California Business and Professions Code 650.3 – (a) Notwithstanding the provisions of Section 650 or any other …
(a) Notwithstanding the provisions of Section 650 or any other provision of law, it shall not be unlawful for a person licensed pursuant to the Chiropractic Act, or any other person, to participate in or operate a group advertising and referral service for chiropractors if all of the following conditions are met:
(1) Patient referrals by the service are the result of patient initiated responses to service advertising.
Terms Used In California Business and Professions Code 650.3
- board: means any entity listed in Section 101, the entities referred to in Sections 1000 and 3600, the State Bar, the Department of Real Estate, and any other state agency that issues a license, certificate, or registration authorizing a person to engage in a business or profession. See California Business and Professions Code 31
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- County: includes city and county. See California Business and Professions Code 17
- Dependent: A person dependent for support upon another.
- Injunction: An order of the court prohibiting (or compelling) the performance of a specific act to prevent irreparable damage or injury.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- person: as used in this article includes an individual, firm, partnership, association, corporation, limited liability company, or cooperative association. See California Business and Professions Code 653
- State: means the State of California, unless applied to the different parts of the United States. See California Business and Professions Code 21
(2) The service advertises, if at all, in conformity with Section 651.
(3) The service does not employ a solicitor.
(4) The service does not impose a fee on the member chiropractors that is dependent upon the number of referrals or amount of professional fees paid by the patient to the chiropractor.
(5) Participating chiropractors charge no more than their usual and customary fees to any patient referred.
(6) The service registers with the State Board of Chiropractic Examiners, providing its name and address.
(7) The service files with the State Board of Chiropractic Examiners a copy of the standard form contract that regulates its relationship with member chiropractors, which contract shall be confidential and not open to public inspection.
(8) If more than 50 percent of its referrals are made to one individual, association, partnership, corporation, or group of three or more chiropractors, the service discloses that fact in all public communications, including, but not limited to, communication by means of television, radio, motion picture, newspaper, book, or list or directory of healing arts practitioners.
(b) The State Board of Chiropractic Examiners may adopt regulations necessary to enforce and administer this section.
(c) The State Board of Chiropractic Examiners or 10 individual licensed chiropractors may petition the superior court of any county for the issuance of an injunction restraining any conduct which constitutes a violation of this section.
(d) It is unlawful and shall constitute a misdemeanor for a person to operate a group advertising and referral service for chiropractors without providing its name and address to the State Board of Chiropractic Examiners.
(e) It is the intent of the Legislature in enacting this section not to otherwise affect the prohibitions provided in Section 650. The Legislature intends to allow the pooling of resources by chiropractors for the purpose of advertising.
(f) This section shall not be construed in any manner which would authorize a service to engage in the practice of chiropractic.
(Added by Stats. 1992, Ch. 856, Sec. 1. Effective January 1, 1993.)