Losing its exemption. Mass. appeals court rules that not-for-profit, hospital-owned clinic is liable for property taxes. Hospitals wonder who's next.

Not-for-profit hospital-owned physician groups may have to pay property taxes, according to a ruling from the Massachusetts Appeals Court. With federal and state officials showing interest in the tax-exempt status of not-for-profit hospitals, the case involving Sturdy Memorial Hospital could have national implications. "This is an issue coming out from under the covers," says healthcare lawyer David Hilgers, left.