If you are considering new employment or are negotiating your current contract, consider getting assistance from an experienced attorney. Your attorney will review the contract and provide areas for improvement as well as assist you in the negotiation process. The contract and review process includes:
- Review of your proposed employment agreement
- Detailed report regarding the significant terms and areas of improvement
- Consultation review of the contract term by term
- Negotiation assistance with the employer
Contracts are a pervasive and obligatory part of nearly all business and legal transactions. Well-drafted contracts help to enumerate the responsibilities of the involved parties, divide liabilities, protect legal rights, and insure future relationship statuses. These touchstones are even more crucial when applying their roles to the case of a physician employed by a hospital, medical group, or other health care provider. While contract drafting and negotiation can be a long and arduous process, legal representation is a must in order to ensure that your rights are being protected.
The present day conclusion is simple: A physician should not enter into any contract without having the agreement reviewed by legal counsel.
There is simply too much at risk for a physician to take these matters into their own hands. In addition to the specific professional implications, contract terms can significantly impact a physician’s family, lifestyle, and future. There are many important contract terms and clauses which can present complex and diverse issues for any physician, including:
- Non-compete clauses
- Damages
- Indemnification
- Verbal guarantees
- Insurance statements
Additionally, often times the most influential terms and clauses in any employment contract are the ones that are not present. With the advent of productivity based employment agreements it is imperative that any physician have an employment agreement reviewed before it is executed.
New residents, attending physicians, doctors entering into their first employment contract and established physicians looking for new employment can all benefit from a thorough contract review. By employing an experienced attorney for your representation, you can insure that you will be able to fully understand the extensive and complex wording included in your contract. By having a full and complete understanding of the contract, you will be in a better position to make your own decision on whether or not you want to enter into the agreement which will affect your life for years to come.
The financial benefits gained from having your contract reviewed and negotiated by a seasoned attorney far outweigh the costs associated with a review. You are a valuable resource, and you should be treated and respected as such.
Common dangers associated with not having your employment agreement reviewed are:
- Inadequate professional liability and tail coverage
- Misidentifying negative terms
- Not enough paid-time-off (PTO) or Vacation time
- Provisions that violate Stark and the Anti-Kickback Statutes and Regulations
- Unfair restrictive covenants (non-competes)
- Unfavorable call schedules
- Lack of Benefits
- Biased Termination Provisions (With or Without Cause)
- Small Production Bonuses (RVU and gross income)
Additionally, common terms that need to be examined include:
- Arbitration
- Call Schedule
- Continuing Medical Education (CME)
- Dues and Fees
- Holiday Pay
- Hours
- Insurance
- Moving Expenses
- Repayment Obligations
- Salary
- Signing Bonus
- Suspension provisions
- Tail Insurance
- Termination
Coming into a new organization with a favorable contract can put the physician in a positive financial situation for years to come. Before you sign the most important contract of your life, turn to an experienced attorney for assistance. Our attorneys have extensive experience in the healthcare industry representing a wide variety of clients. They offer strong legal knowledge in the field of employment law and contracts with a background that provides clients with expert representation that is geared to insure that you receive complete protection of your interests.
