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I have started a Healthcare Vendor networking group whose…

I have started a Healthcare...
I have started a Healthcare Vendor networking group whose purpose is to bring together vendors that are targeting healthcare providers to
-Share information about other events that members should go to
-Share contacts at facilities
-EtcThe question is are violating any healthcare regulations.
- One potential member said that his company does not want any sales person to network with anyother companies sales people.
- The group was also planing to set up some kind of referral / commission structure between members is this illegal
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Answered in 1 day by:
1/21/2018
Asad Rahman
Asad Rahman, Attorney
Category: Business Law
Satisfied Customers: 2,429
Experience: Practicing Attorney with 10 years experience
Verified

As long as your individual businesses are not rewarding one another for referrals you should be clear with respect to anti-kickback and applicable self-referral laws under Stark.

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Customer reply replied 3 months ago
Sorry but you missed the point we are trying to set up a reward system for both the people giving the referrals and the organization that is putting it together
Customer reply replied 3 months ago
The group was also planing to set up some kind of referral / commission structure between members is this illegal
What kind of services do you all provide?
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Customer reply replied 3 months ago
We are going to provide facilities and a structure where members can exchange leads and referrals.
Provide members guidance on marketing materials and sales training.Host educational events targeting healthcare providers as attendees. So that our members can provide the attendees with information on their high quality cost effective services.Also considering a separate division or company to do practice management training to doctors offices..Etc

I meant what type of services do the vendors provide? I ask because the Stark law applies to certain DHS related services.

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Customer reply replied 3 months ago
We are still growing and adding members. How can I get the list of what DHS related services are covered by the Stark laws.Also any links to information that I can review to better understand all of the Stark and related regulations

Here is the site I use frequently. http://starklaw.org/

This is the federal law. Most states have adopted similar provisions as well.

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I think your concept has merit but my suggestion would be to hire an experienced healthcare attorney to help you navigate the regulatory landscape. There are criminal and civil penalties for some violations.

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If you have no further questions, a positive rating would be greatly appreciated.

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Customer reply replied 3 months ago
Do you agree that if we do medical practice management training that would not be any issues.Also if the management of the group does direct introduction/ referrals marketing support etc. and we don’t work for any healthcare vendors that should also not be an issue. (Unless we do the same for multiple companies that are closely related)The types of catagories that I don’t believe would cause any issues would be.Healthcare construction
IT services
Some healthcare IT services (products)
Accounting services for medical practices
printing
professional employer organization (PEO)
Office supply companiesWhat could be dangerous.
Drug companies
Medical supplies of any kindDid I understand it correctly..

I don't think that would be a problem. Yes, I think your assessment is accurate.

Asad Rahman
Asad Rahman, Attorney
Category: Business Law
Satisfied Customers: 2,429
Experience: Practicing Attorney with 10 years experience
Verified
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