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AR 163/96 CROWN'S RIGHT OF RECOVERY REGULATION

(Consolidated up to 103/2006)

ALBERTA REGULATION 163/96

Hospitals Act

CROWNS RIGHT OF RECOVERY REGULATION

Table of Contents

                1       Definitions

                2       Exception to Crowns right of recovery

                3       Calculation of pre‑judgment interest


                4       Payments to legal counsel

                5       Payments to others

                6       Expiry

Definitions

1   The definitions in sections 1 and 61 of the Act apply to this Regulation.

AR 163/96 s1;251/2001

Exception to Crowns right of recovery

2(1)  The Crown’s right of recovery does not arise if

                                 (a)    the beneficiary suffers injuries as a result of a wrongful act or omission of a wrongdoer who is the spouse or adult interdependent partner or a relative of the beneficiary, and

                                 (b)    the beneficiary has neither commenced an action against nor entered into a settlement with the spouse or adult interdependent partner or relative that is based on the wrongful act or omission.

(2)  In this section,

                                 (a)    repealed AR 109/2003 s12;

                                 (b)    “relative” means a relative by blood or marriage or by virtue of an adult interdependent relationship, including a common law marriage.

                                 (c)    repealed AR 109/2003 s12.

AR 163/96 s2;109/2003;315/2003

Calculation of pre-judgment interest

3(1)  For the purposes of section 66 of the Act, the interest to be awarded is the sum of

                                 (a)    the amounts of interest calculated under subsection (2) for each full calendar month after the Crown’s right of recovery arises, up to the month in which the judgment is granted, and

                                 (b)    the amount of interest calculated under subsection (3) for the month in which the judgment is granted.

(2)  The amount of interest for a month, other than the month in which the judgment is granted, is calculated in accordance with the formula:

                                          Amount of Interest for Month = A x B x 1/12

(3)  The amount of interest for the month in which the judgment is granted is calculated in accordance with the formula:

                                          Amount of Interest for Month = A x B x   C  
                                                                  365

(4)  The variables for the formulas in subsections (2) and (3) are as follows:

                                          A is the total of the Crown’s cost of health services that have been provided to the beneficiary prior to the month;

                                          B is the rate of interest for pecuniary damages that is established under Part 1 of the Judgment Interest Act for the year in which the month occurs;

                                          C is the number of the days in the month up to and including the day the judgment is granted.

AR 163/96 s3;251/2001

Payments to legal counsel

4(1)  The maximum amounts payable to legal counsel who act for the beneficiary and for the Crown in a claim that is based on the Crown’s right of recovery are

                                 (a)    15% of the first $20 000 that is payable to the Crown under a judgment or settlement, excluding reasonable disbursements, and 10% on the remainder of the amount payable to the Crown, excluding reasonable disbursements, and

                                 (b)    reasonable disbursements directly related to the Crown’s claim.

(2)  The amounts payable to legal counsel who act only for the Crown in a claim that is based on the Crown’s right of recovery are the reasonable fees, costs and disbursements payable under an agreement entered into by the Director and legal counsel.

(3)  If the act or omission of a wrongdoer that gives rise to the Crown’s right of recovery occurs in a jurisdiction outside of Alberta and legal counsel from that jurisdiction is hired to act for the Crown, the amounts payable to the legal counsel are the fees, costs and disbursements that are reasonable in that jurisdiction and that are payable under an agreement entered into by the Director and legal counsel.

AR 163/96 s4;141/2001

Payments to others

5   The amounts payable to physicians, private investigators, experts and others hired by the Crown for the purposes of the Crown’s right of recovery are the amounts approved by the Director.

Expiry

6   For the purpose of ensuring that this Regulation is reviewed for ongoing relevancy and necessity, with the option that it may be re‑passed in its present or an amended form following a review, this Regulation expires on April 30, 2011.

AR 163/96 s6;141/2001;103/2006

 
 
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