Question

An oral surgeon uses our office and pays us 20 percent of production (versus a flat daily rental rate) for the use of our facility. Is this legal?

No, this is considered fee splitting and is illegal. Rather, a daily fair market value rent should be paid by the oral surgeon. The fair market value monthly rent would not vary with the oral surgeon’s production. 

The best approach would be for the general practitioner’s office to submit all the billing, and pay the oral surgeon as an employee or independent contractor. 

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