Author: Shardul Gaikwad

Business legal services in Silicon Valley

Legal Considerations Before Opening a New Medical Office Location in California

Opening a new medical office location is a major step for any California medical practice. A second or additional location can create new opportunities for growth, patient access, and revenue. At the same time, it can also create new legal, employment, lease, licensing, and operational risks. Before opening a new office, a medical practice should review its structure, contracts, employees, insurance, and compliance obligations. Here, our California business lawyer for medical practices highlights key legal considerations before opening a new medical office location.

Review the Medical Office Lease Before Signing

A new location usually starts with a commercial lease. Medical office leases should be reviewed carefully before they are signed. The lease should address permitted use, build-out obligations, tenant improvements, parking, signage, assignment rights, maintenance responsibilities, option to extend lease or early termination, and responsibility for compliance with applicable laws.

Medical practices should also consider whether the space is suitable for healthcare use. The lease should allow the specific services the practice intends to provide. A general office lease may not be enough if the practice needs exam rooms, specialized equipment, medical waste handling, imaging equipment, or other healthcare-specific uses. A California business attorney can help review the lease before the practice commits to the new location.

Confirm the Entity Structure Supports the New Location

Before opening another office, a California medical practice should confirm that its current business structure supports the expansion. Many physician practices operate as professional medical corporations. If the same entity will operate the new location, the practice should review its corporate documents, shareholder agreements, management authority, insurance coverage, and financial obligations.

If a separate entity will be used, the practice must consider whether that structure is legally appropriate. California’s corporate practice of medicine doctrine restricts who may own and control a medical practice. Ownership and management structures should be reviewed carefully so that the practice does not create compliance issues while trying to expand. California’s fictitious name permit rules may also apply when physicians or medical corporations practice under a name other than the name on the physician’s license or professional corporation name.

Update Employment Policies for Multiple Locations

Opening a new medical office can change how employees are managed. Medical practices should review employee handbooks, wage and hour practices, meal and rest break policies, timekeeping procedures, supervisor responsibilities, and reporting channels. California employment law is strict, and multi-location operations can create inconsistent practices if policies are not clearly documented.

The practice should also decide whether employees will work at one location or move between offices. If employees travel between locations during the workday, the practice should evaluate wage, mileage, scheduling, and timekeeping issues. Managers at each location should understand the same policies so that employment decisions are applied consistently.

Review Patient Records, Privacy, and Access Procedures

A new location can create patient record and privacy issues. Medical practices should decide how patient records will be accessed, stored, transferred, and protected between offices. If the practice uses an electronic health record system, it should confirm that access permissions, staff roles, and privacy safeguards are properly set up for the additional location.

The practice should also consider how patient communications, appointment scheduling, billing, and medical record requests will be handled. Inconsistent procedures between offices can lead to confusion and risk. Before opening, the practice should have clear internal procedures for records, privacy, and patient access.

Evaluate Insurance, Liability, and Vendor Contracts

A new medical office may require updates to insurance policies and vendor contracts. The practice should review professional liability coverage, general liability insurance, employment practices liability insurance, cyber coverage, workers’ compensation coverage, and property insurance. The practice should confirm that the new location is covered before seeing patients there.

Vendor agreements should also be reviewed. Billing companies, management services organizations, IT providers, cleaning services, medical waste vendors, equipment lessors, and supply companies may all need updated contracts. The practice should understand who is responsible for compliance, confidentiality, data protection, service failures, and termination rights.

Confirm Licenses, Permits, and Public-Facing Information

Depending on the practice and services offered, a new office may require updates to public-facing business information, permits, payer contracts, credentialing, signage, or professional listings. Medical practices should confirm whether any filings or updates are required before opening the new location.

This is especially important if the practice will operate under a trade name, brand name, or professional corporation name. The Medical Board of California explains that a fictitious name permit may be needed when a licensed physician, professional corporation, partnership, or group practice uses a name other than the physician’s licensed name in public communications, advertisements, signs, or announcements.

Contact Our Bay Area Business Lawyer for Medical Practices Today

Lynnette Ariathurai is a California business law attorney with experience advising medical practices, physicians, and healthcare businesses. If you have any questions about opening a new medical office location in California, reviewing a medical office lease, or structuring a medical practice expansion, we can help. Contact us today for a fully confidential consultation. With an office in Fremont, we work with medical practices throughout the San Francisco Bay Area, including Newark, Union City, Hayward, San Leandro, Milpitas, San Jose, Santa Clara, and the East Bay.

