Business Practices, Advertising, and Fee Disclosure
This domain tests the business side of dentistry: corporate practice, fee splitting, advertising truthfulness, credential claims, discount offers, billing, and practice sale obligations.
Business structure and inducements
- Many states restrict non-dentist ownership or control of a dental practice.
- Fee splitting and kickbacks for patient referrals are prohibited; marketing fees tied to patient volume can qualify.
- Federal anti-kickback rules apply to federal health care program referrals.
Advertising and fees
Ads must be truthful and not misleading. “Specialist” claims generally require recognized specialty status or a lawful designation. Guarantees and superlatives can be misleading if they imply outcomes that cannot be assured. Discount and coupon offers must disclose material terms, expiration, and restrictions. Fee estimates should be clear, and balance billing must follow the patient’s insurance contract and state law.
Worked example
A practice advertises “guaranteed painless dentistry” and offers a coupon for a “free exam” that actually requires a paid X-ray and cleaning. The guarantee implies a result the dentist cannot ensure, and the coupon’s material condition is hidden. Either can be misleading advertising and a fee-disclosure violation. The fix is to state realistic expectations and disclose all conditions in the ad.
Traps
- Treating obvious puffery as automatically lawful when it implies a professional guarantee.
- Using “specialist” without the credential.
- Disguising a referral payment as a marketing or consulting fee.
- Selling a practice without arranging records transfer and patient notice.
- Billing patients above contracted amounts without legal basis.
Exam focus
Ask whether the statement is true, complete, and tied to a lawful fee arrangement.