NachtLaw, P.C. NachtLaw, P.C. 2026-06-19T13:23:25Z https://www.nachtlaw.com/feed/atom/ WordPress /wp-content/uploads/sites/1101475/2021/08/cropped-Nachtlaw-Site-icon-min-32x32.jpg by NachtLaw, P.C. <![CDATA[2026’s “Whole-of-Government” Healthcare Fraud Crackdown: What Providers Need to Know Now]]> https://www.nachtlaw.com/?p=255092 2026-05-18T20:34:58Z 2026-05-18T20:31:48Z A New Era of Coordinated Federal Enforcement The federal government’s 2026 healthcare fraud strategy is defined by speed, coordination, and prevention rather than traditional “pay-and-chase” recovery methods.
  1. Executive Order Establishes New Anti-Fraud Task Force
In March 2026, a new Executive Order directed federal agencies to strengthen anti-fraud systems across Medicare and Medicaid, creating a dedicated anti-fraud task force with broad authority. This initiative emphasizes:
  • Enhanced pre-payment review of Medicare and Medicaid claims
  • Immediate tightening of provider enrollment and screening requirements
  • Rapid interagency coordination between CMS, DOJ, HHS-OIG, and Treasury
  • Strict compliance timelines for providers and suppliers
This marks a major shift from retrospective enforcement toward front-end prevention, meaning providers may face administrative intervention before payments are ever issued.   FinCEN Sounds the Alarm: Fraudulent Filings Surge 330% On March 30, 2026, FinCEN issued Advisory FIN-2026-A001 in response to a staggering 330% increase in suspicious healthcare-related filings. The advisory warns financial institutions about growing fraud schemes involving:
  • Unnecessary or medically unwarranted care
  • Kickback arrangements
  • Stolen patient identities
  • Fraudulent Medicare and Medicaid billing networks
Notably, the advisory outlines more than 20 red flags designed to help banks and financial institutions detect suspicious healthcare transactions. This expands enforcement beyond providers alone—financial institutions are now active gatekeepers in healthcare fraud detection. CMS and DOJ Shift Toward Immediate Payment Suspensions Perhaps the most significant operational change in 2026 is the rise of immediate payment suspensions. Rather than waiting for lengthy audits or pursuing overpayment recovery after the fact, CMS and DOJ are increasingly freezing payments to providers based on suspected fraud indicators alone. Examples include:
  • California hospice providers facing Medicare suspensions
  • DMEPOS suppliers subject to enrollment restrictions
  • High-risk providers flagged through predictive billing analytics
This proactive approach can create immediate cash flow disruption, even before formal adjudication. Key Fraud Enforcement Targets in 2026 Federal agencies are concentrating resources on several high-risk categories: Telehealth Telehealth remains under intense scrutiny, especially where regulators see:
  • Virtual-only care models with limited patient relationships
  • High-volume remote prescribing
  • Improper lead generation or marketing agreements
  • Potential kickback structures
Providers relying heavily on remote care should ensure documentation; prescribing practices, and referral relationships are defensible. Hospice Hospice enforcement is focused on allegations involving:
  • Billing for beneficiaries who are not terminally ill
  • Inflated reimbursement claims
  • Improper patient certifications
Given recent suspensions, hospice providers should expect aggressive reviews of eligibility determinations. DMEPOS Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) remain a longstanding enforcement priority, now intensified through:
  • A six-month Medicare enrollment moratorium for certain suppliers
  • Heightened supplier screening
  • Greater transaction monitoring
Medicaid Revalidation Accelerates CMS is also pressing state Medicaid agencies to rapidly revalidate high-risk providers. This means providers may face:
  • Faster credentialing reviews
  • Expanded documentation requests
  • Increased license and ownership verification
  • Potential enrollment termination for incomplete compliance
For multi-state organizations, inconsistent state timelines could create additional operational complexity. What This Means for Healthcare Providers The legal and operational landscape is shifting quickly. Providers should prepare for: Increased Administrative Risk Payment suspensions, enrollment holds, and pre-payment reviews may occur faster than in previous years. More False Claims Act Exposure DOJ and whistleblowers are likely to leverage enhanced data analytics to support FCA investigations. Advanced Billing Surveillance Federal agencies are increasingly using predictive analytics to detect billing anomalies before enforcement actions begin. Practical Compliance Priorities for 2026 To reduce exposure, healthcare organizations should prioritize:
  • Internal billing audits focused on telehealth, hospice, and DMEPOS
  • Review of referral, marketing, and compensation structures
  • Strengthened patient eligibility documentation
  • Medicaid and Medicare enrollment accuracy checks
  • Financial transaction monitoring for suspicious payment patterns
  • Rapid-response protocols for audits or payment suspensions
Bottom Line The 2026 federal healthcare fraud crackdown signals a decisive move toward preventive enforcement, faster intervention, and broader institutional oversight. For providers, this is more than a regulatory update—it is a structural enforcement shift. Organizations that proactively strengthen compliance infrastructure now will be better positioned to withstand increasing scrutiny, payment disruption risks, and litigation exposure. In this environment, healthcare compliance is no longer just about avoiding penalties—it is becoming a core operational survival strategy.  ]]> On Behalf of NachtLaw, P.C. <![CDATA[Navigating executive contracts as a healthcare professional]]> https://www.nachtlaw.com/?p=255087 2026-05-18T20:11:39Z 2026-05-18T20:11:39Z Executive compensation packages are often complex because they reflect much more than just a person’s salary. Many of these packages include performance bonuses, deferred compensation, retention awards, long-term incentives, severance rights and restrictive covenant obligations.  In hospitals and other healthcare organizations, these arrangements are often shaped by many factors. Some of these include regulatory concerns, tax rules, business goals and board oversight. Individuals who are reviewing an executive compensation package in the healthcare industry should consider these important factors. 
David Nacht has been negotiating contracts for health care executives, physicians and midlevel professionals for 30 years.

