Physician Contract Review
AI-powered physician contract review. Analyze your medical employment agreement for restrictive covenants, tail coverage gaps, compensation structure issues, and non-compete clauses.
Frequently asked questions
What is tail coverage in a physician contract?
Tail coverage (or 'extended reporting endorsement') is malpractice insurance that covers claims made after your employment ends for incidents that occurred during your employment. Who pays for tail coverage is a major negotiation point — standard market practice is for the employer to pay if they terminate your contract without cause.
What makes a physician non-compete enforceable?
Physician non-competes must be reasonable in geographic scope, duration, and activity restriction to be enforceable. Courts in many states are skeptical of physician non-competes given public health considerations. California, North Dakota, and Oklahoma ban physician non-competes outright. A reasonable physician non-compete is typically 1–2 years within a 5–15 mile radius.
What is an RVU and why does it matter in a physician contract?
RVU (Relative Value Unit) is a measure of physician work used to calculate productivity-based compensation. If your contract includes an RVU-based bonus or salary, you need to understand the target RVU, the conversion factor (dollar value per RVU), and whether the targets are achievable given your specialty and patient panel.
What should a physician look for in a hospital employment contract?
Key areas include base salary and RVU structure, tail coverage obligations, non-compete geographic scope and duration, call schedule and expectations, termination provisions (especially without-cause termination notice periods), benefits (CME allowance, malpractice coverage), and partnership or promotion track timelines.
Are physician non-competes enforceable in my state?
It depends on your state. California, North Dakota, Oklahoma, Minnesota, and Rhode Island ban physician non-competes entirely. Massachusetts restricts them to 1 year. Texas allows them if paired with access to continuing medical education and a buyout option at a reasonable price. Florida enforces them relatively strictly. In states that permit them, courts often apply heightened scrutiny given the public interest in patient access to physicians — particularly for rural areas or specialty care. Check your governing law clause and consult a healthcare employment attorney if the non-compete covers a large geographic area.