Medical Malpractice Settlement Agreement

CONFIDENTIAL SETTLEMENT AGREEMENT AND GENERAL RELEASE

(Idaho Medical Malpractice Claim)

TABLE OF CONTENTS

1. Parties and Recitals
2. Definitions
3. Settlement Consideration
4. Release of Claims
5. Lien Resolution and Tax Allocation
6. NPDB and Regulatory Reporting
7. Confidentiality and Non-Disparagement
8. No Admission of Liability
9. Representations and Warranties
10. Indemnification
11. Dispute Resolution
12. General Provisions
13. Execution Block

1. PARTIES AND RECITALS

1.1 Parties

This Confidential Settlement Agreement and General Release (the "Agreement") is made effective as of [EFFECTIVE DATE] by and between:

(a) [CLAIMANT NAME], an individual residing at [ADDRESS] ("Claimant"), individually and [as personal representative of the Estate of [DECEDENT] / as parent and natural guardian of [MINOR CHILD]], as applicable; and

(b) [RELEASED PARTY NAME, M.D./D.O./facility], [and its professional liability insurer, [INSURER]] (collectively, "Released Parties").

1.2 Recitals

A. On or about [DATE OF ALLEGED MALPRACTICE], Claimant received medical care from Released Parties at [FACILITY], [CITY], Idaho.

B. Claimant alleges that the care provided fell below the applicable community standard of care under Idaho Code § 6-1012, resulting in injury (the "Claim").

C. [IF APPLICABLE] Claimant submitted the Claim to the Idaho State Board of Medicine Pre-Litigation Screening Panel pursuant to Idaho Code § 6-1001, and the Panel issued its non-binding determination on [DATE].

D. [IF APPLICABLE] Claimant filed a civil action captioned [CASE CAPTION], Case No. [___], in the District Court of the [___] Judicial District, [COUNTY] County, Idaho (the "Action").

E. The Parties wish to resolve the Claim fully and finally without further litigation, without any admission of liability, and subject to the terms set forth herein.

NOW, THEREFORE, in consideration of the mutual promises set forth below, the Parties agree as follows:

2. DEFINITIONS

"Claim" — Has the meaning in Recital B and includes all known and unknown claims, demands, causes of action, and damages arising from the medical care described therein.

"CMS" — The Centers for Medicare & Medicaid Services.

"Effective Date" — The date of the last signature on this Agreement.

"NPDB" — The National Practitioner Data Bank under 42 U.S.C. § 11131 et seq.

"Noneconomic Damages Cap" — The cap on noneconomic damages under Idaho Code § 6-1603, currently approximately $[VERIFY CURRENT FIGURE] as adjusted annually on July 1 by the Idaho Industrial Commission.

"Released Parties" — Has the meaning in Section 1.1, and includes their respective insurers, employees, agents, officers, directors, partners, successors, and assigns.

"Settlement Sum" — The total consideration paid under Section 3.

3. SETTLEMENT CONSIDERATION

3.1 Settlement Sum. In exchange for the releases and covenants herein, Released Parties shall pay Claimant the total sum of $[AMOUNT] ("Settlement Sum"), allocated as set forth in Section 5.4.

3.2 Payment Terms.
(a) Lump Sum. Payment shall be made by wire transfer or check made payable to "[CLAIMANT NAME] and [LAW FIRM] Trust Account" within [30] days after the later of (i) the Effective Date or (ii) Claimant's delivery of all executed lien resolutions, W-9s, and any court approval required under Section 3.3.
(b) Structured Settlement (Optional). A portion of the Settlement Sum equal to $[AMOUNT] shall be funded into a qualified structured settlement annuity pursuant to 26 U.S.C. §§ 104(a)(2) and 130, as specified in Schedule A.

3.3 Court Approval (if applicable).

This Agreement is contingent upon entry of an order approving the settlement by the [COURT] under [Idaho R. Civ. P. 17(c) / Idaho Code § 5-311 (Wrongful Death)].

3.4 Acknowledgment of Cap. The Parties acknowledge that the Settlement Sum reflects, among other factors, the noneconomic damages limitation imposed by Idaho Code § 6-1603 and the contingencies of litigation.

4. RELEASE OF CLAIMS

4.1 General Release. Claimant, on behalf of Claimant and Claimant's heirs, executors, administrators, successors, and assigns, hereby releases and forever discharges Released Parties from any and all claims, demands, actions, causes of action, liabilities, damages (compensatory, punitive, economic, and noneconomic), costs, and expenses of any kind, whether known or unknown, suspected or unsuspected, that arise out of or relate to the medical care described in Recital B and the Claim.

4.2 Unknown Claims. Claimant expressly waives any rights under any statute or common-law rule providing that a general release does not extend to claims unknown at the time of execution.