California medical practice expansion, healthcare business attorney, medical office lease, medical practice attorney, new medical office location

Succession Planning for California Medical Practices

The owners of California medical practices should have a comprehensive, well-considered succession plan in place. If something happens to any owner of the medical practice without a plan in place, it can create some very serious challenges. Navigating the transition is a lot easier with a proper business succession plan. Here, our California business law attorney for business owners provides a guide to succession planning for Bay Area medical practices.

Background: What is Business Succession Planning?

The United States Small Business Administration (SBA) explains that business succession planning is the process of preparing for the transfer of ownership and management of a business when an owner retires, becomes incapacitated, or passes away. Along with other things, a comprehensive business succession plan for a medical practice identifies future leadership, establishes a transition timeline, and addresses key legal, regulatory, and financial issues tied to the change in control.

Physician Ownership Restrictions in CA are Key to Medical Practice Succession Planning

Succession planning for a California medical practice must always begin with the state’s corporate practice of medicine doctrine. California law restricts ownership of professional medical corporations to licensed physicians and certain other licensed healthcare professionals. These rules appear in the Moscone-Knox Professional Corporation Act. A transition plan must ensure that ownership always remains compliant with these requirements. If a physician owner dies, becomes disabled, or retires, the practice must transfer the ownership interest to a qualified licensed professional. That needs to be addressed within your business succession plan.

Buy-Sell Agreements for Medical Practice Ownership

A comprehensive succession plan for a medical practice will often include a buy-sell agreement governing ownership transfers. It is this type of agreement that establishes the legal mechanism for transferring shares when a triggering event occurs. The most common “triggers” are death, disability, retirement, voluntary departure, or the loss of a professional license of an owner.

A buy-sell agreement must be properly drafted. It should clearly define the valuation methodology used to determine the purchase price of the departing physician’s ownership interest. It should also identify the funding mechanism used to complete the purchase. Many medical practices rely on disability insurance or life insurance policies to fund ownership buyouts.

Full Compliance With California’s Corporate Structure Rules is a Must

Most physician groups in California operate as professional medical corporations (PCs). Succession planning must address the governance and ownership rules that apply to these entities. Only individuals licensed to practice medicine may hold shares in a medical corporation, though limited exceptions exist for certain allied professionals. When a physician shareholder leaves the practice, the corporation must ensure that the shares transfer to a properly licensed successor. A California business lawyer for medical practices can help.

Contact Our Bay Area Business Lawyer for Medical Practices Today

Lynnette Ariathurai is a California business law attorney who has extensive experience working with medical practices. If you have any questions or concerns about succession planning strategies for a medical practice in California, please do not hesitate to contact us today for a fully confidential consultation. With an office in Fremont, we work with medical practices throughout the entire San Francisco Bay area.

business planning, business succession plan, healthcare agency succession plan

Defending Employers: What to Do Before Employee Files a Claim

Most employer liability problems start small. An employee complains and the employer either reacts too slowly or improperly. That can risk serious problems. As an employer, the best way to address a complaint from an employee is to act before there is a formal claim. A fair, unbiased and proactive approach is the best approach. Here, our California employment lawyer for preventing claims highlights the steps that you can take before a claim is filed.

Step 1: Treat Every Employee Complaint Seriously

Employee complaints can never be viewed as frivolous. Do not debate labels at the outset of the process. To comply with California law, all employee complaints should be treated seriously and investigated properly. A complaint about unfairness can become a retaliation claim if it relates to discrimination, wages, safety, leave, or other protected conduct. The right mindset can go a long way towards helping employers resolve these problems.

Step 2: Acknowledge Receipt of the Complaint in Writing

A fair, unbiased and responsive approach to an employee complaint is a must. Make sure to confirm, in writing, that you received the complaint. As part of that written confirmation, it is a best practice to provide an (approximate) timeline and overview of next steps.

Step 3: Get a Timely Statement from Relevant Parties

Ask the employee for a written statement or take a signed intake memo. Lock down dates, locations, witnesses, what was said, and what the employee wants as a remedy. Ask about documents, texts, or photos. Do not pressure the employee to “keep it informal.” That posture can backfire later.

Step 4: Preserve Evidence; a Key Step for Employers

Issue a narrow preservation notice. Suspend deletion for relevant custodians. Pull time records, schedules, productivity reports, Slack or Teams messages, and security footage before it cycles out. If wage and hour issues appear, audit timekeeping practices immediately. Fixing a process now can reduce ongoing exposure, and document the business reason for any change.

