New York Medical Practice Closure Laws

When closing a medical practice such as a doctor’s office, dental practice, or hospital, understanding the laws related to practice closure is vital. Every state has specific regulations governing how patients must be notified, how long medical records must be maintained, and more. Medical professionals must follow specific legal and ethical steps to ensure a smooth patient and staff transition. Failure to adhere to these requirements can lead to legal repercussions and patient care disruptions.

This guide provides a comprehensive overview of the legal requirements for closing a medical practice in New York.

Key Requirements for Medical Practice Closure

Closing a medical practice is a multifaceted process that requires careful planning and compliance with legal obligations. Some items you will need to keep in mind, include:

Patient Notification

How and when will you notify patients of your intent to close your practice? Patients must be given adequate notice of the closure. This allows them to find alternative care providers.

Medical Records Management

Patients must be informed about how to obtain copies of their medical records. In many states, physicians are required to retain records for a certain period (e.g., seven to ten years) after the practice closes or to contract a medical records custodian to deliver records to patients for that time period.

Staff Considerations

Employees should be notified per labor laws, and any contractual obligations regarding severance or final paychecks must be fulfilled.

Regulatory Compliance

The practice must notify licensing boards, Medicare/Medicaid, and malpractice insurers of the closure. Additionally, the practice may need to formally dissolve as a business entity.

Disposal of Medications and Equipment

Prescription drugs and medical waste must be disposed of according to federal and state regulations to ensure environmental and public safety.

Financial and Legal Obligations

Outstanding debts, leases, and vendor agreements must be settled before closure. Legal counsel can help navigate any complexities.

New York Medical Practice Closure Laws

​When closing a medical practice in New York, healthcare providers must adhere to specific state laws and regulations to ensure a compliant and smooth transition for patients and staff.​

New York Patient Notification Requirements

Section 18 of the Public Health Law applies to records maintained by health care facilities licensed by the Department of Health. These include hospitals, home care facilities, hospices, health maintenance organizations and shared health facilities. Its provisions also apply to health care practitioners, including physicians, physician assistants, specialist assistants, audiologists, chiropractors, dentists, dental hygienists, midwives, occupational therapists, optometrists, ophthalmic dispensers, physical therapists, physical therapist assistants, nurses, podiatrists, psychologists, social workers and speech pathologists. The law describes such facilities and practitioners as “providers.” Health care practitioners not specifically included in this paragraph are not covered by Section 18 but may be covered by a regulation that is under the jurisdiction of the State Education Department (8 NYCRR Section 29.2).

The law permits access by “qualified persons.” “Qualified persons” include the patient or an incapacitated adult patient’s legal guardian. A parent or legal guardian of a minor may access the minor’s records when the parent or guardian consented to the care and treatment described in the record or when the care was provided without consent in an emergency resulting from an accidental injury or the unexpected onset of serious illness. “Qualified persons” also include the executors and administrators of estates of deceased patients, and if there is no will, the distributees of the estate under the Estates, Powers and Trusts Law. An attorney representing a “qualified person” is also a “qualified person,” provided that the attorney has a signed power of attorney authorizing the attorney to request medical records. Health care providers, insurance companies, other corporate entities and attorneys lacking a power of attorney are not qualified persons. Although they are not necessarily “qualified persons” under Section 18, health care agents and surrogates with authority to make health care decisions for patients under Public Health Law Articles 29‑C and 29‑CC have a right to receive medical information in order to make those decisions.

Section 18 requires that within 10 days of a written request for access to records, the provider must give the qualified person the opportunity to inspect the records. Providers must also provide copies of records if copies are requested within a reasonable time frame. Providers are permitted to charge reasonable fees to recover costs for inspections, shipping and copying. However, a qualified person cannot be denied access to information solely because of an inability to pay. No charge may be imposed under this section for providing, releasing, or delivering patient information or copies of patient information where requested for the purpose of supporting an application, claim or appeal for any government benefit or program.

Under the law, if a patient requests records from a health care facility, the facility must consult with the “treating practitioner.” The “treating practitioner” is the practitioner who has primary responsibility for the care of the patient. He/she must decide whether or not access to the information may be provided. Individual facilities must decide who the “treating practitioner” is for each request. If the requested records include multiple disciplines, the facility may choose to have either a single practitioner who had the primary responsibility for patient care decide the entire matter or have a practitioner in each profession make the determination for that practitioner’s portion of the records.

Persons seeking further information regarding this process may contact:

API Coordinator
New York State Department of Health – OPMC
150 Broadway, Suite 355
Albany, NY 12204-2719

In New York, closure notifications need to be sent out at least 30 days prior to your closure date.

We recommend sending a physical letter, posting signage around your practice, and posting information about the closure on your website. It is essential that anyone who visits your practice or practice website can easily find the closure information.

A closure notification letter should include:

• The date of closure.
• The reason for closure (i.e., retirement, relocation, etc.).
• A forwarding address or phone number for questions after your closure.
• An authorization form for patients to sign so that their medical records can be transferred to a new practice.
• Information on patient record storage, including where the records will be stored, how to contact the storage facility, and any costs associated with patient record requests.

New York Medical Records Retention and Access Requirements

In the state of New York, medical record retention laws vary depending on the type of provider and whether the patient is a minor or an adult.

For minor patients, healthcare providers are required to retain medical records until one year after the patient reaches the age of eighteen. Hospitals must keep records of minors for a minimum of six years from the date of discharge or three years after the patient turns eighteen—whichever is longer. In the event of the patient’s death, records must be retained for at least six years following the date of death.

For adult patients, healthcare providers must retain all patient records for a minimum of six years. Similarly, hospitals are required to retain medical records in their original or legally reproduced form for at least six years from the date of discharge. If the patient was a minor at the time of treatment, hospitals must retain the records for three years after the patient turns eighteen or six years after discharge—again, whichever period is longer. In cases of patient death, records must be maintained for at least six years afterward.

Additionally, obstetrical records in New York must be retained for a minimum of six years, regardless of the patient’s age or provider type. These retention laws help ensure that critical medical information remains accessible for legal, clinical, and administrative purposes.

If you don’t want to maintain responsibility for storing and fulfilling medical records requests, we can help. Learn more about our custodian of medical records services here.

For more details on New York’s medical record retention requirements, consult the medical board of New York or legal counsel.

New York Medical Board Notification Requirements

Physicians must notify the Medical Board of New York about the practice closure and comply with any additional state-specific requirements. This includes informing relevant licensing boards and ensuring all professional obligations are met.

Additional Resources for Closing Your Medical Practice in New York

To get up-to-date information about medical practice closure laws in and requirements in New York, please see these additional resources:

• Facility Closure Plan Guidelines, New York State Department of Health
• Section 405.10 – Medical records, New York State Codes, Rules, and Regulations

How Desert River Solutions Can Help

Desert River Solutions is a trusted medical records custodian serving healthcare providers nationwide. Our services include:

• Electronic medical record extraction for seamless digital transition.
• Document scanning and storage for secure retention.
• HIPAA-compliant record management and destruction.
• Patient record request fulfillment, ensuring continuity of care.

Managing medical records retention is a critical aspect of healthcare compliance. Whether you’re closing a practice, transitioning to digital records, or ensuring legal compliance, working with a trusted medical records custodian can save time and reduce risk.

At Desert River Solutions, we help healthcare providers in New York and beyond with secure, HIPAA-compliant medical records storage and management. Need help with medical records retention in New York? Contact Desert River Solutions today!

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Legal Disclaimer: the information contained in this site is provided for informational purposes only, and should not be construed as legal advice on any subject matter.