Groupon Banned – Is Fee Sharing Ethical?
The Oregon Board of Dentistry recently banned Groupons for Oregon dentists:
The Board has recently become aware of different companies soliciting Oregon licensees to enter into contracts for marketing promotional services between the licensee in the company to promote voucher systems for potential patients. The Board has preliminarily determined that these may violate the unprofessional conduct rule OAR 818-012-0030(3) which prohibits offering rebates, split fees, or commissions for services rendered to a patient to any person other than a partner, employee or employer.
The Board suggests that until this can be fully reviewed by the board, licensees proceed with caution and if they feel necessary seek legal counsel on this matter or contact board office at (917) 673-3200.
Source: Oregon Board Of Dentistry
Of course this is not the first professional organization to come down on Groupon and other daily deal programs. The Oregon Board of Chiropractic Examiners (OBCE) also decided not to amend its fee splitting rule to exclude such sites as Groupon and Amazon’s Living Social.
Groupon Issue July, 25, 2011
The Oregon Board of Chiropractic Examiners (OBCE) declined to begin rule making to amend the prohibition on fee-splitting on their July 21st meeting at the University of Western States. This decision means Groupon type fee-splitting arrangements are still prohibited for chiropractic physicians.
The OBCE has been reviewing the issues of group bond and similar Internet or other marketing programs for several months. They had potential draft language produced by the administrative rules advisory committee along with the dissent by one of their members outlining the potential problems with the language. (Note: The Summer 2011 Back Talk quoted testimony in support of Groupon.)
Arn Strasser DC, appeared before the OCBE and made a statement in opposition of changing the rule stating, “… the question is what the schemes such as group on, where we would join restaurants, nail parlors and tanning salon, along with medical providers such as dentist and cosmetic surgeons, due to our credibility and how the public perceives us? In my opinion, offering discounted services in the fee splitting away with companies such as group on undermines our credibility…”
OCBE members were concerned that changing the rule with the potential for problems and unintended consequences. They cited the difficulty in trying to craft a workable exemption.
The OCBE also heard that two other such marketing programs have changed their set up for health professionals from a fee splitting arrangement to vastly marketing program ( living social and Fox 12 daily deal). OCBE members wondered why group on could not do the same thing? (The question has been posed the group on but no answer has been received yet. ) they felt it would be better if the advertisers change their program for health professionals, instead of the OCBE amending the fee splitting rule prohibition.
Source: The Oregon Board of Chiropractic Examiners (OCBE)
The question of offering a finders fee or splitting fees has been a concern for professional organizationd for decades. Real estate agents across the country are not allowed to split fees with non-licensed individuals. It seems to be a matter of ethics and professionalism.
What do you think? Should doctors, dentists, attorneys, med spas and real estate agents be allowed to split fees with non-professionals? If so should there be limitations? Would love to hear your comments.
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