4.3 Covenant Not to Sue. Claimant covenants not to file, prosecute, or assist in the prosecution of any future claim against Released Parties arising from the matters released herein, except to enforce this Agreement.

4.4 Dismissal with Prejudice. Within [10] business days after receipt of the Settlement Sum, Claimant shall execute and cause to be filed a stipulation of dismissal with prejudice of the Action, each party to bear its own attorneys' fees and costs except as otherwise provided herein.

5. LIEN RESOLUTION AND TAX ALLOCATION

5.1 Medicare/MSP Compliance.
(a) Claimant represents that Claimant [is / is not] a Medicare beneficiary.
(b) Claimant shall fully cooperate in (i) determining any Medicare conditional payments under 42 U.S.C. § 1395y(b)(2), (ii) obtaining a Medicare Final Demand from the Benefits Coordination & Recovery Center (BCRC), and (iii) considering Medicare's future interests, including a Medicare Set-Aside ("MSA") if appropriate.
(c) Claimant shall hold Released Parties harmless from any Medicare recovery claim arising from the matters released herein.

5.2 Medicaid Lien. Pursuant to 42 U.S.C. § 1396k and Idaho Code § 56-209b, any Medicaid lien shall be resolved out of Claimant's share. Claimant shall obtain a final lien statement from the Idaho Department of Health and Welfare and satisfy that lien from the Settlement Sum.

5.3 Other Liens. Claimant shall identify and resolve all other liens, including ERISA plan reimbursement claims, hospital liens under Idaho Code § 45-704 et seq., and any attorney charging liens.

5.4 Tax Allocation.

5.5 IRS Reporting. Released Parties or their insurer shall furnish IRS Form 1099 (or other appropriate form) as required by law. Each Party is responsible for its own tax obligations and shall not rely on the other for tax advice.

6. NPDB AND REGULATORY REPORTING

6.1 NPDB Acknowledgment. The Parties acknowledge that any payment for the benefit of a healthcare practitioner in response to a written claim or judgment is reportable to the National Practitioner Data Bank under 42 U.S.C. § 11131 and 45 C.F.R. § 60.7. The reporting entity is [INSURER / SELF-INSURED ENTITY].

6.2 Reportable Information. Released Parties' payor shall make any required NPDB report within the statutorily required period. Claimant acknowledges that the existence and amount of this settlement may be reportable.

6.3 Idaho Board of Medicine Reporting. Released Parties shall comply with any reporting obligation to the Idaho State Board of Medicine under Idaho Code § 54-1818 and applicable Board rules.

6.4 No Practitioner Reporting Avoidance. Released Parties shall not structure or recharacterize the settlement to avoid required NPDB reporting; any such attempt is null and void.

7. CONFIDENTIALITY AND NON-DISPARAGEMENT

7.1 Confidential Terms. The Parties agree that the terms of this Agreement, including the Settlement Sum, are confidential and shall not be disclosed by any Party except:
(a) To attorneys, accountants, tax advisors, lienholders, insurers, and reinsurers, each of whom must agree to maintain confidentiality;
(b) To spouses or immediate family members of Claimant, who must agree to maintain confidentiality;
(c) As required by court order, subpoena, statute, or regulatory authority (including NPDB and Board reporting);
(d) For enforcement of this Agreement; or
(e) For tax reporting purposes.

7.2 Permitted Inquiry Response. If asked about the matter, Claimant may state only: "The matter has been resolved" or words of similar import.

7.3 Non-Disparagement. Neither Party shall make any public statement disparaging the other, including in social media, online review sites, or to media outlets, regarding the Claim or the parties' conduct.

7.4 Liquidated Damages for Breach. [OPTIONAL] Any material breach of Sections 7.1–7.3 shall result in liquidated damages of $[AMOUNT] per occurrence, the Parties having stipulated that actual damages would be difficult to calculate. This provision is not exclusive of other available remedies.

7.5 No Restriction on Protected Activity. Nothing in this Section 7 restricts (a) testimony required by subpoena or court order; (b) communications with any regulatory or governmental agency, including the Idaho Board of Medicine, CMS, OIG, or NPDB; (c) communications with treating providers regarding ongoing care; or (d) any activity protected by law.

8. NO ADMISSION OF LIABILITY

8.1 No Admission. This Agreement constitutes the compromise of disputed claims. Released Parties expressly deny any liability, negligence, or breach of the standard of care. Nothing in this Agreement shall be construed as an admission of liability or wrongdoing.

8.2 Inadmissibility. This Agreement and the negotiations leading to it are inadmissible in any proceeding except (a) one to enforce this Agreement or (b) as required by law, including NPDB reporting.

