After years of scandal and lawsuits that reached theatrical levels, Hageseth lost his Colorado medical license. The licensing board ruled he had violated ethical standards by romancing a patient, which resulted in the destruction of two marriages. He was kicked out of the American Psychiatric Association. He fought to regain his license and won a partial victory: his medical license was reinstated, with severe restrictions. Those restrictions basically limited his practice of medicine to research and he told the board he had accepted a position at a pharmaceutical research clinic.