Discount Safe Harbor Bars Allegations That Sales Bundles Were Kickbacks

In a detailed and exhaustive analysis of the discount safe harbor exceptions to the Anti-Kickback Statute bar to allegations under the False Claims Act, the district court judge’s order in United States ex rel Schroeder v. Hutchinson Regional Medical Center et al, Case No. 2:2017-cv-02050 (D. Kan) provides a detailed explanation of the provisions on no-charge devices, device bundling, required seller documentation, and required reporting of discounts by a cost-reporting purchaser. Buyers and sellers of health care goods are likely to find helpful guidance for future transactions.