Supreme Court of New Jersey
William Hedgebeth, an Infant by His Guardian Ad Litem, Bertha E. Meek and Bertha E. Meek
September 21, 197774 N.J. 360
Summary
The Supreme Court of New Jersey held that the State's right of subrogation under the Medicaid Act is governed by equitable principles and therefore the State must pay its pro rata share of counsel fees incurred in obtaining a third‑party recovery; the Court reversed the Appellate Division and ordered the State to pay $361.05. Justice Schreiber dissented, arguing that no statutory authority permits the State to be charged counsel fees.