Business Entities: Proprietorships, Partnerships, & Corporations
Module 7a
Forms of Organizational Ownership
Proprietorship
Partnerships
Corporation
Corporation’s major advantage
Corporations (con’d)
Not-for-profit organizations
Not-for-profit organizations
Non-profits (con’d)
Special Issues for Non-profits and Federal Income Tax Exemption
Special Federal income tax exemption issues for non-profits
Other legal benefits of corporate form of ownership
Administrative Agencies
Module 7b
What is an Administrative Agency?
Authority of administrative agency and rules depends on legislation that enacted the authority
Courts can invalidate rules
Applications: OSHA as example
Are there any limits on administrative agencies like OSHA?
OSHA ruled on by the Courts
General rules on Administrative Agencies
DHHS example
DHHS/ Good Samaritan Hospital v. Shalala
Good Samaritan Hosp. v. Shalala
Regents Hospital (1986)
Conclusions
Appendix: Summary of General Rules Governing Administrative Agencies and Provider Organizations
Rules Governing Administrative Agencies and Provider Organizations
Government Regulation of Health Care Providers and Payers
Module 7c
Government regulation of providers
Governments routinely implement established, non-controversial regulations, including
Constitutional Constraints on Government Regulation of Health Care
States allowed wide latitude in regulating where fundamental rights are not involved.
Licensing does not interfere with fundamental rights
Physician has no fundamental right to be a physician
Providers have no constitutionally protected property interest as a provider. No right to be in particular business or activity.
Police powers of states usually upheld.
Political Restraints on Government Regulation
of Health Care
Constitutional Constraints on Government
Constitutional Constraints
Extent of Government Regulation of Providers
Constitutional Constraints
Constitutional Constraints
Constitutional Constraints of Government Regulation
Constitutional Constraints
Constitutional Constraints on government regulations
(Slides developed using Wing’s The Law and the Public’s Health, 7th ed. 2007)
Antitrust Laws:
Government Enforcement of Competition
Module 7d
Federal Antitrust Legislation
Interstate Commerce Act (1887)
Sherman Antitrust (1890)
Prohibited two or more organizations concerting to substantially place restraint on trade
Felony to monopolize using unfair competition
Clayton Act 1914
Judicial Recognition of Applicability of Antitrust Laws to Healthcare
Ruling on Violations of Sherman
Mergers, con’d
Courts make no distinction whether “not for profit” or “for profit” or if a healthcare organization when determining antitrust violations in mergers.
Updated 7/10/20