Re: Ossur Affiliation

James Addams

Description

Title:

Re: Ossur Affiliation

Creator:

James Addams

Date:

6/12/2003

Text:

This is in response to the observations about Ossur by Mr. Gruman from
Minneapolis

You talk about �giving into the Cartel�. I notice you are a member of the
Ossur Cartel and have given into these pressures. What happens tomorrow if
you decide to stop paying the marketing fee to Ossur, you will no longer be
considered qualified, your practices will no longer be Ossur accredited and
you will no longer get Ossur referrals, you are still the same practitioner,
all that has changed is you did not pay the fee.

Did you read the Ossur contract in detail as published by Ossur �Members
agree to prominently display the Ossur patient brochure in the waiting room
and identify all facilities as an Ossur affiliate in marketing and
communication materials, such as yellow page advertisements, business cards,
mailers and newsletters�. Membership criteria include having annual sales
with Ossur of $12,000 the previous year, ABC facility accreditation or
meeting Ossur audit criteria (whatever that means). Members have had to
attend an Ossur Academy course within a 24-month period and had 10 percent
net sales in each product grouping (feet, knees and liners).�

Is the Ossur logo on your business card and yellow page ad? Did you
maintain your 10% net sales in each product group this month? I checked the
website for your facility Mr. Gruman, there was no Ossur logo or reference
to Ossur products, sounds like you are in violation of your agreement, sure
hope the Ossur police do not take away your special status and start
referring your patients to another �more qualified facility�

What Ossur is doing is comparable to basic scare tactics and shakedowns of
the Mob. If you pay a fee and play by the rules, your business will be
safe, if you do not pay the fee; it is hard to say what might happen to your
office.

Common sense is the foundation of standing up against the new Ossur Cartel.
Ossur has made it very clear, pay a marketing fee, or Ossur will take
marketing and PR steps necessary to push as much business a possible AWAY
from your practice. This does not sound like a partnership with the
prosthetic industry as a whole.

With regard to the comparison in your e-mail, all companies, including
Ossur, charge to attend their course before you can purchase their products,
makes sense to be qualified before you use a product. That is like saying
that it is restrictive trade because you have to go to school and pay a fee
to become certified, plus you have to pay yearly dues to ABC to maintain
certification. These fees are focused on education; the Ossur Cartel is
based upon paying a fee and purchasing a minimum volume of product.

Virtually everyone has attended an Ossur course, but now you are not special
and accredited unless you pay the marketing fee. What makes the person that
pays the marketing fee more qualified than the one that does not pay the
marketing fee. It would be like ABC saying if you pay extra dues, you can
be a special practitioner and we will promote you to patients as being more
qualified.

To compare what Ossur is doing to HMO is without merit. HMO�s are looking
to limit their number of contracts, the HMO�s want to negotiate to drive
their pricing down and control choice. Ossur is a supplier, they want to
sell to everyone but at the same time treat some clients better based upon
their ability to pay a marketing fee.

Ossur is actively directing payers, HMO�s and referrals to select customers
based upon whether you paid a fee; this is almost like a kickback. Does
not matter if you purchased thousands of dollars of products and are ABC
certified and accredited, if you don�t pay the fee, you are not considered
qualified.

Ossur made the rules, you are either with them or against them based upon
the ransom demand, I suggest each practitioner use their own common sense
and decide if they want to purchase components form the new competitor in
town, Ossur or perhaps take their purchases else where.

Mr. Gruman, you talk about common sense, according to your web site you are
one of the oldest practices in the USA, but now you have gotten into bed
with a company that is charging you a fee and demanding you promote the
Ossur products and put them on your business card and in your building.
What would Mr. Winkley say?