Step 5: Put Interim Guardrails in Place as Appropriate

The California Fair Employment and Housing Act (FEHA) strictly prohibits retaliation. As an employer in the Bay Area that is facing an employee complaint, you should avoid any appearance of retaliation. It is important to put interim guardrails in place as appropriate given the specific circumstances. An employee cannot lawfully be punished for raising a complaint, even if it turns out later to be unfounded.

Step 6: Run a Structured Investigation with a Defined Scope (a Lawyer can Help)

Employers should define the allegation, the policy at issue, and the time window. A comprehensive overview of the case can help to resolve the issue. Among other things, it is the best practice to build an interview list. The investigation must be fair and unbiased. Employers should generally start with the complainant, then witnesses, then the accused. A fair and unbiased interviewer should ask the same core questions in each interview. Take notes that capture facts. Who should conduct the investigation? That is often best left to the overview of a California employment lawyer.

Speak to Our California Employment Lawyer for Employers Today

Lynnette Ariathurai is a California employment attorney for employers who is committed to solutions-driven representation. If you have any questions about how to prevent employee claims, please do not hesitate to contact us for a completely confidential, no obligation case review. From our Fremont law office, we provide employment representation to employers throughout the Bay Area.

Employee claims, employee discrimination claims, employee harassment claims, employee retaliation claims

Defending Employers in Medical Practices: What to Do Before an Employee Claim is Filed

Owning and operating a medical practice is complicated. A wide range of issues can arise. Employee complaints have the potential to be amongst the most damaging to employers. A fair, unbiased and proactive approach is a must. Lynnette Ariathurai is a California business lawyer who helps medical practices protect their interests before claims are filed. Here, our California employment attorney for preventing claims provides a step by step guide to what medical practices can do before an employee claim is filed.

Step 1: Accept the Complaint, Evaluate it, and Ensure Patient Care Does Not Suffer

Medical practices should start by classifying the complaint. Does it allege harassment, discrimination, retaliation, wage and hour violations, leave, safety violations, or another type of issue? It is important to understand what is being alleged. Medical practices should flag anything that could involve protected activity, protected leave, or protected class status. They should also flag anything that could implicate patient records, EMR access, or patient communications. Patient care cannot be allowed to suffer while the complaint is being addressed.

Step 2: Make Sure that Sensitive Patient Information is Protected

The Health Insurance Portability and Accountability Act (HIPAA) strictly protects the confidentiality of patient medical information. If the employee complaint involves charts, messages, photos, recordings, or access logs, restrict access on a need-to-know basis. Medical practices should not circulate screenshots and they should not “share for context” in group chats. Instead, they should preserve audit trails for EMR access and messaging systems. If you use outside HR or counsel, plan how you will disclose records as appropriate.

Step 3: Consider a Litigation Hold Tailored to Medical Systems

Medical practices facing an employee complaint in California may want to send a written preservation notice. Among other things, it can include email, texts, scheduling platforms, EMR audit logs, call recordings, camera footage, and patient messaging tools. You should coordinate with your EHR vendor if the system overwrites logs on a short cycle.

Step 4: Implement Interim Measures as Appropriate Without Punishing the Employee

You can adjust schedules, supervision, or patient assignments to reduce conflict while you investigate. However, medical practices should strictly document the business reason for doing so. It is important to avoid any appearance of retaliation. Things like pay cuts, hour reductions, or punitive reassignments could be an independent violation of the law. In other words, retaliation could give an employee the ability to bring an additional claim.

Step 5: Choose an Investigator Who Understands Medical Operations

A fair, comprehensive, unbiased, proactive investigation of an employee complaint is required. Medical practices should pick someone who is fair and reasonable, and can interview clinicians and staff without getting pulled into clinical debates. If the complaint involves a physician owner, a lead MA, or a practice manager, it is strongly recommended to consider an outside investigator.

Step 6: Be Ready to Get Professional Legal Representation

Employee complaints are complicated. Knowing what to do before a complaint is formally filed can go a long way to protecting the best interests of the medical practices. An experienced California employment lawyer for employers can review your case, answer your questions, and help you develop a strategy to resolve the matter most effectively.

