No matter how hard a practice may try to remain cohesive, sometimes partnerships fail. When a firm is dissolved it is important to abide by the terms and conditions set up in the original partnership agreement. When a partner leaves a medical practice or is asked to leave, the practice must follow a certain protocol to legally approve the decision. When proper procedures are not followed, a partner or the practice may have legal grounds to file a lawsuit.
Ending a Partnership
Partnerships frequently end when one partner is asked to leave a practice. The partner may be terminated because he or she was unproductive, a personality conflict was too great, the partner brought too much risk to the medical practice, or the partner had trouble with alcohol or drug abuse.
While these can all be valid reasons to ask a partner to leave, the practice must make the change legally. The practice may need to approve the termination in a Board of Directors meeting or shareholder meeting, and those present must vote to end the partner’s inclusion in the practice.
Changing or dissolving the business structure of a medical practice is a major decision that is not made easily. Not only may the reputation and success of the practice be at risk, but a lawsuit or counter-lawsuit may result if a physician believes he or she was wronged during the termination process. Partners may sue for termination without cause, termination without pay, shareholder rights, or other matters involved in the physician practice breakup.
Knowing Your Legal Rights
If you believe that you have been wronged by your practice, or that a partner has harmed your practice in substantial ways, you may have grounds to initiate a lawsuit against the responsible parties. A physician breakup lawsuit attorney can help to clarify your legal rights and options so that you can pursue justice. For more information on physician practice breakups and lawsuits, contact us at 512-306-9828 today.