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Definition 2022


fee_splitting

fee splitting

See also: fee-splitting

English

Alternative forms

Noun

fee splitting (usually uncountable, plural fee splittings)

  1. (business) The practice, usually of questionable ethicality, by some professionals, such as medical doctors and lawyers, of sending a client to a second practitioner for an additional consultation in order to obtain another payment from the client or from his or her insurer, and in return for which the original practitioner receives a portion of the payment made to the second practitioner (a "commission" or "piece of the action").
    • 1986 July 6, Dr. Carl Weber, “Westchester Opinion: Challenge to Doctor's Ethics Emerges”, in New York Times:
      While it is impossible to remove all financial pressures from the decision-making process, there are some practices, such as fee splitting, that are unethical because they so strongly influence practice patterns solely on the basis of financial considerations.
    • 1997, Lauch Faircloth, Connie Mack, editors, Problems Surrounding the Mortgage Origination Process: Congressional Hearing, ISBN 9780788186899, page 208:
      Some commenters believed that implementation of the employer-employee exemption would allow abusive practices to occur such as kickbacks, tie-ins, fee splittings, and conflicts of interest.
    • 2008 March 25, Manjeet Kripalani, “Indian Pharma: Hooked on the Hard Sell”, in Businessweek:
      The report complained of "a clear nexus between private medical practitioners and pharmacy shops," and "fee-splitting between diagnostic centres and referring doctors."

See also