Does the relationship between the landlord and tenant trigger specific healthcare laws and regulations?
If a tenant is in a position to either receive referrals from, or provide referrals to, the landlord, Medicare Anti-Kickback Statute and Stark, and possibly state law, must be considered. For example, if a medical practice owns a building and leases part of the building to a pharmacy, or a medical group leases space from a hospital, it is important to consider whether the relationship complies with the law. The Medicare Anti-Kickback Statute makes it a felony to offer solicit, pay or receive any compensation if the payment is intended to influence referrals under a Federal health care program. The law focuses purely on intent; courts have said that even if there are many legitimate reasons for a payment, if one purpose of the payment is to influence referrals, the payment is a felony. The law does include a “Safe Harbor” exemption relating to space rental: (1) the lease must be in writing; (2) the lease must identify the premises; (3) if the lease is for periodic intervals of time, rat