Stark is a strict liability statute barring referrals for designated health services where the physician or an immediate family member has a financial relationship with the entity, unless an exception applies.
No intent is required, and exceptions must be satisfied in every element.
Alternative Names:
Physician Self-Referral Law, Section 1877
Why it Matters?
Strict liability is what distinguishes Stark from the Anti-Kickback Statute and makes it dangerous, since a technical failure in an otherwise legitimate arrangement creates a violation without any improper purpose. An expired lease, compensation exceeding fair market value, or a missing signature can defeat an exception entirely. Claims submitted in violation are not payable, which links Stark to False Claims Act exposure.
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Related terms
Frequently asked questions
Does Stark require improper intent?
How does Stark relate to the False Claims Act?
