These arrangements also offer the hospital the opportunity to assist the physician in easing back into private practice. Common examples include service arrangements, management contracts and leases. Recruitment assistance may also be possible thereby allowing the hospital to help the physician attract qualified assistants to build the practice. Management agreements provide for a high degree of continued interaction. Management relationships can be structured to meet a safe harbor and Stark exception.
Service contracts can also be an integral part of the ongoing relationship between the parties.
A number of clinical requirements can be met through formal service contracts. On the other hand, such contracts must be very carefully drafted in order to avoid legal difficulties. Exceptions for personal service arrangements provide potential protection if all requirements are met. Leases also present a means for ongoing interconnection between the parties. A physician may find a lease to be financially more desirable than purchasing the office.