Issues raised by respiratory therapy arrangements

In large part due to the foregoing issues, Medicare program officials have focused on respiratory therapy as an area with great potential for abuse, and may well introduce significant reforms in the near future. Accordingly, any contractual arrangements for respiratory therapy programs of the type discussed above should be carefully reviewed for compliance with Medicare requirements and for a realistic assessment of the parties' potential exposure to liability under the anti-kickback statute. At a minimum, these agreements should provide for short "without cause" termination provisions, or include a so-called "jeopardy" provision that permits the parties to renegotiate or terminate their contract if significant changes occur in, or if the current arrangement is found or threatened to be found to violate, applicable law.     

Does the federal Family and Medical Leave Act of 1993 create a hole in ERISA preemption?

ERISA's board preemption provision has survived many challenges to its scope and effect. Now it may have succumbed in the face of a few statements tucked into the legislative history of the federal Family and Medical Leave Act (FMLA). Language in the legislative history presents the view that the Act was meant to overturn ERISA preemption of state family and medical leave laws. The text of the FMLA contains no corroborating language to support that view. However, at least one court found the statements in the legislative history to be persuasive and ruled that under the FMLA, ERISA does not preempt state family and medical leave laws that regulate ERISA plans. If other courts follow that decision, there will be great implications to employee benefit plan regulation and administration. This article explores the court's decision and the relationship between the FMLA and ERISA preemption.