MDR LAW LLC is excited to share that Founding MDR Partner Albert E. Durkin and Associate Peter Bucar have been featured in the January 2025 issue of the Illinois State Bar Association (ISBA) Bench & Bar newsletter (Vol. 55, No. 4). Their article, Mandatory Arbitration Clause Found Unconscionable and Therefore Unenforceable in Nursing Home Contract, provides an in-depth analysis of a recent court decision with significant implications for arbitration agreements in nursing home contracts.
In their article, Durkin and Bucar discuss the Illinois First District Appellate Court’s ruling in Hwang v. Pathway LaGrange Property Owner, LLC, which affirmed that a mandatory arbitration clause in a nursing home contract was unconscionable and unenforceable. The court found that the agreement overwhelmingly favored the facility, imposing undue restrictions on residents, including a strict confidentiality clause, a $250,000 damages cap, a prohibition on punitive damages, and equal cost-sharing for arbitration. Additionally, the contract was lengthy, complex, and presented without legal counsel review, further reinforcing its unfair nature.
This decision highlights the importance of carefully reviewing arbitration clauses in adhesion contracts, particularly those impacting elder care and vulnerable individuals. The article serves as a vital resource for attorneys, legal professionals, and anyone navigating similar legal challenges.
We congratulate Al & Peter on this achievement! If you have questions about nursing home negligence claims or need legal guidance with another personal injury matter, contact our team today to discuss your case.
