Structuring Healthcare Management Arrangements: Corporate Practice of Medicine, Regulatory Compliance

This CLE course will provide guidance to counsel involved in structuring healthcare management arrangements. The panel will discuss the nuts and bolts of structuring the transaction, including solutions to the specific risks presented by the corporate practice of medicine and fee-splitting issues. The panel will also address regulatory compliance unique to the healthcare industry and compensation issues.

Management arrangements are deployed to manage nearly every healthcare entity, including physician practices, outpatient surgery, home health agencies, clinical laboratories, and rural hospitals. Physician practice management arrangements play a crucial role in states that have bans on the corporate practice of medicine. Many hospital systems have opened management companies to compete or partner with national for-profit chains.

Counsel must consider several factors unique to healthcare when structuring management arrangements, including the corporate practice of medicine and fee-splitting rules and prohibitions, as well as the Anti-Kickback Statute and other regulatory compliance requirements.

Counsel must also consider compensation and the determination of fair market value (FMV). Further, documentation of FMV is critical in arrangements where a healthcare facility and management services provider may generate referrals.

Listen as our authoritative panel of healthcare advisers examines healthcare management services. The panel will discuss the regulatory challenges, including AKS and Stark law compliance and corporate practice of medicine issues. The panel will also examine compensation, including FMV considerations. In addition, the panel will offer structural guidance.