The bill amends the Corporate Practice of Medicine Doctrine in Arkansas, specifically addressing the ownership of medical corporations by licensed medical professionals. It introduces a new provision that allows individuals who own a medical corporation and hold an active medical license to maintain ownership, management, and control of the corporation even if their medical license becomes inactive or is voluntarily surrendered. This is contingent upon the requirement that all medical services provided by the corporation are conducted by licensed individuals.

The new legal language added to Arkansas Code 4-29-307 clarifies that despite existing regulations regarding the officers, directors, and shareholders of a medical corporation, a licensed medical professional can retain their ownership rights under certain conditions. This change aims to provide flexibility for medical professionals who may retire or have their licenses become inactive, ensuring that they can still manage their medical corporations as long as licensed personnel are delivering medical services.

Statutes affected:
Old version SB262 V2 - 4-7-2025 02:26 PM: 4-29-307
Old version SB262 Original - 2-20-2025 09:48 AM: 4-29-307
SB 262: 4-29-307