Third Circuit Rules Outdated Agreements May Lead to Stark Law Violations

Written by Reed Tinsley | February 22, 2009

A decision by the U.S. Circuit Court of Appeals for the Third Circuit finding that a long-standing agreement between a physician group and a hospital was insufficient to protect them from Stark Law violations underscores the need for providers to review and, where necessary, update the written contracts and fair market value determinations used to document compliance with the personal services exception to the federal Ethics in Patient Referrals Act of 1989 (the Stark Law) and the safe harbor to the Medicare and Medicaid Anti-Kickback Statute (the Anti-Kickback Statute).

Read Drinker Biddle's full alert here:

http://www.drinkerbiddle.com/files/Publication/99d11afb-62f6-4b7e-818b-0794f5fc220a/Presentation/PublicationAttachment/c889f8a3-3742-4e96-b482-09ab02f1741b/StarkLaw.pdf

 

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.

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