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Non-Compete-Agreement-Review

Non Compete Agreement Review

Chelle Law provides Non Compete Agreement Review for employees in a current job with non compete restrictions in their employment contract or prospective employees who have been offered a job with a new non-compete clause. You have worked hard to develop your skills and deserve to advance in your career with a fair market value agreement with a review by a lawyer. So, when you are about to enter into a non-compete agreement, getting law services before signing is vitally important. The terms of non-compete agreements will impact your professional career and your day-to-day life. Attorney Robert Chelle can analyze your non-compete agreement, identify the areas that could be improved and assist you in achieving the best non-compete possible. An employee that requests Mr. Chelle’s assistance receives:

  • Available for attorney review in any state
  • Flat-rate pricing, with no hidden financial costs for the contract review
  • Lawyer review of your proposed contract
  • Phone consultation reviews, analyzing the contract term by term
  • Follow up with needed clarifications for the contract review

Breaking an Agreement with a Non-Compete

Physicians with non compete clauses in their contract were originally considered as restraints of trade, and thus were invalid on the grounds of public policy at common law; however, many restraints of trade incident to contracts were upheld based on the rule of reason.  Thus, restrictive covenants between dentists not to compete after termination of employment are generally enforceable as long as it is reasonable. Pertinent questions include:

Employer Non-Compete Agreements

However, there are a few states which prohibit non compete clauses.  Please review your state laws for non compete rules and regulations to see what the specific rules for your state are.  The general test for reasonableness of these clauses hold that on termination of employment, a covenant  which restrains an employee from competing with his former employer is termed reasonable if:

  • The restraint is not more than required for protecting the employer,
  • It does not inflict any untold of hardships to the employer, and
  • The restraint is not injurious to the public.

Non-Compete Agreement Reasonableness for a Job

For instance, in Ohio, a non-competition clause was considered unreasonable after judicial review when it was noted that a provider’s sub-specialty was uncommon, and that it would be harsh if the restrictive covenant was enforced as the hospital where he was precluded from practicing was only one of the few institutions in the area where he could practice his specialty.

Thus, in Ohio, covenants restraining providers from competing with his employer upon termination is considered unreasonable if it inflicts hardship on the doctor, is injurious to the public, if the demand for the doctor’s health care expertise is important for the community people and if the doctor’s services are important for the health, care and treatment of public.  However, non-competition clauses for doctors, in general, are enforceable as long as they protect some of the employer’s legitimate interests.  Having a non-compete review by a lawyer can assist in avoiding legal issues.

Business Contract Checklist Information

Every physician contract is unique.  However, nearly all contracts for health care providers should contain several essential terms.  If these essential terms in the contract are not spelled out in contracts, disputes can arise when there is a disagreement between the parties as to the details of the specific term.  For instance, if the doctor is expecting to work  Monday through Thursday and the employer is expecting the provider to work Monday through Friday, but the specific workdays are absent from the Agreement; who prevails?

Spelling out the details of your job is crucial to avoid contract conflicts during the term of your employment.  Below is a checklist of essential terms that contracts should contain (and a brief explanation of each term):

  1. Practice Services Offered: What are the clinical patient care duties? Are you given time for review of administrative tasks? How many patients are you expected to see (like in pediatrics)?
  2. Patient Care Schedule: What days and hours per week are you expected to provide patient care?  What is the surgery schedule? Are you involved in the planning of your schedule?
  3. Locations: Which facilities will you be scheduled to provide care at (outpatient clinic, surgical sites, in-patient services, etc.)?
  4. Outside Activities: Are you permitted to pursue moonlighting or locum tenens opportunities? Do you need permission from the employer before you accept those practice of medicine related positions?
  5. Disability Insurance: Is disability insurance provided (short-term and long-term)?
  6. Medical License:  Will the practice offer reimbursement for your license? Will an advisor be provided?
  7. Practice Call Schedule: How often are you on call (after hours office call, hospital call (if applicable))?
  8. Electronic Medical Records (EMR): What EMR system is used in the practice of medicine? Will you receive training or time to review the system prior to providing care?
  9. Base Compensation: What is the annual base salary? What is the pay period frequency?  Does the base compensation increase over the term of the Agreement? Is there an annual review or quarterly review of compensation?
  10. Productivity Compensation: If there is productivity compensation; how is it calculated (wRVU, net collections, patient encounters, etc.)? Is there an annual review?
  11. Practice Benefits Summary: Are standard benefits offered: health, vision, dental, life, retirement, etc.?  Who is the advisor of human resource benefits?
  12. Paid Time Off: How much time off does the job offer? What is the split between vacation, sick days, CME attendance and holidays?  Is there a HR guide?
  13. Continuing Medical Education (CME): What is the annual allowance for CME expenses and how much time off is offered?
  14. Dues and Fees: Which business financial expenses are covered (board licensing, DEA registration, privileging, AMA membership, Board review)?
  15. Relocation Assistance: Is relocation assistance offered? What are the repayment obligations if the Agreement is terminated prior to the expiration of the initial term?
  16. Signing Bonus: Is an employee signing bonus offered? When is it paid?  Do you have to pay it back if you leave before the initial term is completed? Are student loans paid back?  Is there a forgiveness period for student loans?
  17. Professional Liability Insurance: What type of liability insurance (malpractice) is offered: claims made, occurrence, self-insurance?
  18. Tail Insurance: If tail insurance is necessary, who is responsible to pay for it when the Agreement is terminated?
  19. Term: What is the length of the initial term? Does the Agreement automatically renew after the initial term?
  20. For Cause Termination: What are the grounds for immediate termination for cause?  Is a review provided to dispute the termination?
  21. Without Cause Termination: How much notice is required for either party to terminate the Agreement without case?
  22. Practice Post Termination Payment Obligations: Will you receive production bonuses after the Agreement is terminated?
  23. Non-Compete: How long does the non-compete last and what is the prohibited geographic scope?
  24. Financial Retirement:  Is a financial retirement plan offered?
  25. Non-Solicitation: How long does it last and does it cover employees, patients, and business associates?
  26. Notice: How is notice given? Via hand delivery, email, US mail, etc.?  Does it have to be provided to the employer’s attorney?
  27. Practice Assignment: Can the Agreement be assigned by the employer?
  28. Alternative Dispute Resolution: If there is a conflict regarding the contract, will mediation or arbitration process be utilized?  What is the standard attorney review process for conflict?  Who decides which attorney oversees the process?

Non Compete Lawyer Contract Review

When your physician contract is given a review by an experienced attorney, you will find financial benefits which end up outweighing the cost of the attorney review. Leave it to the experts. If you are in need of a review of an agreement or contract analysis schedule with a Physician Contract Review with Chelle Law today!