California Association of Psychology Providers v. Rank

In 1983, the Department of Health Services, led by Peter Rank, (defendant) issued regulations to implement Health and Safety Code § 1316.5, which provided that hospital-staffed psychologists could carry out all of the professional responsibilities that were consistent with their licensure and competence. Section 1316.5 expressly prohibited hospitals from discriminating between physicians and psychologists for rendition of services that either could lawfully render. The regulations, however, prohibited hospitals from allowing staffed psychologists to take primary responsibility for diagnosing and treating hospitalized patients. However, the department’s regulations required that psychiatrists take charge of patients who were admitted to hospitals or psychiatric wards. The California Association of Psychology Providers (plaintiff) sought judicial review of the regulations, alleging that they prohibited psychologists from practicing their profession without involvement or supervision contrary to law. A state trial court granted judgment in favor of the association, finding the regulations contrary to the antidiscrimination clause of § 1316.5, declared the regulations invalid, and directed the department to issue new regulations. A state court of appeal reversed the trial court after concluding that the antidiscrimination clause only prohibited requiring psychologists to work under psychiatrists after medical diagnoses and treatments were ruled out. The association appealed.