Appellate Victory

Lowis & Gellen's Appellate Practice Group won for a third time in December, this time for a physician involved in a contract dispute. The physician had entered into a professional services agreement with a corporation (which was not a licensed hospital), to provide medical services in an area surrounding the corporation. After approximately one year, the physician ended the relationship, and the corporation sued to recover over $100,000.00 it had paid the physician. The trial court dismissed the claim on the basis that the professional services agreement between the physician and corporation was really an employment agreement that violated the corporate practice of medicine doctrine and was therefore illegal. The corporate practice of medicine doctrine prohibits employment agreements between physicians and corporations that are not licensed hospitals. The corporation appealed, claiming the professional services agreement was not an employment agreement, but rather a loan agreement, and therefore not subject to the corporate practice of medicine doctrine. The Second District Appellate Court rejected the corporation’s argument and affirmed the trial court's decision. Like Lowis & Gellen’s other appellate victories this month, the court did not take oral argument on the matter, which meant the case was won on the strength of the brief. The trial attorney was Jerry P. Clousson and the appellate attorney was Patrick R. Moran.