Compensation structure in administrative healthcare packages

For healthcare leaders, compensation terms can affect financial security, as well as career mobility. In some cases, packages that appear competitive on the surface may include conditions that limit payment, create a repayment risk or delay vesting if employment doesn’t last beyond a specific date.  Many healthcare organizations tie executive pay to specific criteria, including compliance measures, quality metrics, patient access, growth goals, financial performance and leadership milestones. While these can be useful, they should be stated clearly so both parties have a full understanding of how performance will be measured and when compensation will be earned.  Another consideration to review is deferred compensation. Payment timing, forfeiture provisions and tax treatment can all affect the actual value of this benefit. It’s also critical to check the severance provisions to determine how being terminated with cause or without cause, resignation, retirement and nonrenewal impact the provisions.  Restrictive covenants are also a consideration because they can negatively impact future career moves. These include things like confidentiality, noncompete and no disparagement clauses.  Clawback provisions allow healthcare organizations to recover bonuses or incentives if there are issues that are found out after the payment is made. These provisions are common, but they shouldn’t be overly broad.  Healthcare executive compensation packages are typically negotiated in a highly regulated setting. Having the agreed-upon terms clearly stated in the contract benefits both the medical organization and the executive. It may be beneficial for the executive to have someone on their side who can review the contract and determine if the terms are legally stated. ]]> by David Nacht <![CDATA[Recent bad AI legal advice I have seen]]> https://www.nachtlaw.com/?p=254906 2026-03-31T14:11:28Z 2026-03-31T13:17:14Z David Nacht is a tenacious trial lawyer, strategist, and negotiator at the peak of his career, known for advocating for clients at every stage—from students to executives. He is especially committed to expanding due process rights for the accused, whether in the workplace or in the face of federal or prosecutorial investigations. Nacht’s client-centered approach prioritizes listening, protecting careers and reputations, and thinking several steps ahead. One of the few attorneys to regularly practice both criminal and civil law in federal and state courts, he leverages insights from each to strengthen the other—always guided by a focus on dignity, strategy, and clear-headed decision-making.]]> On Behalf of NachtLaw, P.C. <![CDATA[Severance clawback provisions and their enforceability]]> https://www.nachtlaw.com/?p=254902 2026-03-30T17:49:44Z 2026-03-30T17:49:44Z What does a clawback provision do? A clawback provision is a contract clause that gives an employer the right to reclaim severance payments if you trigger certain conditions. These conditions usually relate to actions you take after signing the deal and include:
  • Breaking a legally enforceable non-compete or non-solicitation term that complies with Michigan law
  • Sharing private company details
  • Making public remarks that paint the company in a negative light
Depending on the agreement, a triggered clawback may require full repayment of severance already received, suspend future payments or both.

Is this clause enforceable in Michigan?

