Stark Law Value-Based Arrangements

Summary

This practice note provides guidance to attorneys advising healthcare providers on structuring value-based arrangements (VBAs) that comply with the federal Physician Self-Referral Law, commonly referred to as the Stark Law. The practice note explains the Stark Law's regulatory structure for transitioning VBAs from fee-for-service models to models based on quality of care and cost control. It addresses Stark Law-specific exceptions for risk- and non-risk-adjusted arrangements, including the general exception for VBAs and the Full Risk Exception for value-based enterprises (VBEs). The practice note covers compliance requirements, transactional considerations, and emerging trends in value-based care models.