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Practice Areas

Medical Institutions

Medical institutions are exposed to a range of regulatory environments, including on-site investigations by the Ministry of Health and Welfare, regulation of unlicensed-operator hospitals, rebate enforcement, medical advertising, license revocation procedures, insurance disputes, and transfer-and-acquisition contracts.

CONTENTS
  • 1. Medical Institutions | The Regulatory Environment of Medical Institutions and the Role of a Law Firm
  • 2. Medical Institutions | Reviewing Operational Risk and Building a Compliance and Contract System
    • - Reviewing the Risks of On-Site Investigations, Unlicensed-Operator Hospitals, and Rebates
    • - Compliance Review of Medical Advertising, Taxation, Labor Affairs, and ESG Management
    • - Counsel on Hospital Partnerships, MSOs, Transfers and Acquisitions, and the Establishment of Medical Corporations
  • 3. Medical Institutions | Responding to the Disposition, Investigation, and Insurance Dispute Stages and Representation in Litigation
    • - Responding to License Revocation, Suspension, Business Suspension, and Recovery Dispositions
    • - Responding to Indemnity Insurance, Medical Disputes, and Medical Accidents
  • 4. Medical Institutions | Counsel on the Closure, Restructuring, and ESG Management of Medical Institutions
  • 5. Medical Institutions | When Advice From an Attorney Experienced in Medical Matters Is Needed
    • - A Team of Attorneys Who Have Handled Many Cases Involving Unlicensed Hospitals, Rebates, Insurance Disputes, and Medical Accidents
    • - Integrated Advisory Capacity Spanning Transactions, Contracts, MSO, Tax, Labor, and ESG
    • - A Collaborative Specialist System That Understands the Distinctive Nature of Medical Institutions
    • - Experience Representing Clients Through Every Stage, Including Administrative, Criminal, and Civil Litigation

1. Medical Institutions | The Regulatory Environment of Medical Institutions and the Role of a Law Firm

Medical Institutions | The Regulatory Environment of Medical Institutions and the Role of a Law Firm

A medical institution is a high-risk regulated industry to which numerous laws, such as the Medical Service Act and the Criminal Act, apply at the same time.

In particular, on-site investigations by the Ministry of Health and Welfare, recovery dispositions by the National Health Insurance Service, enforcement against unlicensed-operator hospitals, detection of rebates and improper claims, violations of medical advertising rules, and license revocation or suspension procedures are core risks directly tied to a hospital's survival.

Attorneys experienced in medical matters support medical institutions from the following perspectives.

· Analysis of the investigation and disposition patterns of regulatory agencies and advance risk management

· Securing compliance across the entire process of a medical institution's establishment, operation, advertising, contracts, taxation, and labor affairs

· Establishing a consistent defense strategy for administrative, criminal, and civil disputes

· Protection of the assets unique to a medical institution (license, reputation, patient trust)

2. Medical Institutions | Reviewing Operational Risk and Building a Compliance and Contract System

The stability of a medical institution's operation begins with compliant management, the building of a contract system, and internal control.

The firm's attorneys experienced in medical matters comprehensively review hospital operations as a whole from a legal standpoint and block risk in advance.

Reviewing the Risks of On-Site Investigations, Unlicensed-Operator Hospitals, and Rebates

① Responding to and Reviewing in Advance On-Site Investigations by the Ministry of Health and Welfare

· Analysis of investigation points such as medical records, billing data, staffing, and facility standards

· Supplementing in advance items suspected of excessive or false billing and items of mistake or omission

· Organizing an investigation-response manual, staff training, and document-submission standards

② Reviewing the Risk of Unlicensed-Operator Hospitals (Name Lending)

· Assessing the risk of detection through analysis of the actual operator, the flow of funds, and personnel authority

· Reviewing the independence of the medical institution and the appropriateness of its governance structure

· Counsel on separating criminal liability and improving the structure

③ Preparing for Rebate Investigations and Administrative Dispositions

· Analysis of whether economic benefits were provided or accepted

· Reviewing the lawfulness of the transaction structure with pharmaceutical companies, wholesalers, and CSOs

· Determining whether the constituent elements of a suspected rebate are met and establishing a defense rationale

Compliance Review of Medical Advertising, Taxation, Labor Affairs, and ESG Management

① Counsel on Compliance With Medical Advertising

· Reviewing permitted and prohibited wording, expressions of treatment effects, and standards for review advertising

· Analysis of which online and SNS advertisements are subject to review and of the risk of violations

· Establishing a system to respond to accusations and criminal punishment for advertising violations

② Reviewing Tax and Labor Risk

· Reviewing the appropriateness, under tax law, of the hospital's revenue structure and expense treatment

· Analysis of potential violations of the Labor Standards Act regarding hiring, work arrangements, and overtime

· Reviewing risks related to the four major insurances, wages, and severance pay

③ Counsel on ESG Management

· Analysis of ESG factors such as personal information protection, patient safety management, infection control, and internal control

· Establishing a sustainability-management reporting system for the medical institution

Counsel on Hospital Partnerships, MSOs, Transfers and Acquisitions, and the Establishment of Medical Corporations

① Hospital Partnership Agreements and Investment Agreements

· Reviewing the lawfulness of the profit-distribution and profit-and-loss-sharing structure

· Designing the equity and governance structure and analyzing its risks

· Designing clauses to prevent disputes over partnership termination, withdrawal, and settlement

② Counsel on the Establishment and Operation of an MSO

· Lawful design of the MSO structure, including the outsourcing of work, personnel support, and facility support

· Blocking the possibility of a Medical Service Act violation in actual operation (the rules on unlicensed-operator hospitals)

· Compliance review of taxation, labor affairs, and personal information protection

③ Hospital Transfers and Acquisitions and the Establishment of Medical Corporations

· Full legal due diligence of assets, liabilities, employees, contracts, and the like

· Reviewing lawful establishment procedures and authorization requirements

· Counsel on post-merger integration (PMI) of the medical institution

3. Medical Institutions | Responding to the Disposition, Investigation, and Insurance Dispute Stages and Representation in Litigation

Medical Institutions | Responding to the Disposition, Investigation, and Insurance Dispute Stages and Representation in Litigation

Medical institutions may face administrative dispositions, recovery, criminal investigation, or civil litigation as a result of operational mistakes, reports, complaints, or insurance reviews.

