Can a Physician Contract be Terminated Early?

Dealing with employer/employee work issues can be difficult, but not dealing with them can be worse. So, can a physician terminate and employment contract, the short answer is, generally Yes if the termination is “for cause”, often the termination can be triggered and it may even be immediate. If the termination is “without cause” or “at will”, there is typically a notice required by either side to allow the other to cure the breach of contract. For a list of 20 “For Cause” Reasons to terminate contract go to: https://bit.ly/2NX6H5o

In Most Cases: Most physician employment agreements are for a period of two (2) years, sometimes with automatic renewal clauses and sometimes not. Most employment agreements give the employer to terminate without cause, but they do not specifically state that an employee can terminate the agreement without cause. If an physician terminates the employment agreement “without cause”, the employer will not be able to force the physician to return to work, but the employer may be able to pursue a damages claim if the employee leaves early. 

Employer’s “For Cause” Termination: There can be many reasons that physician may be terminated with cause, such as: loss of medical license, unable to obtain insurance, failure to bill for services, loss of medical privileges, bankruptcy, illness or disability of physician, and sometimes even including dissolution or merger of employer. 

Physician’s “For Cause” Termination: Similarly, a Physician may also be able to terminate the employment agreement if the employer fails at performing its duties of: billing, maintenance of records, providing the support staff and the equipment the physician needs. 

There is often a clause to provide the other party time to cure the defect, but not necessarily.

Terminating an employment contract can be tricky. Our clients often contact us to discuss if the set of circumstances that they have is substantive but not clearly dispositive of what action to take. 

If you have questions about your unique situation, please call/text me for a free consult. 

Author:

Ben Assad Mirza, Esq., LLM, CPA, MPHA, CHC

Healthcare Law Partners, LLC

401 East Las Olas Blvd., Suite 1400

Fort Lauderdale, Florida 33301

Cell/Text: (954)445-5503 (Primary)

Office: (954)634-2370 (Secondary)

Ben@HealthcareAttorney.Net

Profile on Linkedin – https://www.linkedin.com/in/get-ben/

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