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In the state of California it is unlawful for anyone that

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doesn’t hold an active CA...
In the state of California it is unlawful for anyone that doesn’t hold an active CA chiropractic license to own a chiropractic practice. What are some options for business structure when a non-licensed person owns a facility and they want to employee a chiropractor at their facility? Looking for advise as the chiropractor/employee.
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Submitted: 4 months ago.Category: Legal
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Answered in 18 minutes by:
7/23/2017
Lawyer: Legal Eagle, Lawyer replied 4 months ago
Legal Eagle
Legal Eagle, Lawyer
Category: Legal
Satisfied Customers: 6,032
Experience: Licensed to practice before state and federal court
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Hello! I am a licensed attorney, admitted to practice in state and federal court. I have a nearly 100% satisfaction rating so all that means is that you can count on me to help today. The answer To your question is yes, it is unlawful. The Medical Practice Act, Business and Professions Code section 2052, provides:

"Any person who practices or attempts to practice, or who holds himself or herself out as practicing...[medicine] without having at the time of so doing a valid, unrevoked, or unsuspended certificate...is guilty of a public offense."

Furthermore, the state of California Says that the corporate practice of medicine is prohibited. Thus, if somebody comes in from a business perspective then they will not be able to open up the chiropractor's office. What are the things that somebody who wants to open up a chiropractor's office is that they need to work with a chiropractor and then be a “consultant” to the chiropractor as well so that way the chiropractor can still be in charge of the decisions without there being the unlicensed practice of Medicine by that person.

Follow up questions are free, so please feel free to ask away. You can also click here in the future to request me individually. If you don’t have any additional questions, were you satisfied with my service today?

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Customer reply replied 4 months ago
If the company is an LLC and I (the chiropractor) become an Professional medical corporation would a contract be able to be constructed joining the two corporations that also establishes compensation?
Lawyer: Legal Eagle, Lawyer replied 4 months ago

The company traded do that, but you would have to be the one in control because you are the one with the license. The Medical Practice Act prohibits the LLC from making any decisions or having any control. They can help manage the business, but that would be the extent of it. The chiropractor would have to be the one in control

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Customer reply replied 4 months ago
I understand. Is a contract that is broadly set up like this a possibility; containing the specific management services that the company will provide the chiropractor and any compensation either way?Is there any special considerations to be taken when forming both the companies LLC and the chiropractors professional management corporation? In your opinion are these the correct types of corperations to use in regards ***** ***** above mentioned contract?
Lawyer: Legal Eagle, Lawyer replied 4 months ago

Yes, it is a possibility, so long as you are the one in charge of the decisions. If you could delineate who is in charge of what decisions (i.e. patient care decisions), then you will be within the MPA. I believe that ain't LLC would be fine to do this. With attorneys is the same way. Attorneys often create professional corporations that provide a certain layer of protection from lawsuits. So, I would recommend perhaps sitting up your own LLC as a chiropractor and then combining with the other LLC to have the other LLC take care of certain management functions.

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Customer reply replied 4 months ago
Can you provide me with what type of Attorney I should look for when it is time to assemble the contract?
Lawyer: Legal Eagle, Lawyer replied 4 months ago

One of the hardest things to do sometimes is find a lawyer that you can trust. Google searches are a good place to start, but usually the lawyers who pay the most can get bumped up to be on the first page regardless of their quality. One thing I recommend is going through your state’s lawyer referral service (LRS). The LRS in each state typically requires the attorney to have several years of practice, be free of discipline, and have adequate staffing to assist people. Here is the link for the California LRS - click here.

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