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++++++++++++++++++++++++ + + ++++++++++++++++++++++++ BUSINESS SECTION +++ +++ It's Official: By Joseph J. Feltes, JD L IKE A CHIMERA in the closet, or the plague, the so-called "corporate practice of medicine," for years, was something to be avoided at all costs. The doctrine prohib- its hospitals and non physician-owned corporations from directly employing physicians to provide professional medical services. Lawyers counseling physicians and hospitals alike warned that those engaged in the prohibited corporate practice of medicine risked severe sanctions, including adverse actions against medical licensure and even potential criminal prosecution. Consequently, lawyers advised clients on how to circumvent transgression through the construction of baroque trust and management arrangements. Ohio was one of many states that historically prohibited the corporate practice of medicine. Ohio adopted the doctrine based on a 1936 Ohio Supreme Court decision and two Attorney General Opinions from 1952 and 1962. These opinions basically held Ohio's Prohibition Against the Corporate Practice of Medicine is Dead! that public or not-for-profit hospitals may not lawfully engage in the practice of medicine, and any physician employed by a hospital under such an arrangement could be found guilty of unprofessional and dishonest conduct. Over the years, other states began abandoning the prohibition as being outdated. In Ohio, few could remember the last time legal action had been taken against a hospital and doctor under these hoary opinions. Yet, the law was "still on the books," despite the subsequent adoption in 1998 of Ohio Revised Code, Section 4731.226 ("Authorized Forms of Business Entities for Providing [Medical] Services"), and no one wanted to become a test case. Adding to the uncertainty, the State Medical Board of Ohio coyly had remained silent on the matter. Until recently. On March 15, 2012, the Board issued its long-awaited statement that: "Ohio law does not prohibit an Ohio licensed physician from rendering medical services as an employee of a corporation or any other form of business entity," which finally drove a stake into the heart of a law that had refused to die. Accordingly, physicians now may render medical services as employees of for-profit corporations, limited liability companies, partnerships, professional associations, non-profit corporations, foundations, public hospitals and any other business entity authorized under Ohio law. The Board concluded by admonishing physicians that: "No matter the business entity, a physician must exercise professional judgment to render medial services based on the best interest of the patient and within the minimal standards of care of similar practitioners under the same or similar circumstance." Joe Fel tes i s an at torne y wi th Buckingham, Doolittle & Burroughs in Canton and a member of its Health & Medicine Practice Group. He is also the managing partner of Buckingham Canton and was recently named "2012 Health Care Lawyer of the Year" in the Akron/Canton region by Best Lawyers of America. ■ 34 | Cleveland-Akron-Canton MD NEWS ■ MDNEWS.COM ■ SEPTEMBER-OCTOBER 2012