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Can A Hospital Hire Doctors As Employees

Student No#: 2013-100149



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Practice of Medicine
Doctors or Physicians are qualified individuals and has the necessary specialization to practice
the applied science of medicine to diagnose, treat, heal and prevent diseases of a person. The role
physicians play within the society is vital for they restore and maintain the health and well being
of the public against illness and diseases that would affect their daily routines and life. The
importance of such individual within the community is crucial for they serve as an agent that
bridges the gap between science and society and they do help us understand things that are
unknown and might baffle and ordinary man. They can bestow upon fate of a man for their
success or failure would have a changing impact in the society.
It would only be just and understandable that having such power entails a great amount of
responsibility that would greatly affect the general welfare of the public. From which the state
through its inherent police power has enacted Republic Act No. 2382 or the Medical Act of 1959
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to regulate the practice of medicine by setting qualifications, standards, terms and agencies that
would administer the practice of medicine within the country. For a person to practice medicine
there are several prerequisite that was set through Section 8 Article III of R.A. No. 2382
(Medical Act):
Prerequisite to the practice of medicine. No person shall engage in the practice of medicine in
the Philippines unless he is at least twenty-one years of age, has satisfactorily passed the
corresponding Board Examination, and is a holder of a valid Certificate of Registration duly
issued to him by the Board of Medical Examiners.
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As per the Medical Act a person could only practice medicine after meeting the three
requirements mentioned. If an individual does not possess all the requirements and qualifications
then he should not be considered as qualified to practice medicine in the Philippines. A qualified
person to practice medicine has met all the necessary educational, experience, certification,
moral, mental and civil requirements as prescribed by law. In the case of Reyes vs Sisters Of
Mercy Hospital, it has elaborated the right to practice medicine

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Republic Act No. 2382, The Medical Act of 1959
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Republic Act No. 2382 The Medical Act of 1959 , Section 8
Can A Hospital Hire Doctors As Employees

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The practice of medicine is a profession engaged in only by qualified individuals. It is a right
earned through years of education, training, and by first obtaining a license from the state
through professional board examinations.
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Once qualified a person may then be involve on acts constituting the practice of medicine. As
governed by The Medical Act of 1959 under Section 10 Article III, the following acts constitute
the practice of medicine:
A person shall be considered as engaged in the practice of medicine (a) who shall, for
compensation, fee, salary or reward in any form, paid to him directly or through another, or
even without the same, physical examine any person, and diagnose, treat, operate or prescribe
any remedy for any human disease, injury, deformity, physical, mental or physical condition or
any ailment, real or imaginary, regardless of the nature of the remedy or treatment
administered, prescribed or recommended; or (b) who shall, by means of signs, cards,
advertisements, written or printed matter, or through the radio, television or any other means of
communication, either offer or undertake by any means or method to diagnose, treat, operate or
prescribe any remedy for any human disease, injury, deformity, physical, mental or physical
condition; or (c) who shall use the title M.D. after his name.
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Only qualified individuals are entitled to perform acts that would constitute the practice of
medicine, violation from which would constitute illegal practice of medicine with the exception
to those defined by law.
Hospitals
Generally speaking hospitals are places where people seek and resort for medical attention.
Hospitals may either be public or private depending on who owned and operate them. They are
juridical \persons
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generally incorporated bodies created by a special law or charter or
incorporation under a general law. For private hospitals as a traditional view, physicians are not
considered as an employee or agent of a hospital. For whenever a physician act upon his

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Reyes vs, Sisters Of Mercy Hospital G.R. No. 130547, October 3, 2000
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Republic Act No. 2382, The Medical Act of 1959, Section 10
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Civil Code, Article 44
Can A Hospital Hire Doctors As Employees

