Doctors and Dentists who Advertise on Groupon (GRPN)

November 17, 2011 2:15 pm Published by

There is a question of whether doctors, dentists and other professional advertisers on Groupon, Inc (GRPN) are in violation of various State laws that make fee-splitting illegal. The legal question has nothing to do with Groupon itself but only with the payment method from the doctor or other professional to Groupon. In other words, Groupon’s receipt of payment can be legal while the doctor paying Groupon may be acting illegally.

For example, New York State dentists should be careful to avoid violation of both Section 6509-a of the New York State Education Law and Section 29.1(b)(4) of Title 8 of the Official Compilation of Codes, Rules and Regulations of the State of New York (8 NYCRR). Any doctor, dentist or other professional with a State license should consult with their attorney before offering their services through Groupon. Alternative methods of payment that satisfy State laws may be available.

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This post was written by Dr. Jeffrey Dorfman