You are a new physician in a family group practice and you are in a meeting with the owner of the practice. In this orientation, he stresses that all patient lab work is to be referred to BioLabs Inc. When you ask the office manager about this, she says, "Oh yes, Dr. Smithfire (the owner) is 50% owner in BioLabs, so we keep the business in the family."
Is this practice ethical or not ethical? Defend your answer based on the different type of ethical theories.