Patient brokering is a practice that involves recruiting those who have substance abuse issues and referring them to rehab facilities. This is seen as a predatory practice that can lead to the death of patients as well as insurance fraud. However, proposed legislation in the California Senate would end the practice in that state. It would require that recovery programs that refer patients to be licensed and to only send them to facilities that meet certain standards.
How unfair business practices are dealt with
Unfortunately, unfair competitions can hurt many consumers and businesses in California. Practices that are deemed to be unfair include trademark infringement, false advertising and misappropriation of trade secrets. Both state and federal laws aim to protect consumers and businesses from being hurt by such illegal acts. Consumer protection laws are generally distinct from those that protect companies from such activities.
