Alaska Management Services Agreement Guide: A Corporation That May Not Do Business and an MSO That Does
Alaska's professional corporation may not engage in business and its board holds exclusive management authority over professional decisions, so the MSO provides administration under a fixed fee and never takes a clinical role.
Key Highlights
- Section 10.45.040 says a professional corporation may not engage in business, which is why non-clinical functions sit in a separate MSO.
- Section 10.45.070 vests exclusive authority over management decisions necessary to the conduct of the profession in the corporation's board of directors.
- A Board regulation bars giving or receiving anything for bringing in or referring a patient, and we found no Alaska authority on percentage fees.
- Records duties of seven-year retention and 30-day patient copies cannot be contracted away.
How to Price the Management Fee
We found no Alaska fee-splitting statute and no authority on percentage fees. The regulation bars giving or receiving fees for bringing in or referring a patient, and it is untested whether it applies when an MSO also markets or generates patients, so we use a fixed monthly fee for facilities, staff and administration and nothing tied to patient volume.
What the Practice Must Keep
The board of directors of the professional corporation has continuing exclusive authority over management decisions necessary to the conduct of the profession, and delegation regulations keep assessment, plan of care, counseling and IV therapy non-delegable. The agreement leaves clinical decisions and protocols with the practice, and delegation is by trained providers with written instructions.
Terms to Avoid
Avoid giving the MSO any authority over clinical decisions, any referral-linked payment, and any arrangement in which a person who is not an appropriate trained and licensed provider gives Botox, fillers, deeper peels or hot lasers.
Term, Records and Departing Clinicians
Licensees must keep records seven years, give patients copies within 30 days and tell the board where records are when a practice closes, and these duties cannot be contracted away. We found no Alaska non-compete statute, and courts apply a reasonableness test, so we do not use non-competes for employed clinicians.
Filings, Notices and Watch Items
We found no Alaska transaction notice law, and a state work group studying med spa rules has no rulemaking authority. Out-of-state physicians may treat Alaska patients only in narrow cases, so prescribers hold Alaska licenses.
Drafting Checklist
- Fee: fixed for facilities, staff and administration.
- Corporation: does no business beyond the practice.
- Decisions: clinical and protocol decisions stay with the board of directors.
- Delegation: trained, licensed providers only, with written instructions.
- Records: kept seven years by the practice.
- Licensing: Alaska-licensed prescribers.
How We Draft It
Patients pay the physician-owned practice, the practice pays the management company a fixed monthly fee under the agreement, and the management company pays MedGrid a fixed monthly retainer for consulting. The management company never practices medicine, and the agreement never moves a clinical decision to it. Our template follows the same flat-fee design in every state, with the state-specific limits below layered on top.
Disclaimer
This article is general educational information, not legal advice. Management agreement rules change and differ by state, and this summary draws on our published state guide, parts of which rest on secondary sources, so have health care counsel in the state review any agreement before you sign.
MedGrid MSO provides management services to independently owned practices; it does not practise medicine and does not direct clinical decisions. Requirements vary by state and by service, and change over time — nothing on this page is legal or medical advice. Talk to us or your own counsel before making a structural decision for your clinic.