Massachusetts General Laws Part I. Administration of the Government (Ch. 1-182) Ch. 112, § 23P 1/2

Any physical therapist who is involved in the private practice of physical therapy, to whom a patient is referred by a person licensed or registered under this chapter who derives income directly or indirectly from the physical therapy service, shall disclose to the patient that the referring person derives income from the provision of such service, unless such services are provided pursuant to a financial arrangement between a health maintenance organization organized in accordance with chapter one hundred and seventy-six G or a preferred provider arrangement organized in accordance with chapter one hundred and seventy-six I and the participating providers of such health maintenance organization or preferred provider arrangement.

Such ownership interest shall be in writing posted in the office of the person providing such physical therapy in a conspicuous place and shall be of such size and nature so that the average person would take notice of it.

Said posted notice shall contain the names of all persons who maintain an ownership interest.

For the purpose of this section, the term “ownership interest” shall mean any and all ownership interest including, but not limited to, any membership, proprietary interest, stock interest, partnership interest, co-ownership in any form or any profit-sharing arrangement.

The board of allied health professionals shall prescribe by regulation that physical therapists report such ownership interest and referrals to the said board. Violation of this section shall constitute grounds for disciplinary action by the board of allied health professionals.

A physical therapist or physical therapist assistant whose license, certificate, registration or authority relating to the practice is suspended for more than 1 year for professional misconduct with regard to insurance claims shall not own, operate, practice in, or be employed by any chiropractic or physical therapy office, clinic, or other place designated to the practice of chiropractic or physical therapy until the license is reinstated by the board.

A physical therapist or physical therapist assistant whose license, certificate, registration or authority relating to the practice is suspended for a second offense with regard to insurance claims shall have his license permanently revoked.

A physical therapist or physical therapist assistant whose license, certificate, registration or authority relating to the practice is revoked with regard to insurance claims shall not own, operate, practice in, or be employed by any chiropractic or physical therapy office, clinic, or other place designated to the practice of chiropractic or physical therapy.