Forming Physician Multispecialty Group Practices: Key Legal Considerations

Evaluating Compensation Models, Negotiating Business Contracts, and Complying With Federal and State Laws

Recording of a 90-minute CLE webinar with Q&A

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Conducted on Thursday, January 24, 2019

Recorded event now available

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Course Materials

This CLE course will provide healthcare provider counsel with a review of critical legal issues involved in forming physician multispecialty group practices, including applicable laws and regulations and business considerations. The panel will offer guidance on structuring the arrangements and negotiating key contracts.


Physician multispecialty group practices have grown in popularity due to changes in the law, reimbursement pressures and capital constraints. Because forming multispecialty groups are complex transactions involving significant risk, careful planning and execution are critical.

When structuring multispecialty group practices, counsel to healthcare providers must carefully consider tax and benefits issues, the implications of adding physicians through mergers and acquisitions, and Stark law compliance requirements.

Listen as our authoritative panel of healthcare attorneys explains essential legal considerations when forming multispecialty group practices, including applicable laws and regulations. The panel will discuss best practices when selecting the appropriate legal entity for the business, negotiating deal terms and employment contracts, and establishing compensation models that comply with Stark law.



  1. Group formation
    1. Selecting the appropriate legal entity
    2. Tax issues
    3. Benefits issues
  2. Adding physicians through mergers and acquisitions
    1. Determining the purchase price
    2. Deal terms
    3. Physician employment contract issues
    4. Promoting associates to partners
  3. Stark law and compensation models: compensation for professional services
    1. Compensation for ancillary services
    2. Use of care centers and practice divisions
  4. Hospital, private equity or other non-physician participation
    1. Corporate practice of medicine and fee splitting
    2. Management arrangements


The panel will review these and other relevant questions:

  • What are the principal legal and business concerns for physicians considering forming a multispecialty group practice?
  • What considerations should healthcare counsel weigh when selecting the appropriate legal entity for the business?
  • What compensation models have been most attractive or successful for group practices negotiating employment with physicians?
  • What particular concerns arise when there is a hospital, private equity or other non-physician participation in the group structure?


Empie, Derek
Derek E. Empie
Vice President – Legal Affairs & Systemwide Strategic Transactions
Indiana University Health

Mr. Empie provides a variety of legal services concerning contracts, acquisitions, and labor and employment issues.

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Strode, Roger
Roger D. Strode

Foley & Lardner

Mr. Strode's practice focuses on health care business transactions, including mergers, acquisitions, corporate...  |  Read More

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