Pending Oregon Law Undermines Traditional Physician Practice Structure

By , and on March 14, 2024

In an apparent attempt to shield physician practices from perceived abuses of close association with physician practice management (PPM) companies, a pending Oregon law could undermine a broad range of structures and transactions between physicians and laypersons, including loans, real estate leases, practice sales, national virtual care platforms, investor sponsored practice roll-ups and payor-provider joint ventures.

Oregon House Bill 4130 prohibits several relationships and control structures which would materially constrain the typical PPM structure utilized by hospitals, private equity sponsors, virtual care providers, managed care companies and others to create a more integrated approach to care delivery, to take advantage of efficiencies and, in many instances, simply to operate.

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Dale C. Van Demark
Dale C. Van Demark advises clients in the health industry on strategic transactions and the evolution of health care delivery models. He has extensive experience in health system affiliations and joint venture transactions. Dale also provides counseling on the development of technology in health care delivery, with a particular emphasis on telemedicine. Dale has been at the forefront of advising clients with respect to the globalization of the US health care industry. He advises US and non-US enterprises with respect to the formation of cross-border affiliations and international patient programs. In addition to writing regularly on matters related to his practice, Dale has spoken at numerous conferences around the world on the globalization of health care. Read Dale Van Demark's full bio.

Patrick Zanayed
Patrick Zanayed represents private equity funds, telehealth start-ups, strategic investors, ambulatory surgery centers, behavioral health facilities and physician practices in a variety of transactional and regulatory matters. Read Patrick Zanayed's full bio.

Joel Rush
Joel C. Rush has a national practice that focuses on transactional and healthcare regulatory matters affecting healthcare companies, including mergers and acquisitions, strategic affiliations, and joint ventures. Joel serves principally as counsel to private equity funds, public and private companies, physician practices, hospitals, and strategic investors in connection with a wide range of transactional, regulatory and corporate structure and governance matters. Joel is able to leverage his transactional background and deep health regulatory experience to provide seamless legal counsel regarding the complex strategic and operational issues facing healthcare providers and investors. Joel is a practice area leader for the PPM practice. Read Joel C. Rush's full bio.




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