medical spa

Telehealth Good Faith Exams and Compliance in a Medical Spa

Medical spas, with their unique blend of medical expertise, retail offerings, and soothing spa experiences. Captivate a diverse clientele seeking holistic wellness and aesthetic enhancements. These establishments navigate a labyrinth of regulatory frameworks at the federal, state, and local levels to ensure legal compliance and uphold industry standards.

CPOM Restrictions and Non-Physician Ownership

State regulations pose a particular challenge, with variations ranging from stringent prohibitions on the corporate practice of medicine (CPOM) to more permissive frameworks allowing non-physician ownership. In states where CPOM is restricted, legal experts often advise establishing a management services organization/management services agreement (MSO/MSA) structure to navigate these complexities. Conversely, some states embrace a more flexible approach, permitting direct non-physician ownership of medical spas, albeit with guidelines on medical directorship.

Consequences of Non-Compliance in Telehealth

Failure to adhere to these regulations can trigger investigations by regulatory bodies such as medical, nursing, cosmetology, and pharmacy boards, carrying severe penalties including substantial fines, operational halts, and the revocation of licenses, even culminating in criminal charges.

The Importance of Good Faith Exams/Wellness Checks

Integral to the operation of medical spas are Good Faith Exams (GFEs) and wellness checks, which serve as vital touchpoints for evaluating patient health and wellness. These examinations facilitate open communication between patients and healthcare providers, fostering a supportive environment for discussing health concerns and optimizing treatment plans. State-specific regulations often require licensed healthcare professionals, such as nurse practitioners, physician medical directors, or physician associates, to conduct GFEs prior to any medical procedure.

While emerging telehealth solutions offer outsourced GFE services, they cannot serve as panaceas for compliance shortcomings within medical spas. Similarly, outsourced medical directors, while providing valuable oversight, cannot resolve underlying compliance issues inherent in improperly structured establishments. Nonetheless, they play a crucial role in ensuring patient safety and care quality.

In jurisdictions like Texas, where CPOM restrictions prevail, collaboration between non-physician owners and physicians through MSO arrangements is mandated. Specific ownership arrangements, particularly in co-ownership scenarios involving podiatrists, chiropractors, and physician assistants, are subject to regulatory requirements.

In summary, the operation of a compliant medical spa demands unwavering adherence to regulatory mandates, safeguarding patient well-being, and mitigating legal and financial risks. By prioritizing compliance and upholding industry standards, medical spas can establish themselves as trusted destinations for superior aesthetic services and holistic wellness experiences.

Consider scheduling a free discussion with Dike Law Group for help with opening a compliant medspa and MSO’s. You can do this at

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