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professional capacity, the hospital cannot be held liable for their fault or negligence under the
Schloendorff doctrine
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. However, the traditional view has given way to the modern practice
wherein hospitals has become more than just a place that would furnish room, food, facilities and
treatment, instead has become centers for treatment with sufficient and modern facilities aiming
to the full care of their patients. Given this modern practice, hospitals could be held liable for
negligence of its employee under quasi-delict for Employers shall be liable for the damages
caused by their employees
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. As provided by the Supreme Court on the Ramos vs CA case that
hospitals exercise real control over their attending and visiting consultants. While consultants are
not technically employees, the control exercised, the hiring and the right to terminate all fulfill
the important hallmarks of an employee-employer relationship
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.
The doctrine of corporate negligence was introduced on the landmark case of Professional
Services Inc vs. Natividad
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, wherein the petitioner was held solidarily liable with the physician
for the hospital and doctor are bound by the employer-employee relation. Under the said doctrine
the hospital owes a direct duty to its patients to ensure their safety and well-being.
Employment of Physician to a Hospital
In a scenario wherein a hospital would hire the doctors directly as employees making them in-
house doctors for institutional clients and walk-in patients, is permissible for there is no express
prohibition under the law that prohibits a hospital maintained by a corporation for the purpose of
furnishing medical treatment
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. What is prohibited under the law is the illegal and negligent
practice of medicine. Illegal practice of medicine are those in violation of Section 8 and 10 under
Article III of the Medical Act of 1959
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wherein penalties are defined under Section 28 under
Article IV
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of the same act which includes fines and imprisonment. What would be considered
to be an illegal practice of law under such circumstance would be when the physician on the
practice of medicine would not act upon his personal capacity but instead act as an agent or

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Professional Services Inc. vs. Natividad 513 SCRA 478, G.R. No. 126297, January 31, 2007
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Civil Code, Article 2180
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Ramos vs Court of Appeals, G.R. No. 124354, December 29, 1999, 321 SCRA 584
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Professional Services Inc. vs. Natividad 513 SCRA 478, G.R. No. 126297, January 31, 2007
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ACEBEDO Optical Company vs. CA, G.R. No. 100152, 314 SCRA 315,March 31, 2000
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Republic Act No. 2382, Medical Act of 1959, Section 8 and Section 10
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Republic Act No. 2382, Medical Act of 1959, Section 28
Can A Hospital Hire Doctors As Employees

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employee of the said hospital or corporation would constitute the illegal practice of medicine.
Such acts would be when payment is received by the hospital for the medical practice done by
the physician, when the physician not acting on his personal capacity but as an agent of the
hospital would administer, prescribe and recommend treatment and when the hospital would
advertise such medical practice in any form or medium. Performance of such acts would
constitute a practice of medicine by the Hospital as a corporation, which would result to an
illegal practice of medicine. For the Hospital as a juridical person is not qualified to practice
medicine. For the practice of such profession is protected by our constitution, only to be
performed by a natural person.
The practice of all professions in the Philippines shall be limited to Filipino citizens
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The hospital as a juridical person would not also be qualified to practice medicine for its has not
met the requirements defined on Section 8 Article III of the Medical Act of 1959 that would
require a person to be at least 21 years of age, passed the board examination and has a valid
certification issued by the board of medical examiner
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. Nor has it fall within the exceptions and
limited practice as provided by law.
A hospital may hire physicians as employees as long as such individuals practice their profession
in their personal capacity, but this would not exempt the hospital from liabilities against the
negligence of its employees for the liability of the employers on the negligence of its employee is
provided under Article 2180 of the Civil Code base on the relationship of patria potestas. For the
practice of medicine is already conditioned upon on the highest degree of diligence as
elaborated on the case of Reyes vs Sisters of Mercy Hospital
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. Such due care should be
complied with and exercised for the health and life of a person is on the hands and successful
accomplishment of that persons task and duties to society.

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Constitution, Article XII, Section 14
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Republic Act No. 2382, The Medical Act of 1959, Section 8
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Reyes vs, Sisters Of Mercy Hospital G.R. No. 130547, October 3, 2000