Daeryun responds with a consistent strategy, from grasping the initial facts to the closing stage.

Responding to License Revocation, Suspension, Business Suspension, and Recovery Dispositions

① Litigation to Revoke a Business Suspension Disposition by the Ministry of Health and Welfare

· Legal review of matters such as the absence of grounds for the claim, procedural violations, and the deviation or abuse of discretion

· Submitting opinions and responding to hearings at the stage before the disposition

② Litigation to Revoke a Recovery Disposition by the National Health Insurance Service

· Judging the appropriateness of improper claims and reviewing the unlawfulness of the calculation standards

· Asserting errors in the documents submitted and in the measurement method

· Determining whether the Health Insurance Review and Assessment Service or the Service abused its discretion

③ Responding to Dispositions Revoking or Suspending a Physician's License

· Analysis of whether the constituent elements of the violation are met and of the causal relationship

· Rebutting the connection between charges of a crime, rebates, or a Medical Service Act violation and the license disposition

· Responding in stages through administrative appeal and administrative litigation

④ Responding to Criminal Cases Such as Name Lending and Insurance Fraud

· Analysis of the criteria for finding name lending (the substance of control and operation)

· Determining whether the constituent elements of an unlicensed-operator hospital are met and forming a defense rationale

· Reducing the intent and scope of liability in cases suspected of false or excessive billing

· Asserting, in insurance fraud cases, whether the medical institution was involved and the scope of normal business

Responding to Indemnity Insurance, Medical Disputes, and Medical Accidents

· Interpreting the policy terms and analyzing the medical causal relationship in cases where indemnity insurance benefits are refused

· Asserting liability for compensation related to medical treatment of patients and a strategy for reduction

· Crisis management of medical accidents, with support from collecting the facts to expert appraisal, compensation negotiation, and litigation

4. Medical Institutions | Counsel on the Closure, Restructuring, and ESG Management of Medical Institutions

Medical institutions sometimes face situations in which they must consider closure or restructuring due to worsening management, changes in workforce structure, or tighter regulation.

Daeryun attorneys experienced in medical matters assist with related cases as follows.

· Reviewing the legal obligations required in the closure process, such as the management of patient medical records, the handling of employees, inventory, and the settlement of insurance claims

· Carrying out the reporting and liquidation procedures under the Medical Service Act, labor law, and tax law

· Building an ESG management system and establishing systems for personal information protection, safety management, governance improvement, and ethical management

5. Medical Institutions | When Advice From an Attorney Experienced in Medical Matters Is Needed

Medical Institutions | When Advice From an Attorney Experienced in Medical Matters Is Needed

Because a medical institution combines administrative, criminal, civil, and management matters within a single structure, professional legal review is needed at every stage.

The Medical, Bio, and Healthcare Group at Daeryun Law Firm supports medical institutions based on the following strengths.

A Team of Attorneys Who Have Handled Many Cases Involving Unlicensed Hospitals, Rebates, Insurance Disputes, and Medical Accidents

In administrative, criminal, insurance, and medical accident cases involving medical institutions, the facts and the governing statutes are intertwined in complex ways, so experience matters above all.

Drawing on the analytical framework and response strategies accumulated across many cases, Daeryun's attorneys experienced in medical matters help medical institutions accurately diagnose the risks they face and work toward results.

Integrated Advisory Capacity Spanning Transactions, Contracts, MSO, Tax, Labor, and ESG

Operating a medical institution does not stop at the provision of medical care; it also encompasses contracts, management, tax, labor, and regulatory compliance, so support from legal professionals who understand each of these areas in an integrated manner is needed.

Attorneys experienced in medical matters provide comprehensive advice that reflects the structure and operational characteristics of a hospital and considers the connections among the individual risks.

A Collaborative Specialist System That Understands the Distinctive Nature of Medical Institutions

Disputes involving medical institutions call for the simultaneous analysis of various specialized fields, such as financial records, fee structures, personnel arrangements, and electronic medical records.

Daeryun collaborates with personnel specialized in the relevant fields to accurately interpret medical, financial, and technical issues, and on that basis provides a persuasive legal response.

Experience Representing Clients Through Every Stage, Including Administrative, Criminal, and Civil Litigation

In cases involving medical institutions, administrative dispositions, investigations, and civil litigation often arise continuously rather than as separate, stage-by-stage matters.

Attorneys experienced in medical matters collaborate with attorneys experienced in administrative, criminal, and civil matters to comprehensively consider the legal nature and effect of each procedure, establish a consistent strategy, and protect the rights and interests of medical institutions throughout the entire process.

In particular, this firm has attorneys with experience in the pharmaceutical and narcotics field, attorneys who have served as non-standing members and examiners of the Korea Medical Dispute Mediation and Arbitration Agency, and attorneys experienced in medical matters with hospital backgrounds as pharmacists and oriental medicine doctors directly managing clients' cases.

If a regulatory risk arises in the course of operating a medical institution, Daeryun Law Firm, whose attorneys experienced in medical matters hold qualifications as physicians and pharmacists, provides complete advice from the investigation stage to the disposition stage, the litigation stage, and post-matter management. Please proceed with the 🔗medical attorney consultation booking.

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