CORPORATE PRACTICE OF MEDICINE ACT

SB 450, the "Corporate Practice of Medicine Act," prohibits health care entities (like hospitals, management companies, and staffing firms) from interfering with doctors' clinical decisions, such as treatment choices, patient referrals, or staffing decisions based on clinical skills. It specifically forbids entities from controlling medical records, billing procedures, or hiring/firing health care providers. Individuals harmed by violations can sue for damages, and the Attorney General can enforce the law through court actions. The bill, introduced by Senator Antoinette Sedillo Lopez, was postponed indefinitely in June 2025 and would have taken effect July 1, 2025, if passed.