Opinion
February 27, 1996
Appeal from the Supreme Court, Nassau County (Gabriel Kohn, J.).
Plaintiffs, a corporation and its principals, were engaged in the illegal practice of medicine, in contravention of Education Law § 6512 (1), by brokering medical services, in that they selected and hired doctors to conduct medical examinations without obtaining the appropriate agency licenses, and then split the fees with those physicians ( see, State of New York v Abortion Information Agency, 37 A.D.2d 142, affd 30 N.Y.2d 779). Plaintiffs do not fall within the exemption granted to insurance companies, since their corporation was an entity separate and distinct from the insurance company with which they had contracted to perform the medical examinations ( see, supra). Plaintiffs' performance of the medical examinations was therefore illegal, and their claims arising from those actions are not enforceable ( see, United Calendar Mfg. Corp. v. Huang, 94 A.D.2d 176, 180).
There are questions of fact, however, as to whether plaintiffs' other activities, such as conducting audits of hospital statements and doctors' bills, are severable from the prohibited medical examinations, and thus, the IAS Court properly denied summary judgment with respect to those claims ( see, Artache v Goldin, 133 A.D.2d 596, 599).
Concur — Sullivan, J.P., Ellerin, Rubin, Kupferman and Williams, JJ.