An Epstein Becker Green Health Law Advisor blog post, “Massachusetts District Court Applies ‘But-For Causation’ Standard, Dismisses AKS-Based FCA Case After Evaluating Facts and Circumstances of Independent Contractor Arrangements,” co-authored by George B. Breen, Clay Lee, and Daniella R. Lee, Members of the Firm in the Health Care & Life Sciences practice, was featured in the Florida Bar Health Law Section’s newsletter.
Following is an excerpt:
On January 6, 2025, the U.S. District Court for the District of Massachusetts granted a defendant laboratory’s motion for summary judgment in a False Claims Act (FCA)/Anti-Kickback Statute (AKS) case brought by a physician objecting to the lab’s testing practices and its use of independent contractors paid on commission.
Judge Patti B. Saris held that plaintiffs in FCA cases must establish that “but for” the payment of illegal remuneration in violation of the AKS, the claim would not have been submitted. Applying the “but-for” standard, Judge Saris dismissed OMNI Healthcare Inc. v. MD Spine Solutions LLC, et al. because the record did not support that the independent contractor status of some of the lab’s sales representatives or their conduct unduly influenced any provider’s decision to purchase the product.
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