Consent Decree Could Cut Cost of Psychotherapy

The government announced final approval Thursday of an agreement with the American Psychological Assn. that could drive down the cost of psychotherapy.

The consent agreement settled charges that the APA had curbed competition by barring its members from advertising and seeking patients through referral services.

Under the final consent order, the association may not restrict “truthful, non-deceptive” advertising, said the Federal Trade Commission, which issued the original complaint.

The order prohibits the association from banning payments by psychologists to patient referral services. But the APA is permitted to require disclosure to consumers that a referral fee has been paid.

The settlement also requires the APA to halt its affiliation with any state, regional or other association that imposes restrictions similar to those challenged in the commission’s complaint.

The FTC said in a statement that the agreement would not stop the APA from enforcing “reasonable principles, rules, guidelines or policies” to prevent false or deceptive practices.

It would allow the APA to regulate solicitations of endorsements from people who are “vulnerable to undue influence” because of their condition and bar the solicitation of testimonials from current psychotherapy patients.

The commission voted 5 to 0 to approve the agreement. A consent agreement is for settlement purposes only and does not constitute admission of a law violation.

A spokesman for the APA could not be reached for comment on the agreement.