Roger Strode and Charles Gass Analyze Proposed Physician Practice Litigation

Foley & Lardner LLP attorneys Roger Strode and Charles Gass analyzed the proposed federal Stop Corporate Takeovers of Physicians Act of 2026 in the Becker’s ASC Review article, “Inside the Bill That Could Force PE to Sell Practices.”

Drawing from a recent Foley blog quoted in the article, the authors noted that “a significant number of existing physician practice transactions involving private equity sponsors and MSO-based structures would likely require either substantial restructuring to achieve compliance or unwinding entirely” if the bill is enacted as drafted.

They highlighted provisions aimed at the “friendly physician” model and also observed that proposed fair market value requirements for management agreements could “substantially constrain deal structuring and purchase prices” and reduce the appetite of both buyers and sellers. Additionally, they noted that bipartisan support for the legislation “does not appear likely in the current political environment.”