Care Facility Admission Contracts — May 14, 2026

Lunch & Learn: Care Facility Admission Contracts

Presented by: Camilla McRory
Summary by: David Jonathan Taylor, CELA
| May 14, 2026

Care Facility Admission Contracts, Personal Liability, and Resident-Focused Signing

The NAELA MD/DC Chapter hosted a Lunch & Learn with Camilla McRory examining care facility admission contracts, with a focus on assisted living facilities, skilled nursing facilities, and CCRCs. Camilla emphasized that these documents are contracts, not routine intake forms. They are often signed under pressure and may create risks for residents, agents, and family members.

Admission Contracts Are Not Routine Paperwork

• Facility contracts are often one-sided and may be presented on a take-it-or-leave-it basis.
• Families may be pressured to sign quickly, sometimes without enough time for attorney review.
• Admission packets often include many additional forms beyond the main agreement.

The Resident Should Remain the Contracting Party

• The contract should generally be between the resident and the facility only.
• Family members and agents should avoid signing in a way that suggests personal financial liability.
• When a resident lacks capacity, Camilla’s approach is to have the resident sign by and through the appropriate agent, rather than having the agent sign individually.

Responsible Party Language Requires Careful Review

• “Responsible party” language can be misleading and should be reviewed carefully.
• Federal law prohibits nursing homes from requiring a third-party financial guarantee as a condition of admission, but facilities may still try to include third-party liability language.

Provisions Practitioners Should Review

• Attorneys should review hidden fees, payment-source provisions, discharge terms, grievance procedures, arbitration clauses, CCRC refund terms, and signature lines.
• Assisted living facilities and skilled nursing facilities operate under different rules, particularly regarding discharge protections.

Arbitration and Power of Attorney Issues

• Mandatory arbitration provisions may waive jury-trial rights and should be reviewed carefully.
• Camilla’s office limits an agent’s authority in its power of attorney form to agree to mandatory pre-dispute arbitration in facility admission contracts.

Practical Guidance

Camilla recommended obtaining and reviewing the full admission packet before signing. Her office annotates or deletes inapplicable provisions, corrects signature lines, and works to ensure that the resident remains the contracting party.

She also emphasized that if the facility later provides additional documents, those should be reviewed before they are signed.

Bottom Line

Camilla’s presentation highlighted that care facility admission contracts can create real legal and financial consequences. Practitioners should review these documents carefully, avoid third-party personal liability, and address payment, arbitration, and discharge provisions before the contract is signed.