Kentucky Code § KRS 205.626

Time assignment becomes enforceable -- Payment to cabinet -- Attorney's fees
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(1) The assignment provided for by KRS 205.624 shall be binding and enforceable after the third parties have actual notice of the assignment. The third party shall be discharged from liability under the assignment when it makes payment to a vendor for medical care and services rendered on behalf of a recipient. (2) Any settlement, judgment, or award obtained by a recipient or the recipient's legal representative against a thi rd party is subject to the cabinet's claim for reimbursement for medical assistance paid on behalf of the recipient. (3) The attorney may receive a percentage not to exceed twenty -five percent (25%) of the amount paid to the cabinet that has been recovered in reimbursement from the third party. The amount paid to the cabinet shall be excluded by the attorney when computing the total amount recovered on behalf of the client and in final computation of the client's bill.

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