O'Bannon v. Town Court Nursing Center

Town Court Nursing Center (defendant) was certified to receive Medicare/Medicaid reimbursement, but the federal Department of Health, Education and Welfare terminated its provider agreement, requiring Medicare-dependent residents to move to a certified facility. Residents (plaintiffs) argued they had a constitutional right to a hearing before decertification, given their interest in remaining in their chosen home and the harm of forced relocation.

Whether nursing-home residents have a constitutional right to a hearing before a government agency revokes the home's authority to provide them government-funded care.