Physical Therapists Sue Medicare Over Out-of-Pocket Payment Ban

Aug. 13, 2025, 5:23 PM UTC

A coalition of physical therapists is suing the Trump administration over a policy that bars non-Medicare-enrolled clinicians from receiving out-of-pocket payments from Medicare patients.

The lawsuit filed Tuesday in the US District Court for the Middle District of Florida by the United Physical Therapy Association and Florida-based physical therapist Sean Wells alleges the Centers for Medicare & Medicaid Services violates the Fifth Amendment’s due process and equal protection guarantees by excluding physical therapists from health-care providers eligible to “opt out” of Medicare yet still retain the ability to contract with beneficiaries privately.

Under current law, a wide range of health ...

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