{
  "docId": "019dd923-622c-750b-8b99-62a16d2a2f71",
  "docSlug": "747988e81365",
  "documentTitle": "Hims & Hers Health, Inc. (HIMS)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2023-07-13 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 17,
  "pageCount": 105,
  "prevPage": 16,
  "nextPage": 18,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "overcrowded",
  "nDataPoints": 0,
  "notes": "Uses a combination of regulatory definitions, company disclosures, and legal expert commentary to highlight potential liability.",
  "elementsJson": [
    "paragraph",
    "callout_box",
    "bullet_list"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-62a16d2a2f71/17",
  "deckHref": "/decks/019dd923-622c-750b-8b99-62a16d2a2f71",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-62a16d2a2f71.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-62a16d2a2f71#slide-17",
  "components": [
    {
      "bbox": {
        "h": 0.05,
        "w": 0.48,
        "x": 0.46,
        "y": 0.76
      },
      "kind": "callout",
      "text": "Do physicians in the HIMS network appreciate this risk?",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "efffcb61-bde9-483f-b448-60b6e00265cd",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.22,
        "w": 0.96,
        "x": 0.02,
        "y": 0.71
      },
      "kind": "list",
      "text": "Excerpt from \"Health Care Regulatory Primer: Management Service Organizations\", Chapman and Cutler LLP. The CPoM presents a significant concern to physician business ventures as failure to comply with a state's CPoM laws can result in: Physician licensure action or revocation; Civil (and in extreme cases, criminal) liability; Voiding of an underlying business arrangement; Commercial or government insurers seeking to recoup reimbursement payments.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "15ac6d3d-cb32-4527-982d-4d51b36c38b3",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.96,
        "x": 0.02,
        "y": 0.43
      },
      "kind": "paragraph",
      "text": "In certain jurisdictions, the corporate practice of medicine doctrine generally prohibits non-physicians from practicing medicine, including by employing physicians to provide clinical services, directing the clinical practice of physicians, or holding an ownership interest in an entity that employs physicians.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "3d80cdb0-0e16-45f6-b60f-6994edb0debc",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.18,
        "w": 0.96,
        "x": 0.02,
        "y": 0.18
      },
      "kind": "paragraph",
      "text": "The corporate practice of medicine (CPoM) doctrine prohibits corporations from practicing medicine or employing physicians to provide professional medical services in order to prevent the commercialization of medicine and avoid conflicts of interest...",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8259f018-20cf-4b49-8d14-a7cadc7ff954",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "The CPoM presents a significant concern to physician business ventures as failure to comply with a state's CPOM laws can result in: Physician licensure action or revocation. Civil (and in extreme cases, criminal) liability for non-physician business partners (e.g., a MSO) for engaging in medical practice without a license. Voiding of an underlying business arrangement (e.g. a management services agreement) for illegality. Commercial or government insurers (e.g., Medicare and Medicaid) seeking to recoup reimbursement payments due to illegality of the underlying business structure. — Chapman and Cutler LLP",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd953-0f1d-76e6-8703-d73b6dbc16d7",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.4,
        "x": 0.02,
        "y": 0.97
      },
      "kind": "source-note",
      "text": "Source: Spruce Point Research, HIMS 2022 10-K, Chapman and Cutler",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c7ad7b92-1886-4538-a5e1-7d386442ec0c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.65,
        "x": 0.31,
        "y": 0.05
      },
      "kind": "title",
      "text": "HIMS Must Adhere To Corporate Practice of Medicine (CPoM) Provisions, And Violations Can Have Serious Consequences",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "a3289242-1ce6-4b3c-b24d-a40a064518b7",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.96,
        "x": 0.02,
        "y": 0.63
      },
      "kind": "title",
      "text": "HIMS Discloses That Violating CPoM Provisions Would Have a \"Material Adverse Effect\" on Its Business (2022 10-K)",
      "attrs": null,
      "subkind": "subtitle",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "1a109f0b-f89a-431f-8377-20b035094354",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.96,
        "x": 0.02,
        "y": 0.38
      },
      "kind": "title",
      "text": "HIMS Disclosure Regarding CPoM Doctrine on Its Operations (2022 10-K)",
      "attrs": null,
      "subkind": "subtitle",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "33d065cf-e7f3-43ed-8976-05d8e522d80e",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "572a9a1c-8072-4c04-9aff-767056fd67c8",
      "evidence": "Exposing the gap between company disclosures and operational reality regarding regulatory compliance.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 105,
      "from": 15,
      "beatId": "e37982bf-a669-4ff0-9d59-9ad104610c60",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Expose Contradiction",
      "beatSlug": null,
      "evidence": "The document presents numerous contradictions and issues with HIMS' business model, operations, and financials",
      "position": 2,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    },
    {
      "to": 53,
      "from": 4,
      "beatId": "80bd0218-c4cf-4186-b917-bf58199ab190",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Villain Critique",
      "beatSlug": null,
      "evidence": "The document presents a thorough critique of HIMS, framing it as a villain in the healthcare market",
      "position": 4,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}