Fraud and False Claims

Physician recruitment agreements as illegal kickbacks - Polk Cty. V. Peters, 800 F. Supp. 1451 (E.D.Tx. 1992)

Guide to Polk Cty. V. Peters, 800 F. Supp. 1451 (E.D.Tx. 1992)

This action was tried before the Court on July 9, 1992. Plaintiff Polk County, Texas, seeks a judgment for money advanced to Defendant Kenneth Peters, M.D., pursuant to a Physician Recruitment Agreement. Plaintiff also seeks to recover attorney fees.

Defendant has advanced numerous defenses, including the illegality and voidness of the Physician Recruitment Agreement (the Agreement) itself. After careful consideration, the Court has determined that the Agreement is indeed illegal under the Social Security Act, 42 U.S.C. s 1395nn (1983) and therefore unenforcible under the applicable Texas law.