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“Health care operations” include business management and general administrative operations of the entity, including the sale, transfer, merger or consolidation of all or part of the covered entity with another covered entity. This is permitted because the buyer, as a business associate, is using the PHI from the seller for “health care operations”, a permitted use under HIPAA. PHI) with the buyer pursuant to a HIPAA-compliant Business Associate Agreement. Furthermore, the seller is permitted to then share his or her patient files and medical records (i.e. This can be accomplished by ensuring there is either a holdover of the old practitioner within the new practice–as an employee or an independent contractor. Sharing Patient Files and Medical Records through Business Associate AgreementĪs the above transition is unavoidable, buyers and sellers can and should embrace it. Unfortunately, this often leads to the sale of the practice taking much longer than what might be within the parties' expectations. As such, when moving forward with a contemplated sale of practice, it is important that the mechanics of informing patients of the contemplated sale and providing them the option to choose their own provider is incorporated into the timing of the transaction.
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Specifically, medical records and other personal health information should not be transferred to another health care practitioner or practice without the patient’s informed consent. Pursuant to state and federal regulations, patients must be given the option to choose another health care provider and/or have a copy of their medical records sent to the physician of their choice. Namely, you need to be aware of the requirements for patient consent of the transfer of files and HIPAA Compliance. However, in addition to the traditional machinations of such a transaction, you will need to receive consultation from an attorney aware of additional aspects of the healthcare profession that make the sale of a practice more difficult.
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#Hipaa compliance forms for patients in california verification#
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When considering the sale of your healthcare practice (regardless of whether you are a physician, physical therapist, dentist, optometrist, etc.), you will undoubtedly be confronted by a litany of questions: