[MI] What should a physician look for when reviewing a health system employment contract?

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Angelo M
Angelo M

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Since you are still in the negotiation phase and have not signed the agreement, this is the ideal time to have the contract reviewed. A physician employment agreement with a health system often contains provisions regarding compensation, RVUs, productivity bonuses, call coverage, restrictive covenants (non-compete), termination rights, malpractice coverage (including tail coverage), and partnership or leadership opportunities that can have significant long-term financial and professional consequences.

Non-compete provisions in Michigan are governed by the Michigan Antitrust Reform Act, MCL 445.774a, which permits reasonable non-compete agreements protecting an employer's legitimate business interests but limits their duration, geographic scope, and line of business. This is a key statute to keep in mind when evaluating whether a proposed non-compete clause would be enforceable.

For a family medicine physician in the Ann Arbor or Jackson area, I would recommend retaining a Michigan attorney whose practice focuses on physician employment contracts or health care law rather than a general business or contract attorney. Lawyers who regularly represent physicians negotiating with large health systems will be familiar with the contract terms commonly used by regional employers and will know which provisions are typically negotiable.

A good place to locate a qualified attorney is the State Bar of Michigan, which can refer you to attorneys concentrating in health care and physician employment law. You may also look for attorneys who are members of the American Health Law Association or who advertise a practice devoted to physician contract review.

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Connect me with a contract lawyer in Michigan who is familiar with contracts for family medicine physicians signing for health systems in the Ann Arbor and Jackson areas.

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Lexi
Lexi, Chatbot

I understand that navigating contracts can be challenging, especially in the medical field. Can you please specify if you are currently reviewing a contract or if you need assistance drafting one?

Review.

user
Lexi
Lexi, Chatbot

Have you already signed any agreements, or are you in the negotiation phase with the health systems?

Negotiations.

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Lexi
Lexi, Chatbot

Is there anything else the Lawyer should know before I connect you? Rest assured they'll be able to help with your contract negotiations.

No.

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Angelo M
Angelo M

Greetings! I hope this message finds you well. I'm thrilled to have the opportunity to assist you with your situation and provide you with the support you need. Thank you for your patience, and I look forward to working with you.

Angelo M
Angelo M

Since you are still in the negotiation phase and have not signed the agreement, this is the ideal time to have the contract reviewed. A physician employment agreement with a health system often contains provisions regarding compensation, RVUs, productivity bonuses, call coverage, restrictive covenants (non-compete), termination rights, malpractice coverage (including tail coverage), and partnership or leadership opportunities that can have significant long-term financial and professional consequences.

Non-compete provisions in Michigan are governed by the Michigan Antitrust Reform Act, MCL 445.774a, which permits reasonable non-compete agreements protecting an employer's legitimate business interests but limits their duration, geographic scope, and line of business. This is a key statute to keep in mind when evaluating whether a proposed non-compete clause would be enforceable.

For a family medicine physician in the Ann Arbor or Jackson area, I would recommend retaining a Michigan attorney whose practice focuses on physician employment contracts or health care law rather than a general business or contract attorney. Lawyers who regularly represent physicians negotiating with large health systems will be familiar with the contract terms commonly used by regional employers and will know which provisions are typically negotiable.

A good place to locate a qualified attorney is the State Bar of Michigan, which can refer you to attorneys concentrating in health care and physician employment law. You may also look for attorneys who are members of the American Health Law Association or who advertise a practice devoted to physician contract review.

Thank you, I will look into that. They provided me an offer letter that only states salary, term, and noncompete.

user

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