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Case Law Update: Contractual Provisions in Medical Practicing Act

Keeple and Company v. Cardiac, Thoracic and Endovascular Therapies, No. 3-09-003 (12-16-09) affirmed that a fee-sharing provision in a contract between a medical clinic and a medical billing company violated the Medical Practice Act, and as it was an essential part of contract, the remaining provisions of the contract are not severable from the unenforceable provision. The court found that the nonsolicitation clause which prohibited the clinic from soliciting billing company’s employees was thus void and unenforceable. This case will impact medical malpractice law.