Congressional Democrats Introduce Federal Bill to Block Corporate Takeovers of Medical Practices

Democratic lawmakers Val Hoyle, Jeff Merkley and Ron Wyden introduced the Stop Corporate Takeovers of Physicians Act, a federal counterpart to Oregon’s landmark ban on the corporate practice of medicine. The bill seeks to stop private-equity firms and other corporations from dictating clinical decisions, a practice that Oregon’s law successfully challenged when emergency doctors in Eugene used it to block a staffing company’s takeover of the PeaceHealth RiverBend Level II trauma center.

Hoyle highlighted the law’s effectiveness in shutting down shell-company schemes, while Merkley warned that hedge funds are increasingly infiltrating sectors from housing to health care. Wyden, ranking Democrat on the Senate Finance Committee, pledged to prioritize the measure even though Republicans dominate the Senate and upcoming elections could affect its fate. Attending physicians recounted experiences of abrupt contract terminations, restrictive non-compete clauses, and corporate metrics that push for higher patient volumes with fewer resources. The sponsors argue that restoring physician control will improve patient safety and community health nationwide.