The business of providing health care presents special issues unique to health care providers. Health Care providers must contend with the benefits and burdens of third party payment arrangements and all that involves. For example, the federal Office of Inspector General (OIG) within the Department of Health and Human Services has the primary enforcement responsibility for investigating health care fraud. On September 25, 2000, the OIG issued the "Compliance Program Guidance for Individual and Small Group Physician Practices." The compliance program statement on voluntary compliance plans for individual and group physician practices is intended to help physicians'offices develop a plan to "identify both erroneous and fraudulent claims and help ensure that submitted claims are true and accurate." Federal law for hospitals, nursing homes and various other health care providers requires compliance plans. Previously, physician's offices have not been subject to any federal oversight of its compliance with the federal billing requirements. The implementation of the federal guidance publication subjects physician offices to that oversight.

Just like any business, the right type of business entity must be created to accomplish one's goals. Whether your business will be a partnership, sole proprietorship, corporation, a limited partnership, or a limited liability corporation (LLC) depends upon many factors such as the nature of the business, the number of individuals who will have ownership, how profit and liability will be shared and tax considerations. We can advise you about the benefits and drawbacks of the various types of formations and how to best achieve your goal. Leases or purchases of office space will be made and often, leasing or other financial arrangement will have to be created for equipment acquisition. Employment contracts including restrictive covenants or other special contractual considerations unique to professional or personal service arrangements may be warranted. Personal counsel in the event of malpractice claims, coverage issues and contract disputes is a necessity. We can help.

This information should not be considered legal advice and is not intended as a substitute for consultation with an attorney