Michigan is an at-will employment state, meaning either you or your employer can generally end the working relationship at any time, provided the reason is lawful. While state law does not require employers to offer severance, an executed agreement is treated by courts as a binding contract. For the terms to be enforceable, the agreement must use clear and specific language. You must also provide your consent freely and knowingly, without undue influence or misrepresentation. Additionally, the provision must rest on proper consideration. This means the employer must offer you something of value beyond what you have already earned. Courts may invalidate clawback clauses that rely on vague terms or impose penalties that are disproportionate to the alleged breach. If you are 40 or older, the Older Workers Benefit Protection Act provides further protections. Under this federal law, you must be given at least 21 days to review the terms of the contract (or 45 days if your termination is part of a group layoff) and seven days to revoke your acceptance after signing.

What should you consider before signing the agreement?

A careful review of the full agreement before signing can help you understand what it requires. Language that mentions repayment obligations, loss of benefits or conditions tied to your conduct after leaving the job may be particularly relevant. Consulting with an attorney during this process can also offer valuable insight. A lawyer familiar with Michigan contract law may be able to identify potential problem areas and assist with clarifying terms that feel uncertain.]]> On Behalf of NachtLaw, P.C. <![CDATA[Key strategies to renegotiate your healthcare executive contract]]> https://www.nachtlaw.com/?p=254894 2026-02-19T16:03:39Z 2026-02-17T14:26:47Z Evaluating compensation structures and performance expectations Start with your salary and bonus structure, then look at your current targets and goals. Compare your present duties with what the contract describes. If your role expanded, consider whether compensation changed with it. Clear language around performance terms may help you understand expectations. When pay and duties align more closely, negotiation discussions may feel more focused.

Reassessing restrictive covenants and termination protections

Some clauses may affect future job options. Your state law may allow noncompete terms when they are reasonable. Consider reviewing the following:
  • Geographic limits in noncompete clauses
  • Duration limits in post-employment restrictions
  • Nonsolicitation provisions covering staff or patients
  • Notice requirements for without-cause termination
  • Severance provisions tied to role changes
In Michigan, many jobs follow at-will employment rules. This means either side may end the job at any time unless a contract says something different. Looking at exit terms may help you understand possible risks during a job change.

Refining governance authority, responsibilities and organizational alignment

Your role may shift as the organization changes. As duties evolve, confirm who you report to and what authority you hold. Look at your decision-making scope and daily control. Then clarify oversight duties and committee responsibilities. Clearly written terms may help reduce confusion later.

What to weigh before revisiting contract terms

You may notice that some contract terms no longer reflect your current role. Certain areas may feel unclear or out of balance. Timing, such as renewal periods or leadership changes, can influence when discussions take place. A narrower focus on specific contract terms may help keep conversations clear while allowing flexibility in the outcome.]]> by Adam Dreher <![CDATA[Why the Discovery of Evidence on Federal Land Doesn’t Automatically Mean Federal Court Jurisdiction]]> https://www.nachtlaw.com/?p=254763 2026-01-12T20:59:34Z 2026-01-12T19:23:42Z where the crime occurred. The location of crime became the definitive place for where a crime was prosecuted and at times could provide what sort of punishment should be expected. But how do two levels of government, governing over the same territory, interact with this tradition?   When creating a unified government for the newly independent thirteen states, the founders of our country sought to limit the amount of authority the Federal Government would have over the states when prosecuting crimes. One of the first ten amendments to the United States Constitution enshrined this idea, “The power not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.” U.S. Const. amend. X.  One of those powers not delegated to the United States was the police power inherently held by the states. In theory, the best way to hold to the tradition of allowing localities to prosecute crimes would be to save that authority to the government more localized—the states.   Simply: The states had criminal laws long before the Federal Government did.   The first federal judiciary act established the office(s) of United States Attorney, with each district being within each state. At that time, a single attorney for each district would be responsible “to prosecute in (each) district all delinquents for crimes and offenses cognizable under the authority of the United States, and all civil actions in which the United States shall be concerned.” 1 Stat. 92. That limited “authority of the United States” requires federal prosecutors, even to this day, to ensure any crime prosecuted by the United States is done in a manner compatible with the Tenth Amendment. The United States Constitution lays out very specific grants of police power relegated by the states for the federal government. Those grants are specifically enumerated and anything else is left for the states. The most common example of those specific grants of authority in the criminal context is the regulation of commerce amongst the states. U.S. Const. Art. I. § 8. Congress can enact laws requiring specific regulations of commerce, and the United States Attorneys can prosecute those who do not follow those regulations. Otherwise, the federal government cannot prosecute the offense.   Federal Land Is Not a Jurisdictional Shortcut   Federal land often creates confusion because people equate federal ownership with federal authority over all disputes connected to that land. But ownership and jurisdiction are different things. You can own stock in a company, but that doesn’t mean you’re able to enter any of that company’s buildings whenever you’d like. In the same manner, even if a crime is committed on federal land, it does not mean that the federal government must prosecute it.   Instead, the Constitution grants exclusive jurisdiction to “all Places purchased by the Consent of the Legislature of the State in which the Same shall be, for the Erection of Forts, Magazines, Arsenals, dockyards, and other needful Buildings.” U.S. Const. Art. I. § 17. Ultimately, what matters is the consent of the states for the federal government to acquire jurisdiction. But even with the state’s consent, the United States need not take jurisdiction after the purchase of property. There is a lot involved before the federal government must prosecute crimes within its jurisdiction. States often still prosecute crimes that occur on federal land.   The Practical Takeaway   By tradition, our system is set up to prefer local prosecution of crimes. States inherently retain the power to prosecute crimes and generally, it is only when territory is exclusively within the possession of the United States that states must acquiesce.   Understanding the distinction between ownership and jurisdiction helps avoid unnecessary fights over potential punishments and keeps the focus where it belongs: on the merits of the case.   About the author ... Adam Dreher is a trial lawyer at NachtLaw who helps clients navigate high-stakes employment and criminal matters with confidence. Drawing on nearly a decade as a prosecutor—and experience at the local, state, and federal levels—Adam brings a disciplined, trial-ready approach to every case. A former U.S. Army Cavalry Scout and combat veteran, he is known for thorough preparation, strategic thinking, and steady courtroom advocacy. Clients rely on Adam for clear guidance, strong defense, and results-driven representation when it matters most.    ]]> On Behalf of NachtLaw, P.C. <![CDATA[Was I denied tenure due to discrimination?]]> https://www.nachtlaw.com/?p=254508 2025-12-20T20:39:03Z 2025-12-20T20:39:03Z Identifying pretext in decisions Academic institutions rarely admit to bias. Discrimination often hides behind subjective terms like a lack of collegiality or poor cultural fit. To build a case, you must demonstrate that the stated reasons for denial are actually a pretext for discrimination. This involves showing a contradiction between your record and the committee’s rationale. If the denial relies on insufficient research but you have more citations than the department average, the reasoning may be flawed.

