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Leitinger held that the collateral source rule prohibits parties in a personal injury action from introducing evidence of the amount actually paid by the injured person's health insurance company, a collateral source, for medical treatment rendered to prove the reasonable value of the medical treatment.
The common fund doctrine is based upon equitable principles An award of attorneys' fees from a common fund depends on whether the attorneys' specific services benefited the fund ? whether they tended to create, increase, protect or preserve the fund.
The common fund doctrine is an equitable principle established as a way of spreading costs for a party who prevails through litigation or Page 2 prolonged settlement in establishing a fund that is intended to benefit others as well. Daniels v. Vt. Ctr.
The Made Whole Doctrine is an equitable defense to the subrogation or reimbursement rights of a subrogated insurance carrier or other party, requiring that before subrogation and/or reimbursement will be allowed the insured must be made whole for all of its damages.
In York v. Van Hall, 704 A. 2d 366 (Me. 1997), the Law Court adopted the common fund doctrine, which states that when a fund is created to which more than one party is entitled, each party must pay a share of the expenses incurred in creating that fund, including legal expenses.
While the made whole doctrine protects the injured victims, the common fund doctrine protects the attorneys, and the combination of the two can protect both from the insurer's right to subrogation.