Law and Health Care System Administration


Law and Health Care System Administration















Law and Health Care System Administration

Undeniably, the health care sector has evolved into a behemoth of a wide populace of employees comprising different professionals who range from nurses, physicians, health specialists and other non-health faculty. Health care administrators are responsible for the coordination and management of financing and provision of care as well as assistance within the organization of health institutions. In addition, administrators are responsible for general policy directions and the evaluation of service demand, paraphernalia and personnel. They also ensure agreement with government directives and agencies and ascertain the extension of services and establishment of novel or supplementary facilities. Based on the numerous responsibilities they assume, it is apparent that health care administrators are liable to legal mandates due to the impact that their actions pose on patients, physicians and the general hospital population.

Significance of Physician-Patient Relationship

Health care administration plays a significant role in administering and endorsing relationships between the physicians, hospitals and the respective patient. Indeed, the physician-patient relationship is significant in the provision of healthcare. The manner in which data undergoes collection, the creation of plans and diagnoses, the surety of compliance as well as the provision of treatment, patient activation and support defines the elements required to ascertain care for patients (Huang, Hung Weng, Lai & Hu, 2013). For organizations that endorse managed care, the importance of physician-patient relations is evident in the way it influences decisions among patients. Indeed, the association between the doctor and the patient is a critical facet that determines the decision to continue receiving services from a particular organization. Based on this, physicians focus on establishing a good rapport with their respective patients. This is because of the effects that a positive relationship imposes on the patient’s health and the organization’s welfare.

Simply, if the relationship is better in terms of knowledge, trust, and joint respect as well as shared perspectives concerning illnesses, time and life, then there will be adept quality in terms of information transmission from and to the patient (Epstein & Street Jr., 2011). Indeed, encouraging these associations in the healthcare setting leads to the provision of effectual services aimed at the patient. Currently, hospitals are realizing the significance of the patient in facilitating their reputation in the society as well as their financial position. The focus on patients has enabled administrators to play a significant role in ensuring that patients develop a healthy relationship with their physicians as well as the general hospital faculty (Epstein & Street Jr., 2011). The reason for this is in accordance to the consequences that the clients may pose on the institutions based on the services they receive at the setting as well as the manner in which they receive medical and social treatment. Thus, the physician-patient relationship is a cornerstone of healthcare.

Application of the Contract Principle and the Breach of Warranty

The contract principle and the breach of warranty apply in the healthcare milieu base on the relationship between the patient and the physician. Accordingly, the physician-patient association is a contractual relationship. In addition, the association between the patient and the physician is fiduciary (Statsky, 2011). Usually, the physician-patient relationship is characterized by anticipations of confidence and trust that undergo reposition by a vulnerable entity within the other entity. In addition, codes and laws mandate the party acknowledged by the vulnerable party to act in its best interests and welfare. On the other hand, the vulnerable party is required to fulfill the prerequisites specified by the party delivering the services it requires. Based on this, it is evident that the contract doctrine applies considerably. This is because both parties are bound to fulfill the conditions set in order to assure delivery of services.

In this respect, a breach of warranty may arise if the physician fails to fulfill the desires of the patient as specified in the contract (Statsky, 2011). An illustration of this is evident based on sterilization procedures. Accordingly, a patient may construe that the process of Tubal Ligation is a warranty. This may occur if they interpret the process as permanent and irremediable. Based on this, the patient may receive the assurance that they will be unable to become pregnant due to their interpretation. However, since there is a small possibility that patients may still be able to reproduce regardless of the procedure, the physician may be answerable to a claim of breach of warranty if the respective patient is able to become pregnant.

Proof of Negligence

In order for a plaintiff to prove negligence, four elements of proof are necessary in order to validate the respective claim. The first element comprises duty. In order to assess a negligence claim, it is imperative to establish whether the defendant owed a duty to the plaintiff. Two variants of duty are evident. They comprise the Duty of Care and the Special Duty (Owen, 2007). The Duty of Care comprises an obligation that directs a person to act in reasonableness within similar situations based on his or her actions. In the respect of a negligence claim, the Duty of Care provides a platform for assessing the actions of the defendant. Evaluating such actions enables one to try determining if the same actions could result if a reasonable person were under the same circumstances. The Special Duty is an obligation imposed by statute or law and is required for every person (Owen, 2007). The second element comprises breach. After the determination of the duty’s existence, it is also significant to ascertain whether there was breach of duty by the defendant.

A defendant possesses the ability to breach duty by behaving in a particular manner or failing to behave in a specific manner. Based on this, there is breach of duty if the defendant acts in a way that violates the test of the reasonable man or by failing to behave in a situation in which he or she is required legally to behave. The third element comprises cause (Owen, 2007). After determining the owing of a duty and the violation of the respective obligation, it is also important to illustrate that the respective violation comprised the definite and immediate origin of the harm caused to the plaintiff. The determination of this element leads to the integration of the fourth element; harm (Owen, 2007). Based on this, the plaintiff is required to illustrate that he or she suffered harm due to the violations of the defendant.

Functions of the Governing Board

The governing board of a healthcare corporation possesses several functions and responsibilities. Foremost, the board focuses on the specification of financial objectives. This responsibility is in accordance to the organization’s financial performance. Usually, the board focuses on implementing strategic plans that will enable the respective corporation to enhance its financial performance. Secondly, hospital governing boards also concentrate on evaluating and aligning the financial plan of the management with specified objectives. The reason for this is to provide direction on the strategies that the management apply in the firm (Culica & Prezio, 2009). In addition, assessment of the financial plan also ensures that the tactics employed by the hospital management align with the aims of the organization as well as the mission and vision statements. Thirdly, the governing board focuses on augmenting creditworthiness. This function allows the corporation to determine its financial state in terms of debt and equity in order to determine the allocation of capital within the hospital.

In conclusion, healthcare administration is a significant aspect of health care organizations. This is in accordance to the fact that it encompasses a variety of areas that are responsible for the effective management of hospitals regardless of the disparity they individually possess. Based on this, it is apparent that healthcare administrators pose a considerable impact on the supervision of hospital obligations. Therefore, in order to avoid negative consequences from affecting their respective organizations, administrators should ensure that positive management activities undergo effectual implementation for the sake of the hospitals.


















Culica, D., & Prezio, E. (2009). Hospital board infrastructure and functions: The role of governance in financial performance. International Journal of Environmental Research and Public Health, 6(3), 862-873.

Epstein, M. R., & Street Jr., R. (2011). The values and value of patient-centered care. Annals of Family Medicine, 9(2), 100-103.

Huang, J., Hung Weng, R., Lai, C., & Hu, J. (2013). Perceptual market orientation gap and its impact on relationship quality and patient loyalty: The role of internal marketing. Evaluation & the Health Professions, 36(2), 204-227.

Owen, G. D. (2007). The five elements of negligence. Hofstra Law Review, 35(4), 1671-1686.

Statsky, P. W. (2011). Torts: Personal injury litigation. New York, NY: Cengage Learning




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