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  "docSlug": "ce565b841c40",
  "documentTitle": "Nevro Corp. (NVRO)",
  "authorId": "58_Scorpion_Capital",
  "authorName": "Kir Kahlon",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2021-01-07 00:00:00",
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  "notes": "This slide focuses on the legal/ethical risk of reps performing clinical duties.",
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      "text": "Nevro’s business model is predicated in our opinion on reps and other employees engaging in the unauthorized practice of medicine",
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      "text": "The second ex-executive stated that Nevro's reps and clinical specialists are “not health care providers in any way, shape, or form” but are “responsible for the care of patients.” He added that patients would be “pretty concerned” if they knew the credentials of these employees.",
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      "text": "Another of Nevro's highest volume implanters stated that he simply outsources patient care to reps if they still have pain. He stated that reps use x-rays to diagnose the patient and to re-program the device, and that if the rep fails, that a central call center – the “Therapy Optimization Team” – takes over.",
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      "text": "Two former Nevro executives detailed why “reps engaging in the practice of medicine has always been the concern,” suggesting that the risk is well-known inside the company. One stated that programming their device is so time intensive that its entire value proposition and business model are predicated on doctors outsourcing patient care to Nevro.",
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      "text": "Nevro's business model is predicated in our opinion on reps and other employees engaging in the unauthorized practice of medicine (cont'd)",
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      "kind": "list",
      "text": "A former Nevro executive described the role of the central team – and that of reps generally – in a manner we believe to be identical to the practice of medicine: having “a list of patients they were in charge of”; “high patient contact”; using trial and error to determine and direct the correct dosage of stimulation – we note that dosage goes to the heart of practicing medicine.",
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      "text": "“a list of patients they were in charge of”; “high patient contact”; “reps engaging in the practice of medicine has always been the concern,”; “not health care providers in any way, shape, or form”; “responsible for the care of patients.”; “pretty concerned” — Former Nevro executives",
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      "kind": "title",
      "text": "Scorpion Capital | Nevro (NYSE: NVRO)",
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      "text": "2. Summary of key findings",
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      "structure": "The Status Quo -> The Hidden Costs Accumulating -> The Future State of Inaction -> The Tipping Point",
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