Contact Our California Employment Lawyer for Medical Practices Today

Lynnette Ariathurai is a California employment attorney who has the knowledge and experience that medical practices can rely on. We put employers first. If you have any questions about what to do before an employee claim is filed against your medical practice, please do not hesitate to contact us today. With an office in Fremont, we provide employment law services to medical practices throughout the Bay Area of California.

Employee claims, employee discrimination claim, employee harassment claim, employee retaliation claim

MSAs for Medical Practices in California: Uncover Hidden Costs and Minimize Risk

Do you own and/or operate a medical practice in California? If so, you may be considering entering into a medical services agreement (MSA). Broadly explained, these are contracts between a professional practice and a third party company that offers administrative/business services. An MSA can be a useful tool for a medical practice in California, but it needs to be properly structured. Here, our Fremont business lawyer for medical practices provides a guide to MSAs in California.

What is a Medical Services Agreement (MSA)?

An MSA is a contract between a licensed medical practice and a third party management and/or administrative services company. The agreement allows the non-medical entity to handle business functions such as billing, human resources, accounting, marketing, facilities management, and technology systems. At the same time, the professional medical corporation (PC) retains control over all clinical decisions.

In California, these arrangements must be carefully structured to comply with the state’s Corporate Practice of Medicine (CPOM) doctrine. The law prohibits non-physicians or unlicensed entities from owning, managing, or influencing medical decision-making. The Medical Board of California enforces strict boundaries to ensure that only physicians direct patient care.

Why Medical Practices in California Enter into MSA

Many professional medical practices in California enter into MSAs. At their best, these agreements can help to make business operations more efficient and reduce administrative burdens. Running a compliant and profitable practice in California requires substantial time and resources unrelated to patient care. A management company can provide economies of scale by handling functions such as insurance credentialing, revenue cycle management, and payroll. MSAs also allow smaller practices to access advanced systems (such as electronic health records (EHR) management) that they may not be able to reasonably afford independently.

Be Prepared: Know the Hidden Costs and Risks of MSAs

Despite their benefits, MSAs carry significant legal and financial risks. The most common problem arises when an agreement crosses the line into impermissible control over medical decision-making. If an MSO sets physician compensation, directs clinical staffing, or influences patient scheduling, regulators may find a CPOM violation. Here are key points to know:

Hidden financial risks: In many cases, MSAs can conceal substantial costs. Flat fees, revenue-sharing provisions, and performance bonuses tied to patient volume may violate federal and state anti-kickback or fee-splitting rules.
Data privacy and HIPAA liability: Because MSAs often manage patient billing and records, they may become business associates under HIPAA (45 C.F.R. §160.103). A proper business associate agreement (BAA) must accompany the MSA.
Unfavorable contract: Some MSAs include restrictive termination clauses or automatic renewal terms that leave the physician practice trapped in a long-term agreement. It is imperative that any MSA is drafted and/or reviewed by an attorney.

Speak to Our Fremont Employment Lawyer for Employers today

Lynnette Ariathurai is a California business attorney who has considerable experience representing medical practices. If you have any questions or concerns about MSAs, we can help. Contact us today for your completely confidential consultation. From our Fremont office, our team provides business law services to medical practices throughout the Bay Area.

business associate agreements, medical services agreements, MSA costs, MSA risk

How California Employers Can Protect Themselves from Wage and Hour Claims

California has some of the most comprehensive wage and hour regulations in the entire country. All businesses and organizations that operate in California must comply with both federal and state wage and hour laws. A proactive approach is one of the keys to preventing claims. Here, our Fremont employment lawyer for preventing claims highlights best practices companies and organizations can use to protect themselves against wage and hour liability.

What Employers Should Know About Wage and Hour Laws in California

Wage and hour laws regulate worker hours, pay, and benefits. A key thing for employers in the Bay Area to know is that California’s wage and hour laws are among the most employee-protective in the country. Employers must comply with the federal Fair Labor Standards Act (FLSA), the California Labor Code, and all applicable Industrial Welfare Commission (IWC) Wage Orders. Here are some of the key requirements:

Employers must meet the state or local minimum wage
Employers must provide required meal and rest breaks
Employers must provide proper overtime compensation

California’s Labor Commissioner (DLSE) actively enforces wage and hour rules. Employees can file administrative wage claims or pursue civil actions for unpaid wages, missed breaks, or overtime violations. The state’s Private Attorneys General Act (PAGA) empowers employees to bring wage and hour claims against employers on behalf of similarly situated workers. Employers found in violation could face liability for unpaid wages, liquidated damages, penalties, and attorney’s fees

Best Practices for Employers to Prevent Wage and Hour Claims

1. Maintain Accurate Time-Keeping Systems

Time-keeping matters. You should use reliable, verifiable systems to record all hours worked, including start and end times, meal breaks, and off-the-clock work. Even small violations of time-keeping regulations can lead to serious liability.

