Yes — a hospital or medical provider can sue you for unpaid medical bills in California. But before a lawsuit can happen, hospitals that receive public funding must follow strict billing and financial assistance rules. And once a lawsuit is filed, you have defenses available that do not exist in most other debt collection cases. The law gives you real tools here. But you have to use them.
Can a Hospital Actually Take You to Court?
Yes. Unpaid medical bills are a civil debt like any other, and hospitals and medical providers can file a lawsuit to collect them. Most medical debt lawsuits in California are filed in limited civil court for amounts under $35,000, or small claims court for amounts under $12,500. For larger balances — common with hospital stays — the case may be filed in unlimited civil court.
If the hospital wins a judgment, it becomes a judgment creditor with the same collection tools as any other creditor: wage garnishment under CCP § 706.050, bank levies under CCP § 700.140, and property liens under CCP § 697.310.
Before a Hospital Can Sue: Charity Care Requirements
California law imposes significant obligations on hospitals before they can pursue collection. Under California Health and Safety Code § 127400 et seq., nonprofit hospitals that receive public funding must maintain a financial assistance policy and publicize it to patients, screen patients for charity care eligibility before referring accounts to collections, make a reasonable effort to notify patients of available assistance programs, and not refer a patient account to a collection agency without completing that process. If a hospital skipped these steps, it may have violated the law before the collector ever contacted you. That is a defense — and potentially a counterclaim.
The Statute of Limitations on Medical Debt Lawsuits
A hospital or medical provider must file suit within the applicable statute of limitations or lose the right to sue entirely. Written agreements — which cover most hospital billing — carry a four-year limit under CCP § 337. Oral agreements carry a two-year limit under CCP § 339. The clock typically starts from the date the bill was due or the date of last payment. If the creditor waits too long, the debt is time-barred. But you must raise that defense in your written response to the lawsuit. Courts will not raise it for you.
What Happens If You Are Sued and Do Nothing
If a hospital files a lawsuit and you do not respond within 30 days of being served, the plaintiff can request a default judgment, and if the court grants it, that judgment carries the full force of a court order. The hospital can then garnish your wages, levy your bank account, or record a lien against your real property. Default judgments in medical debt cases are common precisely because most people do not respond — and the plaintiff is counting on that.
Your Defenses If You Are Sued
Being sued does not mean you will lose. Defenses in medical debt cases can include the statute of limitations if the lawsuit was filed too late under CCP § 337 or § 339; failure to comply with charity care obligations under Health and Safety Code § 127400 before filing suit; billing errors or amounts that do not match the services provided or your explanation of benefits from your insurer; insurance coverage disputes where the debt should have been paid by a third-party insurer; and FDCPA and Rosenthal Act violations if a collector is involved, which may give rise to counterclaims under 15 U.S.C. § 1692 et seq. and California Civil Code § 1788 et seq. These same defenses — particularly statute of limitations and proof of ownership — are often stronger in medical debt cases than in credit card cases, where debt buyers frequently lack the documentation needed to prove their claims.
Frequently Asked Questions
How long does a hospital have to sue me for medical bills in California?
A hospital has four years to sue you on a written agreement under CCP § 337, or two years on an oral agreement under CCP § 339. After that period, the debt is time-barred. You must raise the statute of limitations as a defense in your written response — the court will not raise it for you.
Can a hospital garnish my wages in California?
Only after obtaining a court judgment. A hospital cannot garnish your wages simply because you owe a bill. It must file a lawsuit, the plaintiff can request a default or win at trial, and only then obtain a wage garnishment order. Even then, California law limits garnishment to 25% of your disposable earnings or the amount exceeding 40 times the state minimum wage — whichever is less. CCP § 706.050.
What is charity care and does it apply to my hospital bill?
Charity care is a financial assistance program that California nonprofit hospitals receiving public funding are required to maintain under Health and Safety Code § 127400 et seq. If your income falls below certain thresholds, you may qualify for a reduction or elimination of your bill. Hospitals must screen patients for eligibility before referring accounts to collections. If you were never offered a screening, ask — and if the hospital skipped that step before suing you, that may be a defense.
Can a hospital put a lien on my house for medical bills in California?
Yes — but only after obtaining a court judgment. Once a hospital has a money judgment, it can record an abstract of judgment with the county recorder, creating a lien on any real property you own in that county. CCP § 697.310. The hospital cannot place a lien on your home simply because you owe a bill — it must go through the court process first.
Should I respond if a hospital sues me for medical bills?
Always. If you are served with a lawsuit and do nothing, the plaintiff can request a default judgment and the court may grant it without requiring the hospital to prove its case. Responding to the lawsuit — even with a simple written answer — forces the hospital to prove every element of its claim and preserves all of your defenses.
Legal references: California Health and Safety Code § 127400 et seq.; California Code of Civil Procedure §§ 337, 339, 697.310, 700.140, 706.050; 15 U.S.C. § 1692 et seq. (FDCPA); California Civil Code § 1788 et seq. (Rosenthal Act).