10/21/2017    Paul Kesselman, DPM

Potential Legal Consequences After PAL's Demise

Over the past few weeks, numerous podiatric
forums have run advertisements attempting to
attract former PAL customers. While the demise of
any successful business is often sad, this one
particularly hits home for me and many of those
in the orthotics business. PAL was the company
which first sponsored many of my lectures and has
funded many podiatric educational forums with
other vendors.

Many of their PAL's former employees have climbed
the executive ladder reaching prominent positions
with other medical manufacturers and
distributors. Some have even started their own
companies. If not for the generosity of PAL's
former (and most recent owner), many of those
individuals (including myself) never could have
gained the experience necessary to achieve our
current positions.

As for the consequences of PAL's demise, some
recent advertisements have offered free scanners,
software and other products and services. Some of
these may be considered inducements and illegal,
even for the provision of non-covered services
(e.g. foot orthotics). Any inducement to provide
services may spell significant trouble for you
and your practice with potential fines up to
$25,000 per incident. One should seek out a
competent healthcare attorney regarding such
matters.

PICA has been generous to underwrite an
informational piece on this issue and is
available to all of its policyholders. This essay
also includes information regarding potential
HIPAA, NSC issues, and offers advice on how to
resolve problems with those devices not returned
by PAL.

Through PICA's generosity, portions of the
article will be shared via APMA and the full
article will be reprinted in January's issue of
Podiatry Management.

Paul Kesselman, DPM, Woodside, NY

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