The Stark Law's prohibition on physician self-referrals governs how physicians can be compensated for their provision of ancillary services (e.g., clinical lab services, diagnostic imaging, physical therapy, durable medical equipment, outpatient prescription drugs). Noncompliance with the Stark Law has the potential to result in False Claims Act liability and significant financial consequences. Healthcare investors and physicians interested in selling their practices should carefully scrutinize Stark Law compliance during diligence, as well as ensure that any future physician compensation arrangement is structured to be compliant with the law.
In this installment of Fast Break, we will explore the challenges physician practices face with Stark Law compliance, including satisfying the requirements of the in-office ancillary services exception and physician compensation arrangements.
Topics will include:
This is the first half of our two-part series on Stark Law issues. Be sure to join us in September for Stark Lessons II: Hospital-Physician Arrangements. Details to follow!