9. REPRESENTATIONS AND WARRANTIES

9.1 Authority. Each Party represents it has full authority to execute this Agreement and that the signatory is duly authorized.

9.2 No Assignment. Claimant represents that the Claim has not been assigned, in whole or in part, to any third party.

9.3 Independent Advice. Each Party represents it has been represented by counsel of its choosing and enters this Agreement knowingly and voluntarily.

9.4 Full Disclosure of Liens. Claimant warrants that all known liens, subrogation interests, and reimbursement claims have been disclosed.

10. INDEMNIFICATION

10.1 By Claimant. Claimant shall indemnify, defend, and hold harmless Released Parties from any claim by Medicare, Medicaid, any ERISA plan, healthcare provider, or other lienholder seeking reimbursement out of the Settlement Sum, and from any claim by any person or entity claiming through Claimant.

10.2 Limitation. Claimant's indemnity obligation shall not exceed the Settlement Sum, except to the extent of Claimant's bad faith or fraud.

11. DISPUTE RESOLUTION

11.1 Governing Law. This Agreement is governed by Idaho law.

11.2 Venue. Exclusive venue lies in the District Court of the [___] Judicial District, [COUNTY] County, Idaho.

11.3 Attorneys' Fees. In any action to enforce this Agreement, the prevailing party shall recover reasonable attorneys' fees and costs under Idaho Code § 12-120 and § 12-121.

11.4 Specific Performance. The Parties acknowledge that monetary damages may be inadequate to remedy a breach of Sections 4 (Release), 6 (NPDB), or 7 (Confidentiality), and either Party may seek specific performance or injunctive relief.

12. GENERAL PROVISIONS

12.1 Entire Agreement. This Agreement, together with all Schedules, is the entire agreement of the Parties on this subject matter and supersedes all prior negotiations.

12.2 Amendments. No amendment is effective unless in writing and signed by both Parties.

12.3 Severability. If any provision is invalid, the remainder remains in effect; the invalid provision shall be reformed to the minimum extent necessary.

12.4 Counterparts; Electronic Signature. Counterparts permitted; electronic signatures deemed originals under Idaho Code § 28-50-101 et seq.

12.5 Construction. Headings for convenience; drafted jointly; no rule of construction against the drafter.

12.6 Waiver. No waiver of any provision shall constitute a continuing waiver of that or any other provision.

12.7 Notices. All notices in writing, delivered by personal service, overnight courier, or certified mail (return receipt requested) to the addresses listed below.

13. EXECUTION BLOCK

THE PARTIES HAVE READ, UNDERSTAND, AND VOLUNTARILY AGREE TO THE TERMS OF THIS AGREEMENT.

Notarization (Claimant):

State of Idaho )
) ss.
County of [___] )

On this [___] day of [MONTH], [YEAR], before me personally appeared [CLAIMANT NAME], known or identified to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that they executed the same.

_______________________________
Notary Public for Idaho
Residing at: __________________
My commission expires: ________

Counsel Approval (recommended):

SCHEDULES

• Schedule A — Structured Settlement Annuity Terms (if applicable)
• Schedule B — Lien and Subrogation Resolution Schedule (Medicare, Medicaid, ERISA, hospital)
• Schedule C — W-9 / Tax Reporting Information
• Schedule D — Stipulation of Dismissal with Prejudice (form)
• Schedule E — Pre-Litigation Panel Determination (if applicable, sealed)

SOURCES AND REFERENCES

• Idaho Code § 6-1001 et seq. — Pre-Litigation Screening Panel (condition precedent to suit; Idaho does not require affidavit of merit)
• Idaho Code § 6-1012 — Proof of community standard of care
• Idaho Code § 6-1013 — Expert testimony
• Idaho Code § 6-1603 — Noneconomic damages cap (~$490,512 as of July 2024; verify current Industrial Commission figure)
• Idaho Code § 5-219(4) — Two-year medical malpractice statute of limitations
• Idaho Code § 5-241 — Statute of repose
• Idaho Code § 5-311 — Wrongful death
• Idaho Code § 12-120 / § 12-121 — Attorney fees
• Idaho Code § 28-50-101 et seq. — Idaho UETA
• Idaho Code § 54-1818 — Board of Medicine reporting
• 42 U.S.C. § 11131 et seq. & 45 C.F.R. § 60.7 — NPDB reporting
• 26 U.S.C. § 104(a)(2) — Personal physical injury exclusion
• 42 U.S.C. § 1395y(b)(2) — Medicare Secondary Payer
• 42 U.S.C. § 1396k — Medicaid lien

This template is provided for informational purposes and must be reviewed by qualified Idaho counsel before use. Cap figures must be verified against the most recent Idaho Industrial Commission calculation, published annually on July 1.