Benny Blankenship v. Estate of Joshua Bain
The central issue in this case is whether the Tennessee TennCare Program's statutory subrogation and/or assignment provisions are subject to the common law 'made whole' doctrine. Plaintiffs Benny and Sheila Blankenship, TennCare enrollees, were involved in an automobile accident, incurring substantial medical expenses, partially paid by TennCare. After settling with the at-fault party's insurer for less than their total damages, the Blankenships successfully argued in the trial court that TennCare's subrogation claim was barred by the 'made whole' doctrine. However, the Court of Appeals reversed this decision, asserting that statutory subrogation, unlike contractual subrogation, does not implicitly incorporate the 'made whole' doctrine unless explicitly stated in the statute. The court further clarified that while the state's right of subrogation is not subject to the 'made whole' doctrine, it is subject to the ordinary and reasonable attorney's fees incurred by the recipients.