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Medical foundations: one model for hospital-physician alignment
Authors:Feldman Joan W
Institution:Shipman & Goodwin LLP, Harford, CT, USA. jfeldman@goodwin.com
Abstract:Some states that enforce a corporate practice of medicine prohibition have created medical foundation statutes allowing hospitals or health systems to own corporations providing physician services. Medical foundations may be useful in the coordination of care through employed or contracted physicians. Medical foundations that qualify as a tax-exempt entities have lower risks associated with tax-exempt rules as long as payments to physicians are reasonable and don't result in private inurement.
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