Comparing your record to peers

One of the strongest forms of evidence is a direct comparison to a colleague outside your protected class who received more favorable treatment. This person is often called a comparator. You should look for discrepancies in:
  • Publication volume
  • Student evaluations
  • Service requirements
If a similarly situated white colleague received tenure under the same standards with fewer published articles, this supports a claim of disparate treatment. It helps to show that the university applied standards unevenly.

The reality of representation

The feeling of isolation in higher education is often backed by data. According to the National Center for Education Statistics, as of 2022, 6% of full-time faculty at degree-granting postsecondary institutions were Hispanic. When you are one of the few minorities in a department, subjective criteria used in tenure reviews can easily mask unconscious or overt bias.

Documenting the timeline

You must also gather documentation that establishes a pattern. Annual reviews are critical here. If your reviews were glowing until your tenure year, it raises questions about the denial. Save emails and correspondence that show shifting expectations or different treatment compared to colleagues.

Challenging the decision

Courts often defer to the academic judgment of universities, which makes these cases difficult. However, contracts and civil rights laws govern tenure processes. If you believe discrimination derailed your career, consider speaking to attorneys who handle education law matters to determine if your rights were violated.]]> On Behalf of NachtLaw, P.C. <![CDATA[HB 4668 explained: What companies need to know about AI]]> https://www.nachtlaw.com/?p=254403 2025-12-02T14:35:54Z 2025-12-02T14:35:54Z Why businesses need to pay attention HB 4668 is focused on Michigan, making it one of the first state-level efforts to regulate AI. The bill would require companies to keep clear records of how they build and test AI, check systems for mistakes or bias and make sure the technology works properly. Following these rules could protect both businesses and consumers while keeping companies competitive.

What will the bill require of businesses?

The law focuses on making AI understandable and accountable. Companies would need to explain how they make AI-driven decisions, especially if those decisions directly affect customers. They would also need to regularly audit their systems and even hire third-party specialists to review them. While this could add extra work, it can also show customers and partners that the business takes AI seriously.

A focus on consumer protection

HB 4668 will require companies to disclose when they use AI, whether as a hiring tool, chatbot or automated decision-making system. The goal is to prevent errors or unfair outcomes and give consumers a better idea of how AI will process their information. Consumers should be fully aware that they are entrusting their data to a company that utilizes AI.

What does HB 4668 mean for Michigan businesses?

