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She wants to stay in this nursing home due to the fact they have nuns that pray with her. My mom who is 93-yrs-old was diagnosed with stage 3 probably now stage 4 ovarian and abdominal cancer as well as cancer on her temple which has returned for the third time. No treatment can be done such as chemo, radiation, etc. she was placed in the facility for short term rehab. She is just about done and will be getting discharged. They say they cannot keep her there for a long-term and we have tried pushing and pushing to try to get her to stay there, they say if we cannot find placement, they will place my mom elsewhere, my mom feels completely at peace there and does not want to go to another facility. Are they legally able to place my mom elsewhere?

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If they are just rehab, they can't keep her. Ask if there is a Lomgterm care facility elsewhere that had Nuns. If they have LTC, they may not have a bed available or do not want to take on a Hospice patient.
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Reply to JoAnn29
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In all likelihood they have a certain number of beds for rehab patients and a certain number for permanent residents. If they don't have an open bed for a permanent resident, they can't keep her.

Now, they aren't likely to just throw her into a cab on discharge day - but if they cannot keep her - alternate arrangements must be found. The social worker there can help you find placement.
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