Medical practice sues billing company for failing to adequately collect debt

A medical care business claims it lost more than $50,000 after a billing corporation allegedly failed to make adequate attempts to collect debts on behalf of the business.

Family Care Medical Services filed a lawsuit Dec. 11 in Madison County Circuit Court against Brightree.

In its complaint, Family Care Medical Services claims it hired C&S Billing Center Corp. to send billing information to Medicare, Medicaid and other payors. If any unpaid amounts remained owed to Family Care Medical Services, C&S was supposed to follow up and attempt to collect the debts, according to the complaint.

Later, Brightree acquired C&S through an asset purchase agreement, the suit states. Under to the terms of the agreement, Brightree assented to abide by the terms of C&S’s original contract with Family Care Medical Services, the complaint says.

However, Brightree failed to do so and did not make adequate efforts to collect debts, Family Care Medical Services claims.

“This lack of due diligence and breach of agreement on the part of Brightree resulted in collection losses exceeding $50,000,” the suit states.

Because of its dissatisfaction with Brightree’s services, Family Care Medical Services attempted to terminate its contract by paying its remaining balance of $927.50, according to the complaint.

In its complaint, Brightree is seeking a judgment of more than $50,000, plus court costs, attorney’s fees and other relief the court deems just.

Andrew J. Rankin of Lueders, Roberston and Konzen in Granite City will be representing it.

Madison County Circuit Court case number: 12-L-2009.

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