Non-Compete Clauses For Mental Health Professionals

Apr
18
2011

On Friday, I was talking with my colleague, Allen Young, LPC Image of Closely Examine Documentsabout non-compete clauses.  When I got off the phone, I realized that I have not shared this terrific blog post by  Thursday Bram with you on how to handle non-compete clauses.

Although this article is not written specifically for mental health professionals, I think you’ll find it worth your time to read.  And, when you are finished, I hope you’ll drop back in here to share what your experiences (good and bad) have been with non-compete clauses.

I look forward to hearing from you!

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Ask Tamara – The Logistics Of Changing To A Different Practice Setting

Apr
11
2011

 

The End - Typewriter

Barbara H. Salkewicz is a Licensed Professional Counselor in private practice with Adults and Children Behavioral Health in Brick, New Jersey.  Earlier this month, Barbara wrote me to share her concerns about working in this insurance based practice and earning less money than she feels she is worth.  She says . . .

The problem I am facing is that I make very little money for a great deal of time invested having roughly 40 clients that I see regularly per week. It is emotionally exhausting and financially unrewarding.

I would like to strike out on my own but do not know the logistics of leaving a practice i.e. changing tax IDs with the insurance companies with which I am paneled, is it ethical to take my client base with me as it is me they want to see and not the practice they have a relationship with, how much notice should I give to find a replacement etc.

I know these are very entry level basic questions but this is something I have not dealt with before and want to handle things responsibly. Any help you can provide would be greatly appreciated. Thanks.”

Barbara, you are wise to be considering these things before you actually leave your current setting.  And, here’s what I’ve been told repeatedly . . . .

Federal Income Tax IDs

Your United States federal income tax ID, also known as your Employee Identification Number,  is a unique identifier assigned to you – not to your employer.  That means that it follows you wherever you go and never changes.

Taking Clients with You

The American Counseling Association’s Code of Ethics indicates that the relationship a client has is with you, the counselor, rather than your employer. That means that you can ethically take your clients with you.  However, if you signed a non-compete clause in your contract with Adults and Children Behavioral Health, you need to run this question by an attorney who specializes in contract law in New Jersey.  You may or may not legally be obligated to leave them behind.  (Check out How to Handle Non-Compete Clauses at Freelance Switch.)

Notice of Resignation

If you have signed a contract or entered into a verbal agreement that dictates a specific timetable or process for ending your current employment, you will need to speak with an attorney before you decide to do otherwise.  However, barring that situation, it is customary to give two weeks notice when submitting your letter of resignation.  Note that this is not necessarily required and extenuating circumstances might warrant a shorter notice.  In any case, you should be aware that your employer also has the right to let you go immediately rather than allow you to work for another two weeks.

Barbara, I hope you’ll let us know when you open your new practice and how we can support you along the way!  Thanks for dropping in to chat here at Private Practice from the Inside Out!

Related Post – You Can’t Just Shut the Door and Walk Away!

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What To Include In Your Consulting Contract

Jun
7
2010

Colette Binger of Ridott, Illinois is expanding her practice to include consulting.  She wrote in asking what should be included in her consulting Image of Questions and Answers Signpostcontracts.

Here are the categories that I consider when I offer contractual services:

  • Services to be provided including specifications / proposal, if applicable;
  • Reports and presentations to be included;
  • Where services will take place i.e. on client’s premises or on consultant’s premises;
  • Any other special arrangements;
  • Beginning date;
  • Target completion date;
  • Fees specified per hour / day / other – consider including maximum number of individuals to be worked with;
  • Total estimated fee / cost;
  • Other costs (specify what for);
  • Amount of advance retainer amount;
  • Specify terms for balance to be paid;
  • Notes, remarks, and special provisions, if any;
  • A place for consultant to sign and date; and,
  • A place for client to sign and date.

After you develop your consulting contract, be sure you take your contract to an attorney for review.  (I didn’t do this and unknowingly signed a non-compete clause that was perfectly enforceable – and not in my best interest – in the state of Colorado.)

Never sign a contract that has not been reviewed by an attorney in the state where your services will be provided.






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