CaliforniaHealth facilities.
What it does
Existing law generally regulates the licensing and operation of health facilities and other facilities providing health care in this state. Existing law, the Medical Practice Act, creates the Medical Board of California to license and regulate physicians and surgeons. Under existing law, the Dental Practice Act, the Dental Board of California licenses and regulates dentists.
More detail
Existing law, the Nonprofit Public Benefit Corporation Law, generally requires a nonprofit public benefit corporation to give written notice to the Attorney General before it sells, leases, conveys, exchanges, transfers, or disposes of its assets, except as specified. Existing law provides specific procedures for health facilities and additionally requires these facilities to obtain the consent of the Attorney General prior to entering into a specified agreement or transaction.
This bill would prohibit a private equity group or hedge fund, as defined, involved in any manner with a physician or dental practice doing business in this state from interfering with the professional judgment of physicians or dentists in making health care decisions and exercising power over specified actions, including, among other things, making decisions regarding coding and billing procedures for patient care services. The bill would prohibit a private equity group or hedge fund from entering into a contract or other agreement or arrangement with a physician or dental practice if the contract or other agreement or arrangement would enable the person or entity to engage in the prohibited actions described above and would make provisions of those contracts or other agreements that violate that prohibition void and unenforceable. The bill would prohibit and render void and unenforceable specified types of contracts between a physician or dental practice and a private equity group or hedge fund that include any clause barring any provider in that practice from competing with that practice in the event of a termination or resignation, or from disparaging, opining, or commenting on that practice in any manner as to any issues involving quality of care, utilization of care, ethical or professional challenges in the practice of medicine or dentistry, or revenue-increasing strategies employed by the private equity group or hedge fund, as specified. This bill would entitle the Attorney General to injunctive relief and attorney's fees and costs incurred in remedying violations of these provisions, as specified. The bill would make its provisions severable.
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Where it stands
- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2025
- Oct 6Chaptered by Secretary of State. Chapter 409, Statutes of 2025.Latest
- Oct 6Approved by the Governor Gavin Newsom.Became Law
- Sep 23Enrolled and presented to the Governor at 2 p.m.To Governor
- Sep 13Assembly amendments concurred in. (Ayes 32. Noes 3. Page 3023.) Ordered to engrossing and enrolling.Major
- Vote recorded Unfinished Business SB351 Cabaldon et al. Concurrence. Result: pass.Upper
- Vote recorded SB 351 Cabaldon Senate Third Reading By Patel. Result: pass.Lower
- Sep 12In Senate. Concurrence in Assembly amendments pending.
- Sep 12Read third time. Passed. (Ayes 80. Noes 0. Page 3407.) Ordered to the Senate.Major
- Sep 8Read third time and amended.Major
- Sep 8Joint Rule 61(a)(13) suspended. (Ayes 58. Noes 20. Page 2974.)
- Sep 8Ordered to third reading.Minor
- Sep 8(Ayes 54. Noes 20. Page 2973.)
- Sep 8Action rescinded whereby bill was read third time, passed, and ordered to the Senate.Major
- Sep 3In Assembly. Held at Desk.
- Sep 2Ordered to the Assembly.
- Aug 29In Senate. Concurrence in Assembly amendments pending.
- Vote recorded SB 351 Cabaldon Senate Third Reading By Patel. Result: pass.Lower
- Aug 29Read third time. Passed. (Ayes 72. Noes 0. Page 2792.) Ordered to the Senate.Passed Assembly
- Aug 25Ordered to third reading.Minor
- Aug 25Read third time and amended.Major
- Jul 17Read second time. Ordered to third reading.Minor
- Jul 16From committee: Do pass. (Ayes 13. Noes 0.) (July 16).Minor
- Vote recorded Do pass. Result: pass.Lower
- Jul 2From committee: Do pass and re-refer to Com. on APPR. (Ayes 12. Noes 0.) (July 1). Re-referred to Com. on APPR.Minor
- Jul 1
- Vote recorded Do pass and be re-referred to the Committee on [Appropriations]. Result: pass.Lower
- Jun 24From committee: Do pass and re-refer to Com. on JUD. (Ayes 16. Noes 0.) (June 24). Re-referred to Com. on JUD.Minor
- Vote recorded Do pass and be re-referred to the Committee on [Judiciary]. Result: pass.Lower
- Jun 16From committee with author's amendments. Read second time and amended. Re-referred to Com. on B. & P.Major
- Jun 5Referred to Coms. on B. & P. and JUD.Minor
- May 28In Assembly. Read first time. Held at Desk.Minor
- Vote recorded 3rd Reading. Result: pass.Upper
- May 28Read third time. Passed. (Ayes 30. Noes 6. Page 1301.) Ordered to the Assembly.Passed Senate
- May 23Read second time. Ordered to third reading.Minor
- Vote recorded Do pass. Result: pass.Upper
- May 23From committee: Do pass. (Ayes 5. Noes 1. Page 1197.) (May 23).Minor
- May 16Set for hearing May 23.
- May 12May 12 hearing: Placed on APPR. suspense file.
- Vote recorded Placed on suspense file. Result: pass.Upper
- May 2Set for hearing May 12.
- Apr 30From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 2. Page 939.) (April 29). Re-referred to Com. on APPR.Minor
- Apr 29
- Vote recorded Do pass, but first be re-referred to the Committee on [Appropriations]. Result: pass.Upper
- Apr 21From committee: Do pass and re-refer to Com. on JUD. (Ayes 9. Noes 1. Page 808.) (April 21). Re-referred to Com. on JUD.Minor
- Vote recorded Do pass, but first be re-referred to the Committee on [Judiciary]. Result: pass.Upper
- Apr 8Set for hearing April 29 in JUD. pending receipt.
- Mar 18Set for hearing April 21.
- Feb 26Referred to Coms. on B. P. & E.D. and JUD.Minor
- Feb 13From printer. May be acted upon on or after March 15.
- Feb 12Introduced. Read first time. To Com. on RLS. for assignment. To print.Introduced