Becker's Healthcare November 15, 2024
The future of the Stark law is uncertain following a recent district court decision that a False Claims Act lawsuit against South Charleston, W.Va.-based Thomas Health System could not be resolved without further briefings on the U.S. Supreme Court’s recent reversal of the Chevron deference doctrine.
In July, the Supreme Court overturned Chevron deference, a 40-year-old precedent directing judges to defer to federal agency interpretations in cases involving ambiguous laws when reasonable. This shift now requires judges to independently interpret regulations rather than automatically defer to agency interpretations.
The district judge in the Thomas Health case ordered supplemental briefings, noting the need to “carefully consider the regulations without blindly referring to any agency interpretation.” The lawsuit, filed in 2020, was...