Under California law, medical contractors differ from employees and are not covered in certain situations. For example, those who work under a medical contract cannot be covered by workers’ compensation, but they will still be protected against discrimination according to the Fair Employment and Housing Act (FEHA). Medical contracts can be filled with highly detailed and comprehensive language, which the average California worker may not be able to fully understand.

As one may expect, it can be challenging for contractors to understand the rights and protections that they may receive in various situations, and California law can be challenging to navigate alone. Fortunately, our team at Fishman, Larsen & Callister aims to provide medical firms with the necessary education and resources to be protected.

Understanding Contracts

It’s essential for businesses to classify whether their employees are truly employees or contractors, primarily because the law views these two as separate types of workers. For Californians looking to provide their own healthcare, they must be an employee for a medical organization or be considered an independent contractor (IC). ICs are generally hired more often in medical organizations due to California’s stance against the corporate practice of medicine (CPOM). Because of this, medical professionals providing healthcare in California must be an IC, not an employee.

ICs may work full-time depending on their agreement, and they can be compensated with either a salary or pay based on production-based terms. ICs generally don’t receive any benefits unless the employer offers them. For example, if an employer gives an IC the same benefits as their employees, they may receive paid time off (PTO), health insurance, and more.

Dispute Resolution

Contracted employees will most likely have a dispute resolution clause included in their agreement. Disputes are unfortunately common in California over various agreements, whether it concerns wages, benefits, or other aspects of the contract. If they’ve signed the contract, however, then that means they agreed to the terms listed, even if they didn’t fully read or acknowledge them. Medical professionals spend their workdays helping those struggling with various conditions, and they should be focused on the patient, not a disagreement over what their contract entails.

Why You Need a Contract Attorney

People who work via contracts are eligible for certain benefits, but the contracts themselves can be difficult to fully discern alone. Contractors may also attempt to engage in litigation because they did not fully understand the terms of their contract. They may believe that they are entitled to benefits that are not present in the contract. The contract may be unclearly written, and the contractor may believe that it gives them certain rights that you did not intend to offer. There may also be cases where neither party properly understands the terms of the agreement.

By speaking with a contract attorney, they can help you with the following:

  • They can help you negotiate different terms with your contractor and help revise your contract.
  • They can uncover any flaws or terms that would result in negative consequences for you.
  • They can clear up any misunderstandings you or your contractor have about your agreement.

Whether they’ve signed your contract or not, it’s crucial to have an experienced attorney review the document and protect your interests. Every contract is unique, even for an IC for a company that hires several other ICs. Rather than risk legal disputes arising later, ensure that you fully understand the agreement by speaking with a knowledgeable contract attorney.

FAQs

Q: What Is the Definition of a Contract Attorney?

A: A contract attorney is an attorney who focuses on contract law. They review and draft contracts for individuals in the workforce. Their job is to ensure that all terms outlined in a contract are legally binding and make sense to the individual and business in question. Should a dispute arise over a contract, a contract attorney may be brought in to review the agreement and settle the issue.

Q: Who Should Look Over a Contract?

A: It’s highly recommended for an attorney to look over a contract before anyone signs it. This is to ensure that both you and your attorney understand all the terms listed in the contract. For example, if an employer states that contractors will receive benefits like other employees, yet this isn’t made known through the contract, an attorney can point this out and work to adjust it.

Q: What Makes a Contract Legally Binding in California?

A: For a contract to be considered valid, all relevant parties must meet to discuss the terms of the contract, and the contract can be created even if two parties have conflicting views at first. Then, one party must offer to enter into the agreement. If the other parties agree and accept the contract, the last factor is consideration. Both parties must exchange something of value for it to be considered a contract.

Q: What Is a Breach of Contract in California?

A: A breach of contract happens when one party involved in the contract fails to abide by the terms set in the agreement. Both parties agreed to specific terms when the contract was created, and if either one neglects or ignores their responsibilities, it can result in severe legal consequences. Even if a party didn’t fully read or understand the contract, they are still required to obey it if they signed it.

We Can Review or Draft Your Contract

Before beginning any job, it’s essential that contractors understand their rights and what they’re entitled to. ICs in the medical field may have access to certain benefits, but both the employer and contractor need to be fully aware of the situation. To ensure that both parties agree on a contract, and are willing to abide by the designated terms, we can help draft or review the contract.

Our team at Fishman, Larsen & Callister understands how complex California employment laws are, which is why we’re prepared to assist you with your medical contract legal matters. Medical professionals, whether employed or contracted, should be focused on treating patients according to their job requirements, not on a dispute over wages.

To learn more about how we can help, contact us today.