendation.
Senator Kelly Anthon presented Senate Bill 10-79 as a narrow amendment to prevent debt collectors from evading the Idaho Patient Act’s protections by selling judgments and initiating new lawsuits. Anthon described cases where patients who had paid medical bills nonetheless faced default judgments and then new suits that did not apply the Act’s caps on attorney fees, driving some into bankruptcy.
Witnesses representing creditors’ interests said the bill clarifies existing intent and aligns with earlier legislative goals to cap attorney fees and require timely billing. Jay Cobb, representing Meluca Inc., said the bill does not create new post-judgment limits but clarifies that the act’s limitations follow a judgment regardless of who owns it.
Senators expressed support for closing the loophole; committee members noted the statute’s original intent and concerns about collection tactics. The committee voted to send SB10-79 to the Senate floor with a do-pass recommendation.