2. Review Worker Classifications

Workers in California must be properly classified. Employers should confirm that exempt employees meet both the salary basis and duties tests. A company that misclassifies a worker, including improperly classifying them as an independent contractor, could face a wage and hour claim.

3. Implement Comprehensive Written Policies

Many employers in California can benefit from comprehensive written wage and hour policies. You should provide clear, accessible policies regarding overtime authorization, breaks, and other relevant procedures.

4. Train Supervisors and Managers

Proactive training of supervisory employees can help. Supervisors, managers, and the HR department (if there is one) must understand how wage and hour violations occur.

5. Conduct Regular Audits of Wage and Hour Policies

Finally, employers in California can prevent wage and hour claims by conducting regular, comprehensive audits of their wage and hour policies. An employer lawyer for employers can help.

Speak to Our Fremont Employment Lawyer for Employers today

Lynnette Ariathurai is a California business lawyer with extensive experience representing employers. If you have any questions or concerns about how to prevent wage and hour claims, please do not hesitate to contact us today for a fully confidential consultation. With an office in Fremont, we provide legal services to employers throughout the San Francisco Bay Area.

California wage and hour regulations, employer wage and hour policies, worker classification

Employer Guide – Protection and Guidelines

Employment law is complicated. California has among the most comprehensive, worker-friendly employment laws in the entire country. Employers must be in full compliance with the law. A proactive approach to labor and employment compliance can help businesses and organizations reduce their risk of liability. Lynnette Ariathurai is a solutions-focused California employment lawyer. If you have any questions about employment protections or employment guidelines, please do not hesitate to contact us for a fully private, no obligation consultation.

We Provide Legal Protection to Employers in California

Employer Representation

We are committed to representing employers in employment law matters. Our firm can help you develop workplace policies, employee handbooks, required training, and employment contracts to reduce your risk of legal/liability exposure. We also defend employers against federal and state claims, including discrimination, harassment, wage and hour disputes, and administrative complaints. Employers can rely on our proactive legal counsel.

Preventing Employee Claims

The best way to deal with employee claims is for the employer to prevent them from arising in the first place. A proactive approach can make the difference. We help employers in the Bay Area understand the ever-evolving state and federal requirements so that they remain fully compliant. Preventive support limits future lawsuits and preserves resources. If you have any questions about how to develop the right policy to prevent a claim from an employee, our attorney is here as a resource.

Defending Employee Claims

Even if your company does everything the right way, the employer could still face a claim from an employee. California employers face many types of employee allegations, from EEOC and Labor Commissioner complaints to attorney letters and lawsuits. We defend employers against federal and state claims, including discrimination, harassment, overtime, and leave disputes. Facing liability in an employment law claim has the potential to be very costly for an employer. If you have any questions about how an employer can deal with a claim from an employee, our California attorney is here to help.

Handling Discrimination Claims

California strictly enforces anti-discrimination laws. We help Bay Area employers with preventing, responding to, and resolving discrimination claims under federal and California law. Employers must understand Title VII and FEHA obligations to avoid protected-class discrimination legal exposure. Our California employment lawyer can review allegations, conduct impartial investigations, and advise employers on defense strategy.

Termination of Employees

Terminating an employee can be complicated. Even if it is “for cause.” California employers must follow strict rules when terminating employees. Our business law firm advises companies and organizations on lawful termination procedures that reduce risk under state and federal law. Guidance covers documentation, performance records, final pay requirements, wage statements, and timing obligations.

Contact Our Fremont Employment Lawyer Today

Lynnette Ariathurai is an experienced California employment lawyer. If you are an employer with questions about your rights or your options, we are here to help. Contact us today for a completely confidential, no obligation initial consultation. With an office in Fremont, we provide employment law representation throughout the region in California.

California employment law, employer liability, employer risk, employment law

Medical Practices – Protection

Building, growing, and operating a successful medical practice in California is complicated. It is imperative that your professional practice has the right legal structure in place. Lynnette Ariathurai is a top-rated business law attorney for medical practices. If you have any questions about legal protections for medical practices in California, we can help. Contact us at our Fremont law office for a fully confidential, no commitment initial case evaluation.

