Fla. Supreme Court invalidates nursing home arbitration agreements

The Florida Supreme Court last week invalidated nursing home arbitration agreements that limit damages allowed by state law, the Associated Press reported.

The high court reviewed two separate cases in which nursing home arbitration agreements placed bans on punitive damages, which are allowed by Florida law. One of the agreements also placed a $250,000 cap on non-economic damages.

“In light of the recognized need for these remedies and the salutary purpose they serve, we conclude that any arbitration agreement that substantially diminishes or circumvents these remedies stands in violation of public policy of the state of Florida and is unenforceable,” Justice James Perry wrote in one of the opinions.

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