By Kenton Morgan, DVM, DACT

It was reported there have been instances where large veterinary accounts, such as breeding or training farms, are offered rebates from veterinarians or their respective
practice. These rebates are typically based upon the dollar amount of business transacted between the veterinary practice and the farm during the preceding year. Here is
the scenario: (1) On these farms, there are many different horse owners. (2) The owners are billed directly from the veterinarian/practice, and these invoices are paid directly
back to the same. (3) The expectation is that this farm will do business exclusively with this veterinarian/practice. (4) The rebate is paid directly to the farm manager or
sometimes the farm owner. (5) The horse owners at these facilities are unaware of this arrangement with the farm manager/owner.

A potential problem arises when a farm manager or farm owner receives and then keeps the rebate. Since the horse owners have paid for the veterinary services throughout
the year, they should receive an appropriate portion of the rebate—if one is paid. If this does not occur, then the rebate could be considered a kickback and construed by
many to be unethical.

Publication Type

  • Ethics

Topic

  • Ethics

Publish Date

August 1, 2019