From Casetext: Smarter Legal Research

Blum v. Drucker

Appellate Division of the Supreme Court of New York, Second Department
Jun 23, 1997
240 A.D.2d 609 (N.Y. App. Div. 1997)

Opinion

June 23, 1997

Appeal from the Supreme Court, Nassau County (DiNoto, J.).


Ordered that the order is reversed insofar as appealed from, on the law, the branch of the appellants-respondents' motion which was for summary judgment dismissing the complaint is granted, the complaint is dismissed insofar as asserted against them, and the action against the remaining defendant is severed; and it is further,

Ordered that the order is affirmed insofar as cross-appealed from; and it is further,

Ordered that the appellants-respondents are awarded one bill of costs.

The plaintiffs seek, inter alia, enforcement of a contract to pay profit distributions calculated, in part, on referrals they and other doctors made to the appellants-respondents' practice. Since this agreement between the parties was illegal because it violated Federal Medicare law ( 42 U.S.C. § 1320a-7b), was against public policy, and was proscribed by regulations enacted by the Secretary of the United States Department of Health and Human Services ( 42 C.F.R. § 1001.952 [d]), it is unenforceable ( see, Long Meadow Assocs. v. City of Glen Cove, 203 A.D.2d 262; Little Princess Truck Rentals v. Pergament Distribs., 143 A.D.2d 179; Nursing Home Consultants v. Quantum Health Servs., 926 F. Supp. 835, affd 112 F.3d 513; Modern Med. Labs. v. Smith-Kline Beecham Clinical Labs., 1994 U.S. Dist LEXIS 11525 [ND Ill]; Medical Dev. Network v. Professional Respiratory Care/Home Med. Equip. Servs., 673 So.2d 565 [Fla]).

In light of this determination, the parties' remaining contentions are academic.

Mangano, P.J., Copertino, Florio and McGinity, JJ., concur.


Summaries of

Blum v. Drucker

Appellate Division of the Supreme Court of New York, Second Department
Jun 23, 1997
240 A.D.2d 609 (N.Y. App. Div. 1997)
Case details for

Blum v. Drucker

Case Details

Full title:ALAN BLUM et al., Respondents-Appellants, v. JEFFREY P. DRUCKER et al.…

Court:Appellate Division of the Supreme Court of New York, Second Department

Date published: Jun 23, 1997

Citations

240 A.D.2d 609 (N.Y. App. Div. 1997)
659 N.Y.S.2d 298

Citing Cases

Vill. Taxi Corp. v. Beltre

ucement and breach of contract causes of action since it concerned the transfer of the licenses (see e.g. FCI…

Vill. Taxi Corp. v. Beltre

rned the transfer of the licenses ( see e.g. FCI Group, Inc. v. City of New York, 54 A.D.3d 171, 177, 862…