Contracts for Dental Associates: What Should Be Included?

A well-structured contract is the cornerstone of a successful professional relationship between a dental practice and its associates. It establishes clear expectations, protects both parties, and helps prevent misunderstandings or disputes. Whether you're a practice owner or a dental associate, a comprehensive agreement can set the tone for a smooth and productive collaboration.

Dental associate contracts should address the practice's specific needs while ensuring fairness and clarity for both the practice and the associate. Both parties can establish a solid foundation for a professional partnership that benefits everyone involved by including essential elements such as job duties, compensation, and termination terms.

Job Duties and Scope of Work

A well-drafted dental associate contract should clearly define the associate's responsibilities and obligations. Establishing these expectations upfront helps avoid confusion and ensures both parties are aligned in their professional relationship.

Responsibilities and Expectations

• Patient care: Specify the types of procedures the associate will handle, such as preventative care, restorative treatments, or specialized services.
• Administrative tasks: Outline duties such as documenting patient records, complying with billing protocols, and participating in team meetings.
• Professional development: Highlight expectations for staying current with industry standards and pursuing continuing education.

Work Schedule and Independence

• Include details about expected working hours, such as full-time or part-time commitments, on-call obligations, and any weekend requirements.
• Address the level of autonomy in clinical decision-making, ensuring clarity about when an associate can operate independently versus seeking input from practice leaders.

Experience-Based Adjustments

The contract might include mentorship opportunities and more structured guidance for newly qualified associates. Experienced professionals may be given greater flexibility and leadership responsibilities within the practice. By clearly defining these terms, the contract creates a mutual understanding that supports the practice's needs and the associate's professional growth.

Compensation and Benefits Structure

Compensation is one of the most critical elements of a dental associate contract, as it directly affects job satisfaction and retention. A well-defined structure ensures transparency and fairness, preventing misunderstandings.

Compensation Models

Dental practices typically offer one of three models:

• Fixed salary provides associates with a consistent income, offering financial stability.
• Commission-based pay rewards associates based on their revenue, motivating high performance.
• Hybrid models combine a base salary with a commission, striking a balance between stability and incentives for productivity.

Benefits Package

In addition to salary, many practices offer benefits that attract and retain talent. These may include:

• Health, dental, and vision insurance.
• Retirement plans, such as 401(k) options with employer matching.
• Stipends for continuing education and professional development.
• Professional liability insurance protects associates from potential claims.

Performance Incentives

Some contracts include bonuses or revenue-sharing arrangements based on hitting production targets or other performance metrics.

Non-Compete and Non-Solicitation Clauses

Non-compete and non-solicitation clauses protect a dental practice’s business interests after an associate leaves. These provisions must be reasonable and balanced to ensure enforceability and fairness.

Non-Compete Clauses

Non-competes typically restrict associates from practicing within a specific geographic area for a set time after leaving the practice. This prevents direct competition and protects the practice’s patient base. The terms should be reasonable in scope and duration, aligning with state laws.

Non-Solicitation Clauses

These clauses prohibit former associates from soliciting the practice’s patients or staff for their ventures. This helps safeguard the practice’s relationships and operational continuity.

Termination Terms and Notice Requirements

Clear termination terms are a vital part of any dental associate contract. They outline how and why the employment relationship may come to an end. These provisions protect both parties by setting expectations for various scenarios.

Grounds for Termination

The contract should specify acceptable reasons for termination, such as performance issues, professional misconduct, or loss of licensure. Including clear standards prevents disputes and ensures fairness.

Notice Periods

Both parties should agree on notice periods for resignations or terminations. Contracts commonly require 30 to 90 days of notice, allowing time for a smooth transition.

Severance and Patient Transition

Some agreements include severance pay or other benefits, especially for associates with long tenures. Additionally, the contract should outline expectations for transferring patient care to different providers.

Establishing these terms upfront minimizes disruption and fosters a professional exit process.

Continuing Education and Professional Development

Supporting continuing education is vital for both dental associates and practices. Many contracts include provisions for financial support to help associates attend conferences, courses, or certification programs. This enhances the associate’s skills and adds value to the practice by staying current with the latest techniques and technologies.

Contracts may also outline expectations for skill development and training. Associates might be required to maintain specific certifications or pursue advanced training in specialized areas. Including these terms ensures both parties are aligned in prioritizing professional growth, fostering a mutually beneficial relationship that supports long-term success.

Protect Your Practice and Career with the Right Contract

A comprehensive dental associate contract lays the foundation for a successful professional relationship. These agreements protect the practice and the associate, ensuring clarity and fairness from the outset.

Whether hiring an associate or signing on as one, consulting with an attorney experienced in dental contracts is essential. With the proper legal support, you can be confident knowing your contract reflects a balanced and professional arrangement.