(1) Upon payment of a claim for necessary medical services pursuant to this chapter, the obligated county and the board making such payment shall become jointly subrogated to all the rights of the hospital and other providers and to all rights of the medically indigent resident against any third parties who may be the cause of or liable for such necessary medical services. The board may pursue collection of the county's and the board's subrogation interests. (2) Upon any recovery by the recipient against a third party, the obligated county and the board shall pay or have deducted from their respective subrogated portion thereof, a proportionate share of the costs and attorney’s fees incurred by the recipient in obtaining such recovery, provided that such proportionate share shall not exceed twenty-five percent (25%) of the subrogated interest unless one (1) or more of the following circumstances exist: (a) Otherwise agreed. (b) If prior to the date of a written retention agreement between the recipient and an attorney, the obligated county and the board have reached an agreement with the third party, in writing, agreeing to pay in full the county and the board's subrogated interest. (3) The obligated county and the board shall have joint subrogated interests in proportion to the amount each has paid.
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