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CO-244 Denial Code (Deactivated): Zero Due to Litigation

CO-244 meant a property and casualty payer reduced payment to zero because of litigation, with more information promised after the case concluded. X12 deactivated it and its notes direct payers to code P10.

X12 deactivated CARC244 on July 1, 2014. Payers should no longer use it on new remittances, but it can still appear on older ERAs, corrected claims, and appeals.

Code: CO-244 (CARC 244)
Status: Deactivated StoppedJuly 1, 2014 (in use since September 30, 2012).
Code set: Claim Adjustment Reason Codes (CARC)
Group codes: CO (Contractual Obligation): Payment was held at zero pending the lawsuit; the code did not assign the balance to the patient.
Official description: Payment reduced to zero due to litigation. Additional information will be sent following the conclusion of litigation. To be used for Property & Casualty only.
X12 Claim Adjustment Reason Codes, retrieved September 25, 2026
Last verified: September 24, 2026 against the official X12 list.

What CO-244 meant

CARC 244 came from property and casualty payers when a lawsuit was underway over the underlying injury or coverage. Instead of paying, the payer reduced the claim to zero and said it would send more information after the litigation ended. It was a pause, reported as a zero payment.

What replaced it

X12’s note says to use code P10, and CO-P10 keeps the same text within the property and casualty P-series. A related code, OA-P11, says the claim’s disposition is pending due to litigation. Investigations that are not lawsuits use CO-P8.

If you still see CO-244

It will be on older files, but litigation holds can last years, so such claims may still be open. Record the case details, stay in touch with the adjuster and, where appropriate, the patient’s attorney. When the case resolves, ask the payer to reprocess and send the promised information. Do not write the balance off simply because the payment was zero.

CO-P10 (Payment reduced to zero due to litigation.): Named replacement: payment reduced to zero due to litigation.
OA-P11 (The disposition of the related Property & Casualty claim (injury or illness) is pending due to litigation.): The related property and casualty claim is pending due to litigation, used with group OA.
CO-P8 (Claim is under investigation.): Claim is under investigation.

CO-244 FAQ

Is a CO-244 claim closed?

Not necessarily. The code said more information would be sent after the litigation ended, so the claim may be paid or finally denied depending on the result.

Can I bill the patient while litigation is pending?

That depends on state law, the type of coverage, and any lien or letter of protection arrangement. Get guidance from the patient's attorney and your own counsel before billing.

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