If this bill passes, businesses may need to change how they handle AI. What is standard practice now will no longer be sufficient in the future. There will be stricter rules and more complex processes. Even if the law does not pass immediately, businesses can start preparing to stay ahead and avoid potential problems.

Looking ahead

HB 4668 signals that Michigan is taking AI seriously. Businesses that start planning for these rules now can benefit from better accountability, stronger customer confidence and smoother operations as AI continues to grow in importance. If you are a business owner who wants to prepare for what is about to come, consider speaking with an attorney knowledgeable in business law or commercial litigation. Even if HB 4668 is relatively new, there is nothing wrong with knowing your legal options early.]]> On Behalf of NachtLaw, P.C. <![CDATA[The ultimate guide to negotiating your physician contract in Michigan: Salary, benefits, and more]]> https://www.nachtlaw.com/?p=254340 2025-10-16T20:22:11Z 2025-09-29T13:13:32Z When you finish medical training, your first job offer feels like a milestone. Before you sign, you need to make sure your physician contract works for you. In Michigan, contracts can include unique provisions that shape your career, income, and work-life balance.

Understanding your salary structure

Salary is the first number most physicians focus on, but it is not the only piece of your compensation. Some contracts offer a flat salary while others tie pay to relative value units (RVUs). Larger hospital systems often use RVU-based models, which can reward productivity but may pressure you to see more patients. You want to know exactly how your salary is calculated and whether bonuses are achievable.

Looking at benefits beyond pay

A strong benefits package can be just as important as your paycheck. Look closely at health insurance, retirement plans, and paid time off. Malpractice insurance coverage is another key detail, and you should confirm whether your employer pays for tail coverage if you leave. Signing bonuses, relocation assistance, and continuing medical education stipends are often negotiable, so ask what is available.

Paying attention to restrictive covenants

Non-compete agreements are common in physician contracts. These provisions limit where you can practice if you change jobs. The restrictions may apply to specific counties or mileage ranges around your workplace. Make sure the limits are reasonable so you are not blocked from practicing in your preferred area if you switch employers.

Knowing your termination terms

Every contract includes a section on termination. Some allow you or the employer to end the agreement without cause, as long as proper notice is given. Pay attention to how much notice is required, usually ranging from 60 to 180 days. This affects your ability to plan for career changes and avoid sudden income loss.

Protecting your career

A well-negotiated contract gives you stability and flexibility. By knowing what provisions and clauses to watch for, you can protect your interests and set yourself up for long-term success in Michigan’s healthcare system.]]> by David Nacht <![CDATA[Hate speech and the First Amendment]]> https://www.nachtlaw.com/?p=254332 2026-01-12T20:54:00Z 2025-09-17T23:45:09Z In light of the horrible assassination of Charlie Kirk, government officials have been discussing prosecuting hate speech.
Unlike in Europe, the US Government lacks the power to prosecute hateful speech.  The  New York Times article, “What to Know About ‘Hate Speech’ and the First Amendment”, discusses the general rule.  Under clearly established law, hateful speech is protected by the First Amendment except when it calls for imminent action towards a violent act.
The New York Times piece fails to mention the other big exception — speech may be prosecuted when it constitutes part of a  conspiracy to commit a crime.
Typically for speech to be part of a conspiracy there must be an overt act besides the speech to advance the crime. For instance - if one says to a friend that a bank should be robbed- the speech becomes the crime of conspiracy to commit bank robbery only after the friends visit the bank to assess the security and decide on a date to rob it. The visit to the bank is an “overt act”.  And the selection of a date shows it is not a mere fantasy but a formed plan.
Read the New York Times article, here.
https://www.nytimes.com/2025/09/17/us/politics/what-to-know-hate-speech.html?smid=nytcore-ios-share&referringSource=articleShare
 
David Nacht is a Harvard‑ and University of Michigan‑educated trial lawyer and the founder and principal of his firm, known for representing individuals at every stage of their careers—from students and employees to executives—when their reputation, rights, and livelihood are on the line. Licensed in Michigan, Ohio, and Massachusetts, he is among the rare attorneys who regularly practices both civil and criminal law in federal and state courts, using insights from each arena to gain strategic advantages for his clients. Nacht has achieved landmark victories in employment law, university and Title IX proceedings, civil rights litigation, criminal defense, and high‑stakes business disputes, including precedent‑setting appellate wins and multimillion‑dollar settlements and negotiations. Widely recognized as a leader in defending the accused and advocating for due process, he combines meticulous preparation, forward‑thinking strategy, and a client‑first philosophy focused on dignity, clarity, and results.
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