QUESTION

Does a physician have the ability to negotiate any of the recruitment agreement’s terms?

SHORT ANSWER
Yes. Proper guidance helps physicians know where they have leverage.
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Physicians frequently make two significant mistakes with respect to recruitment agreements. First, they fail to retain counsel to review the agreements prior to entering into them.  Second, physicians mistakenly believe the contracts are not negotiable. Given the fact that the hospital is using these agreements to recruit physicians, a physician has more leverage than he or she may realize. Some terms that are frequently subject to negotiation include liability in the event the physician’s employment with the initial practice terminates, hospital call-coverage responsibilities, whether the physician will be subject to a non-compete, the physician’s duties in the service area, the term of the agreement, and the physician’s repayment obligations including repayment terms and interest.

ASG Law can advise you with respect to physician-facility or physician-practice group agreements.