- 26 - k. Approving any obligations for repairs, equipment, additions, or betterments to the Surgery Center; l. Approving any lease or contractual obligations requiring payments in excess of $50,000 in the aggregate for any twelve-month period or those obligations not in the ordinary course of business; and m. Approving any obligation to a related party in excess of $5,000. Quality Assurance Agreement Paragraph 13 of the General Partnership agreement, supra, requires SCA Management to enter into a quality assurance agreement with RHS whereby RHS will agree to perform “certain managerial and supervisory quality assurance duties” in connection with the operation of the Surgery Center. The General Partnership agreement provides that the quality assurance agreement is to continue from year to year unless terminated by either of the parties. Effective April 30, 1990, SCA Management and RHS entered into a quality assurance agreement. The agreement states that SCA Management “retains RHS for the purpose of the management and supervision of quality assurance programs for the [Surgery] Center and [to] oversee its affairs, and for providing additional services as SCA [Management] may reasonably request.”Page: Previous 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Next
Last modified: May 25, 2011