Three urology groups, a laboratory management company, and an employee of the lab have filed a Complaint for Declaratory and Injunctive Relief against the U.S. Department of Health and Human Services ("HHS"). In their petition for Declaratory relief, the plaintiffs complained that the Secretary of HHS offered no justification for selectively applying the anti-markup provision to anatomic pathology diagnostic testing services performed in a "centralized building," while exempting all others. Plaintiffs seek an injunction against enforcement of the prohibition against anatomic pathology lest the CY 2008 Physician Fee Schedule Final Rule ("Final Rule") "destroy the existing business of Uropath, and eliminate the jobs of its 91 employees. . . ." Among other relief, the plaintiffs seek an Order enjoining enforcement of the anatomic pathology anti-markup prohibition, declaring that the revised anti-markup rule is null, void, and of no effect and that the Final Rule is arbitrary, capricious and not in accordance with law. Atlantic Urological Associates P.A. et al., v. Michael O. Leavitt was filed January 24, 2008, in the U.S. District Court for the District of Columbia. For more information on the Final Rule, including the delay of the date of applicability of the revised anti-markup provisions for certain services furnished in certain locations, please see the November 15, 2007, and January 10, 2008, issues of the Health Law Update.
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Group challenges anti-markup rule
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