AN ACT RELATING TO HEALTH AND SAFETY -- RHODE ISLAND BAN ON THE CORPORATE PRACTICE OF MEDICINE ACT

HB 7721 establishes Rhode Island's first statewide ban on the corporate practice of medicine, prohibiting non-licensed entities (like corporations or management services organizations) from owning medical practices or interfering with physicians' clinical decisions. It requires that medical practices be majority-owned and controlled by licensed physicians, with physicians holding the majority of voting shares, board seats, and key leadership roles. The law also bans restrictive contracts, noncompete agreements, and advertising by non-physician entities that could undermine physician autonomy over patient care. This directly affects medical practices partnering with corporate management entities, ensuring doctors maintain control over clinical operations, staffing, and patient care standards.