Our healthcare law firm works with many providers and healthcare practices to assist them in complying with federal, state, and local laws. In particular, our clients often ask whether they can offer IV therapy as part of their practice. IV therapy is being offered at med spas, and people are opening IV clinics, so it is important to consider the legal risks of offering IV therapy before opening a med spa or IV clinic. Our prior blog post discussed several considerations that med spas and IV clinics should consider before offering IV therapy in South Carolina as non-practitioners (e.g., nurse practitioners or physician assistants). This blog post discusses two considerations that practitioners (e.g., physicians) should consider before opening an IV clinic in South Carolina. If you need assistance setting up an IV clinic in South Carolina or would like to discuss this blog post, you may contact our healthcare law firm at (404) 685-1662 (Atlanta) or (706) 722-7886 (Augusta), or by email, info@littlehealthlaw.com. You may also learn more about our law firm by visiting www.littlehealthlaw.com.
First Consideration: Practitioners May Not Need a Non-Dispensing Drug Outlet Permit if the Medical Practice Does Not Compound, and the Practitioner Owns the Practice 100%
As discussed in the prior blog post, whether a practitioner or non-practitioner engages in compounding is an important consideration. In South Carolina, it is not compounding to push medications and vitamins through an IV; however, putting medications and vitamins into an IV bag is compounding. If compounding occurs, then the IV clinic would need a Pharmacy Permit, which requires a pharmacist to be on staff at all times. By contrast, if the IV clinic will not be engaged in compounding, the clinic may need to obtain a Non-Dispensing Drug Outlet Permit. The Pharmacy rules provide that if a practitioner 100% owns a non-compounding medical practice, then the practice does not need a Non-Dispensing Drug Outlet Permit.
Second Consideration: The South Carolina Pharmacy Board Scrutinizes Practitioner Control of a Medical Practice Where MSOs Are Involved
However, few instances exist where the South Carolina Pharmacy Board has required the practice to have a permit when the structure is an MSO-Physician entity structure, and the doctor is not as involved as a true “owner” would be, such as where the MSO had too much control over the practice and thus the practitioner did not in effect own 100% of the medical practice.
Although the Pharmacy Board would scrutinize the practice only if there was a reason to do so, such as in response to a patient complaint, there are risks for non-practitioners who engage with a friendly physician in an MSO arrangement such that the physician is the owner in name only because the Pharmacy Board may see that the MSO, and not the physician, controls the medical practice such that a Non-Dispensing Drug Outlet Permit would be required.
If you need assistance setting up an IV clinic in South Carolina or would like to discuss this blog post, you may contact our healthcare law firm at (404) 685-1662 (Atlanta) or (706) 722-7886 (Augusta), or by email, info@littlehealthlaw.com. You may also learn more about our law firm by visiting www.littlehealthlaw.com.