Telemedicine & Corporate Practice of Medicine

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					         Telemedicine
& Corporate Practice of Medicine
         2012 ATA Annual Meeting




         Alexis S. Gilroy, J.D.
            April 30, 2012
  On-Going Legal Hurdles for Telemedicine

 Licensure

 Prescribing medication without in-person exam

 FDA/Medical Device

 Credentialing and Privileging

 Privacy and Data Security (HIPAA & HITECH)

 Intellectual Property (Who owns the data?)

 Reimbursement Coverage

 Malpractice/Supervision…….AND
     Corporate Practice of Medicine &
     Splitting Fees with Professionals
One without a license by the medical board has
  no professional rights, privileges or powers
and therefore may not engage in the practice of
 medicine directly or indirectly by employing
            licensed professionals.

Some States prohibit fee-splitting or revenue-
         sharing with physicians.

  Long-standing exemptions in most States
             include hospitals.
        Where do the States Stand?



•Around 30 States have some form of CPOM or
 fee-splitting prohibitions

•Some States are notably active with enforcing
 CPOM requirements—NY, CA, NC, TX
          So, What's the Big Deal?


                             Free-Trade &
   Protecting a              generation of
     Licensed               better business
  Professional's     Vs.      economics
   Integrity for            within delivery
 Decision-Making             of Healthcare

     So, can we let professionals focus on
healthcare while others handle business issues
       Potential Corporate Relationship with
                Professional Entity*
-Professional                              Management                                    -Equipment
  Services                                  Company                                      -Administrative
-Oversight for
                                                                                         -Scheduling
  Professional
  Staff                                                                                  -Contract
                                                                                           Negotiation
-All Clinical
  Decisions                                                                              -Billing
                                                                                           Coordination
                                            Professional
                                               Entity
 Documentation must carefully maintain corporate separateness and
  each party's responsibilities in an arms-length manner.
 *Corporate Practice of Medicine evolves and states differ widely in enforcement and doctrine. This slide is for
 demonstration purposes only.
      Practical Issue to Consider


•Corporate Structure
•Contractual Relationships
•Reimbursement/Payor Enrollment
•Bank accounts
•Insurance Coverage
•Employer/Contractor of Professionals
 (including Nurses & NPs)
•Medical Records
Contact for Additional Information



           Alexis S. Gilroy
Nelson Mullins Riley & Scarborough
     101 Constitution Ave., NW
      Washington, DC 20001
           (202) 712-2893
 Alexis.gilroy@nelsonmullins.com
        Twitter: EHealthLaw

				
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