stark law overview

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Misconceptions&Violations

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Page 1: Stark Law Overview

Misconceptions&Violations

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Jennifer Duell PopovecPublisher of Medical Office Today

Duell Popovec is a veteran journalist who has covered healthcare real estate and associated issues for nearly 12 years. She has been published in Fortune magazine and the Wall Street Journal. Duell Popovec launched Medical Office Today in 2009. She holds a B.S. in Journalism from Texas Christian University and a Master’s degree from the Medill School of Journalism at Northwestern University.

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Creighton WrightManaging Director with Cassidy Turley

Wright leads the Healthcare Practice Group for Cassidy Turley. He is responsible for the management of 3 million square feet of medical office buildings for the Hospital Corporation of America in Tennessee, Louisiana and Missouri. He has more than 13 years experience in the real estate industry.

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John ClaybrookPartner with Waller Lansden Dortch & Davis LLP

Claybrook is a member of the firm’s Commercial Real Estate Group and for more than 20 years has focused primarily on representation of and counsel to healthcare companies and other healthcare service providers regionally and nationally. He is a member of the American Health Lawyers Association.

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Walter NeilsenPartner with Waller Lansden Dortch & Davis LLP

Neilsen is a member of the firm’s commercial real estate group and works primarily with healthcare companies. He represents a publicly traded real estate investment trust (REIT) as national leasing counsel and recently represented the REIT in the acquisition of 15 medical office buildings in Charlotte, N.C. Neilsen is a member of the American Health Lawyers Association.

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Penalties can be severe!

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Organization Fine Reason

Detroit Medical Center $30 million settlement Leases below FMW/no written lease

Condell Medical Center $36 million settlement Leases below FMV

Christus Spohn Hospital $4.1 million settlement Leases below FMV

St. James Healthcare-Montana $275,000 settlement No written lease

Ivinson Hospital-Wyoming $635,000 settlement Leases below FMV

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Source: U.S. Dept. of Justice

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1) Answers to each lease scenario question

2) How well did our audience score?

3) Explanation of lease scenarios Scenario #1 Scenario #2 Scenario #3 Scenario #4

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