Expert: Timmy Chou - 1/10/2005

Question
Hi Mr. Chou,

I will be be starting an acupuncture practice sometime this Summer. Is there an economical way to run a background check on a patient after calling for their first appointment? Maybe it would inform me if a person has ever embezzled, stolen, misappropriated money, shoplifted, had or has bad credit, or has filed frivolous lawsuits. Would this be a wise idea, would it be feasible, and could it be done quick enough to cancel their first appointment?

Thank you for any counsel.

Mike Eidson, LAc.

Answer
Thank you for your question!

Mediators act as neutral third parties to disputes and never "get involved" in judging the merits of conflict, but merely use special techniques to help the parties decide how to negotiate their own settlement.

I am not a lawyer, but I can respond to your question from my business consulting experience.  Note that your idea may possibly develop legal implications and you may wish to consult an attorney.

There are a host of different definitions of "background check" and you will want to be sure you understand what you are buying.  You can typically run a credit check for about $5-12 per person, for example, but more extensive checking will cost more.   

However you do it though, you will have to obtain written permission from the patient before you will be able to do background or credit checking.  You will have to decide if the negative effects of this practice on people will offset the risk posed by unscrupulous patients.  I can see that some people would not like a credit inquiry in advance of medical treatment.   

This is not really my area but these are some ideas.  Feel free to follow up with additional questions.

For your information, the pros and cons of the types of dispute resolution methods follows.

GOOD LUCK!

Arbitration, Mediation, and Litigation

Arbitration: the referral of a dispute to one or more impartial persons for final and binding determination outside of the judicial system

Benefits of Arbitration:

    Confidential, no public record
    Limited exchange of documentation, information
    Quick, don't have to wait for a court date
    Arbitrators have expertise in the subject matter and are trained in conflict resolution
    Cheaper than litigation
    Preserves business relationships

Negatives of Arbitration

    It's a compromise, no %100 winner
    Complex arbitration can be costly
    If not satisfied, may litigate the arbitration procedure
    Poor results with an unskilled arbitrator
    Both parties must agree to cooperate in the process

Mediation: the process by which parties submit their dispute to a neutral third party (the mediator) who works with the parties to reach a settlement of their dispute.

Benefits of Mediation:

    Neutral mediator can objectively suggest alternatives not considered before
    Parties are directly engaged in negotiating the settlement
    Can be quicker than litigation
    Less costly than litigation
    Preserves business relationships
    85% of American Arbitration Association cases mediated find successful solutions

Negatives of Mediation

    may not reach a binding decision
    unskilled mediator

Litigation: using the judicial system to resolve disputes

Benefits of litigation:

    a clear winner and loser
    uses a prescribed set of procedures
    more predictable outcomes
    is final

Negatives of Litigation:

    waiting for court dates can do more harm
    usually more expensive than mediation and arbitration
    part of the public record