>From: Greg Gruman < <Email Address Redacted> >
>Reply-To: Greg Gruman < <Email Address Redacted> >
>To: <Email Address Redacted>
>Subject: [OANDP-L] Ossur Affiliation
>Date: Thu, 12 Jun 2003 10:00:54 -0500
>
>I have to differ with everyone commenting so far on the Ossur issue. You
>have shown a serious lack of memory, common sense, or both.
>
>Ossur is only doing what is a natural extension of what other groups have
>been doing for years. Examples for the memory challenged: Endolite- You
>could not purchase components unless you took the $2500 class. Otto Bock
>and OWW have introduced new techniques in the same manner. Years ago the VA
>required that the prosthetist become qualified before attending clinics.
>When the ISNY technique became popular, a class was required, as well as
>the various CAT-CAM variants.
>
>How many prosthetists outside of the Novacare/Hanger system are Sabolich
>qualified? The Amputee Coalition (a neutral entity,of course) was good
>enough to publish a list of those people and distribute it nationwide.
> Remember how we all had to scramble to find classes to be able to do this
>type of socket for the VA? Or did you make the Internet list for being TEC
>Interface Qualified? -Utah Arm Qualified? C-leg Qualified? Keep going,
>there's more.
>
>How many of you common sense impaired are members of an HMO Preferred
>Provider organization? Are you on a list for clients to choose from? Did
>you get a membership in POINT for free, or pay the $7000. we were asked to
>contribute in order to receive a few referrals a year? How many NON-Hanger
>facilities are providers for the CHOICE Point of Service Plan? Do you see
>your name in a book listing Participating Providers anywhere? If you do
>Medicare work, CMS sends your name out every year. What do you pay in
>discounts and other costs for the privilege of being on that list? These
>agreements, for which you pay dearly, all are designed to direct patients
>to those who buy into the program. They are designed to EXCLUDE those who
>won't meet the terms. ( see Contracts,101)
>
>OWW, DonJoy, FlexFoot and many more manufacturers have marketed their
>products directly to consumers this way for years. I've never liked the
>practice and I'm sure the new laws will change this practice.
>
>It bothers me when folks in our field continue to think small and make
>enemies of those who would help us who have elected to not join the big
>guys network. Ossur has made a conscious corporate decision to support the
>smaller O and P offices who might not be able to compete with the Cartel.
>They have decided to take a different path than most of our major suppliers
>who give in to Hanger pressure and give them a larger discount than we are
>given. Ossur has taken a risk on our behalf to pass up lots of sales and
>alienate Hanger prosthetists. Doesn't that say something positive about
>Ossur as a corporate friend?
>
>I know that clear thinking has not been always evident on this list serve,
>but this one is easy.
>
>
>Greg Gruman C.P.
>Winkley Orthotics & Prosthetics
>740 Douglas Drive North
>Golden Valley MN USA
>
>
>
>
>
>
>-----Original Message-----
>From: Brett Saunders [SMTP: <Email Address Redacted> ]
>Sent: Wednesday, June 11, 2003 12:37 PM
>To: <Email Address Redacted>
>Subject: Re: [OANDP-L] Ossur Affiliation
>
>I replied to John directly, but he requested that I post this directly to
>the list for everyone's consideration.
>
>
>This issue puts a question before each practitioner and facility. Do we
>use
>the products of a company that will direct mail our patients and try to
>steer them away from us as a result of our choice to use their products?
>
>I have been a loyal user of the Ossur liners since introduction to the US
>market and really fell in love with the ICEX cast system. While I do not
>use the ICEX kits anymore, I still use the liners and foot systems on a
>regular basis.
>
>Now I am going to question my purchases with Ossur. As a business
>decision,
>how can I support a company with purchases that will actively direct
>patients away unless I pay them a ransom beyond the component costs.
>
>As far as compliance with HIPAA, while I am sure they have a legal opinion
>on the matter, I do not believe OPT-OUT is in compliance because the
>patients have never been given notice they have a right to OPT-OUT. Nor
>has
>Ossur provided a Notice of Privacy Practices to 'their' patients but they
>consider themselves a Health Care Provider. They called themselves a
>Health
>Care Provider in a letter dated April 18, 2003 addressed to their customers
>when they declined to sign a business associate agreement.
>
>AOPA's advice from the February 19, 2003 AOPA in Advance...those that are
>AOPA member were able to see this info...those that were not could only see
>the advertisement about the info....was If an O&P facility sends the PHI
>to
>the manufacturer or lab for the purposes of treatment, the facility is not
>required to have a Business Associate Contract. However if a facility
>shares its patients' PHI for any other purpose such as providing a name and
>address for warranty, it would then need a Business Associate Contract to
>safeguard that PHI.
>
>My answer to this is to ask that the patient use the facility address when
>completing warranty cards and even to offer to complete and send in the
>cards as a service to the patient, even providing the stamp. I want to
>make
>sure the direct contact information does not make it to a company that is
>actively seeking to move my patients elsewhere.
>
>
>Brett R. Saunders, CPO, FAAOP
>
>

Citation

James Addams, “Re: Ossur Affiliation,” Digital Resource Foundation for Orthotics and Prosthetics, accessed November 6, 2024, https://library.drfop.org/items/show/221301.