A defendant with knowledge of existing medical or hospital liens who does not secure proof of those lienholders' acquiescence with any settlement (by agreeing to negotiate the lien, by signing a release, etc.) and proceeds to settle the case with the claimant is at risk for having to later satisfy that lien and, in effect, "pay twice." See Midtown Medical Group, Inc. v. Farmers Ins. Group, 235 Ariz. 593, 595, ¶ 9, 334 P.3d 1252, 1254 (App. 2014); see also A.R.S. § 33-934(A); cf. Abbott v. Banner Health Network, 236 Ariz. 436, 341 P.3d 478 (App. 2014). A failure to include such protective language in a settlement agreement or include such a condition in a proposed offer of judgment could give rise to a legal malpractice claim.

The Legislature amended A.R.S. § 33–934(A) in 2004 to permit providers to enforce liens against insurers who paid amounts to patients without settling the lien. Midtown Medical Grp., Inc. v. Farmers Ins. Grp., 235 Ariz. 593, 595, ¶ 10, 334 P.3d 1252, 1254 (App.2014). That amendment does not affect the issue here, whether the enforcement of liens against a third-party settlement is a lien against the patient.

01 applies to actions arising out of contract and is generally inapplicable to statutory causes of action. Midtown Med. Group v. Farmers Ins. Group, 235 Ariz. 593, 596, ¶ 17 (App. 2014). Quiet title is a statutory cause of action and the exclusive basis for the recovery of attorney's fees arises in such actions under § 12-1103(B).