8 in What Situation Is a Written Agreement Not Required under Stark

The Stark law, also known as the Physician Self-Referral Law, prohibits physicians from referring patients to entities in which the physician or their family has a financial interest for certain designated health services. However, there are situations in which a written agreement is not required under Stark. Let`s take a look at eight of these situations:

1. Non-monetary Compensation: If the compensation is in the form of items or services that are less than $398 annually per physician, then a written agreement is not required.

2. Rental of Office Space: If a physician rents office space from a hospital, then a written agreement is not required as long as the rental space and payment terms are consistent with fair market value.

3. Personal Services Arrangements: If a physician provides personal services that are limited to administrative, management, or other support services, then a written agreement is not required.

4. Physician Recruitment: If a hospital or entity is recruiting a physician to join its practice, a written agreement is not required if the recruitment is conducted in compliance with applicable laws and regulations.

5. Temporary Non-Physician Services: If a hospital or entity contracts with a temporary non-physician service, such as a nurse or physical therapist, then a written agreement is not required.

6. Intra-Family Referrals: If a physician refers a patient to a family member for designated health services, then a written agreement is not required as long as the referral is not for financial gain.

7. Academic Medical Centers: If a physician is a faculty member of an academic medical center and the designated health services are provided to patients as part of the faculty member`s duties, then a written agreement is not required.

8. Indirect Compensation Arrangements: If an entity provides compensation to a physician, but the physician`s immediate family member has the financial relationship with the entity, then a written agreement is not required.

In conclusion, while the Stark law imposes strict regulations on physician referrals and financial relationships, there are several situations in which a written agreement is not required. It is important for hospitals and entities to ensure that they are in full compliance with Stark to avoid penalties and legal consequences.