August 23, 1996
Senator C.R. Edwards 41st District 1502 Boros Drive Fayetteville, North Carolina 28303
RE: Advisory Opinion; Dental Care and Business Services; N.C.G.S. § 90-29(b)(11)
Dear Senator Edwards:
You have asked whether the provisions of N.C. Gen. Stat. § 90-29(b)(11) prohibit a dentist from contracting with third parties for the provision of certain defined business services to the dentist.
The proposed business services to be offered to dentists in North Carolina, as you described in your letter, are: (i) leasing or subleasing of office space, furniture, and equipment; (ii) employment of administrative staff for the benefit and at the sole discretion of the dentist; (iii) making available a patient scheduling system; (iv) making available forms and contracts for use in the effective business operation of a dental practice; (v) making available purchasing services;
(vi) making available an information system and consulting services on how a dental practice may be made more efficient; (vii) arranging for necessary legal services (other than professional malpractice defense); (viii) providing assistance with marketing and advertising; (ix) making bridge loans entirely at the discretion of the dentist; and (x) providing accounting and financial management services (collectively, the "Services"). It is assumed that such services would be provided to dentists pursuant to a contract which provides for compensation to the service provider based on the amount and nature of the services utilized by the dentists and not upon revenues of the dentist.
N.C. Gen. Stat. § 90-29(b)(11) defines dentistry and provides in part, as follows: (b) A person shall be deemed to be practicing dentistry in this State who does, undertakes or attempts to do, or claims the ability to do any one or more of the following acts or things which, for the purposes of this Article, constitute the practice of dentistry: . . .
(11) owns, manages, supervises, controls or conducts, either himself or by and through another person or other persons, any enterprise wherein any one or more of the acts or practices set forth in subdivision (1) through (10) above are done, attempted to be done, or represented to be done . . . .
The activities or services described above are not dental services as described in N.C. Gen. Stat. § 90-29(b). That statute prohibits only activities which would materially influence dental acts or otherwise injuriously impact on dental care received by patients. In that the proposed services concern modern cost-effective business office assistance and do not infringe on dental acts or decisions, the statute does not prohibit these services.
Ann Reed Senior Deputy Attorney General
Mabel Y. Bullock
Special Deputy Attorney General