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Should `Foundation' Be Exempt From Licensure By State?

The Regan Report on Hospital Law

| May 01, 1999 | TAMMELLEO, A. DAVID | COPYRIGHT 1997 Medical Law Publishing. (Hide copyright information)Copyright

CASE ON POINT: RIH Medical Foundation v. Nolan, 723 A.2d 1123 - RI (1999)

ISSUE: Is a medical foundation, wholly owned and controlled by physicians, exempt from licensure as a health care facility? Is the fact that it is wholly owned and operated by physicians, who are subject to regulation under state law, sufficient to exempt it from regulation as a health care facility? If so, should it be? That was the question with which the courts were confronted in this unusual Rhode Island case.

CASE FACTS: On December 12, 1989, the RIH Medical Foundation, Inc. (Foundation) was organized under the Rhode Island Non-profit Corporation Act for the purposes of engaging in the private practice of medicine, …

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