Our Business Lawyer Helps California Medical Practices Protect their Interests

Structuring a New Group Medical Practice

All group medical practices in California need the right legal foundation. Otherwise, they could face serious issues. Setting up a group medical practice requires more than clinical expertise: It demands careful legal planning to protect your investment and define roles. Our Fremont business lawyer for medical practices helps practitioners choose an appropriate business entity, determine ownership shares, and establish compensation and control rights. We also guide clients on exit mechanisms and dispute resolution processes so transitions happen smoothly.

Incorporating a Medical Practice

In California, doctors and medical professionals face unique rules for structuring a practice under the state’s professional entity laws. Incorporation as a professional corporation often provides liability protection for business obligations and may offer tax advantages when qualified for S corporation status. There are strict rules and regulations under state law for professional corporations (PCs), especially related to ownership of the entity.

Buying or Selling a California Medical Practice

If you are considering buying or selling a group medical practice in the Bay Area, it is imperative that you have strong, experienced legal representation. Buying or selling a medical practice is a high-stakes transaction that blends business strategy with legal compliance. Our business law attorney assists clients from initial due diligence to closing, negotiating terms, drafting or reviewing letters of intent, and evaluating whether an asset sale or a stock sale best suits your objectives. We can examine liability exposure, contract terms, continuity of care obligations, and transition requirements such as patient notices and license transfers.

Restructuring a Medical Practice When Adding New Partners

If you are preparing to add another partner to your medical practice in California, you may need to do some restructuring of the business. Adding partners to a medical practice changes the business’s legal and operational dynamics. We help practices clearly define ownership interests, including voting and non-voting classes. That is key so that the equity and control rights align with partners’ contributions. Careful negotiations and documented agreements prevent later conflicts among owners.

Professional Contract Review for Medical Practices

Contracts are essential for the legal protection of medical practices in California. Medical practices rely on a range of contracts that shape daily operations and long-term stability. Our Fremont, CA business law attorney reviews and negotiates business formation agreements, commercial leases, supplier and vendor contracts, employment agreements, and independent contractor arrangements to protect your legal and financial interests. Customized, professionally-drafted contracts give medical practice owners the clarity and legal protection that they need.

Get Help From Our California Business Lawyer for Medical Practices Today

Lynnette Ariathurai is a California business attorney with extensive experience working with medical practices. If you have any questions about protecting a medical practice, we are here to help. Contact us to arrange your completely confidential consultation. From our Fremont office, we provide business law services to medical practices throughout the Bay Area.

medical practice protection, physician practice protection, structuring medical practices

Employer’s Guide to Paid Sick Leave, Family Leave, and Other Mandatory Leaves in California

California law sets strict standards for paid sick leave, family leave, and other forms of mandatory employee leave. Indeed, they are among the most comprehensive in the country. As an employer, you need to be sure that you are in full compliance with leave requirements. Mistakes, even unintentional ones, can expose a company to serious liability. Here, our Fremont employment lawyer provides a guide to paid sick leave, family leave, and other forms of mandatory leave in California.

What Employers Should Know About Paid Sick Leave in California

Under California’s Healthy Workplaces, Healthy Families Act (Cal. Lab. Code § 245–249), all employers must provide paid sick leave to employees who work for 30 or more days within a year. Employees accrue at least one hour of paid sick leave for every 30 hours worked, though employers may cap accrual at 48 hours (or six days) and use at 24 hours (or three days) per year. Accrued time carries over annually (unless an employer adopts a “front-load” policy granting the full leave at the start of each year). Employers can cap the maximum sick leave an employee may take annually at 5 days or 40 hours per year, in a written policy.

What Employers Should Know About Family Leave in California

California’s family leave obligations are primarily governed by the California Family Rights Act (CFRA). It is more comprehensive than the federal Family and Medical Leave Act (FMLA). Covered employers (those with five or more employees) must provide eligible workers up to 12 weeks of job-protected leave in a 12-month period for serious health conditions, bonding with a new child, or caring for a family member. One of several ways in which the CFRA goes beyond FMLA is by covering domestic partners, adult children, siblings, and grandparents. Unlike paid sick leave, family leave under CFRA/FMLA is unpaid. With that being said, employees may substitute accrued paid leave or receive wage replacement through California’s Paid Family Leave (PFL) program which is administered by the Employment Development Department (EDD).

