Regulatory and legal influences on physicians' office laboratories

We believe that the current shift of analysis from hospital and independent laboratories to physicians' offices will continue. As the volume of laboratory work performed in physicians' offices increases, there will be increased pressure at the federal and state levels to regulate these laboratories. The purpose of such regulation will be to ensure adequate quality and fair competition. These office laboratories will also be at an increased risk for malpractice claims. If they can offer high-quality analysis in a cost-effective manner, physicians will continue, in the long run, to expand their office analytic services.