What Employers Should Know About Other Mandatory Leave in California

Beyond sick leave and family leave, California law imposes several other mandatory leave obligations on employers. As an employer, it is your responsibility to be aware of all the different types of leave that apply. Here are some notable examples:

Pregnancy disability leave (PDL): Up to four months of unpaid, job-protected leave for employees disabled by pregnancy or related conditions (Cal. Gov. Code § 12945).
School/childcare leave: Employers who employ 25 or more employees at the same location must provide up to 40 hours annually for parents to enroll their child in school or a licensed child care provider, participate in activities of the school or licensed daycare, and to address school or childcare discipline and emergencies (Cal. Lab. Code § 230.8).
Jury duty and witness leave: Required unpaid leave for service as a juror or witness (Cal. Lab. Code §§ 230–230.1).
Domestic violence, sexual assault, and stalking leave: Unpaid time off to seek medical attention, counseling, or legal protection (Cal. Lab. Code §§ 230, 230.1).
Voting leave: Up to two hours of paid time to vote in a state or federal election if the employee does not have sufficient time outside of working hours to vote at a statewide election (Cal. Elec. Code § 14000).

Contact Our California Employment Lawyer for the Employer Today

Lynnette Ariathurai is a California employment attorney for employers who puts an emphasis on solutions-focused guidance and support. If you have any questions about sick, family, or other mandatory leave requirements in California, we can help. Contact us today for a strictly confidential consultation. From our Fremont office, our firm works with businesses and organizations throughout the Bay Area.

employee leave standards California, family leave standards California, mandatory leaves California, sick leave standards California

How to Structure Your Medical Practice for Liability Protection

Are you preparing to form a medical practice in California? It is imperative that you put a structure in place that provides adequate liability protection. Liability is one of the key issues that doctors need to worry about when setting up their own professional practice in California. Here, our Fremont business lawyer for starting a medical practice provides an overview of the key things to know about structure and liability protection in California.

Why Liability Protection Matters

Liability protection matters because one lawsuit or contract dispute can threaten everything a doctor has built. When you set up a medical practice with the proper legal structure, California law makes physicians personally responsible for their own malpractice, but not for ordinary business debts if the practice is properly structured. When you add sufficient medical malpractice insurance, your professional practice will be in the best possible position to reduce liability risk.

You Need to Choose the Right Legal Entity for Your Medical Practice

In California, physicians cannot form a traditional limited liability company (LLC) for the purpose of providing medical services. Instead, the proper legal structure is a professional corporation (PC) under the Moscone-Knox Professional Corporation Act (Cal. Corp. Code § 13400 et seq.). The law governs how licensed professionals (such as physicians, surgeons, and dentists) may incorporate. A properly formed medical corporation separates business obligations from personal assets. Although a PC does not shield a doctor from personal malpractice liability, it does protect against the debts and contractual obligations of the practice itself. That is a key form of liability protection.

Note: To form a professional corporation (PC) for a medical practice in California, ownership is restricted to at least 51% ownership by licensed physicians and surgeons, and the remaining 49% ownership may be by other specific qualified licensed individuals. Under the Moscone-Knox Professional Corporation Act, only people holding valid medical licenses issued by the Medical Board of California may serve as directors, or act as officers of a medical corporation, except a one shareholder (physician) PC may have a Secretary who is unlicensed. Non-licensed individuals, including outside investors or management firms, cannot own or control any part of the professional corporation. Otherwise, you could be denied PC status.

Medical Practitioners Need Proper Malpractice Insurance

It is important to remember that California law does not let physicians shield themselves from their own negligence through any business structure. A professional corporation limits business and contract risk, but malpractice exposure remains personal. Proper coverage (which is typically at least $1 million per incident and $3 million aggregate) helps to protect a professional practice against catastrophic verdicts and board complaints. The policy should list employed physicians and other licensed staff. That is consistent with Bus. & Prof. Code § 2052, which prohibits unlicensed practice. In California, medical malpractice insurance is not optional, it is necessary.

Contact Our California Business Lawyer for Medical Practices Today

Lynnette Ariathurai is a top-rated California business law attorney. With a commitment to solutions, Attorney Ariathurai can help you structure your medical practice for the maximum liability protection. Contact us today for a fully confidential, no obligation initial consultation. We work with professional practices throughout the Bay Area.

medical practice liability protection, physician liability protection