Use our free medical director agreement template to create a legally binding document usually entered between a healthcare organization and the person assuming the stated role when hiring a medical director.
This medical agreement (this "Agreement") is made and entered into by and between [Sender.Company] (Name of Organization), a health institution established and located in [Sender.StreetAddress] [Sender.City] [Sender.State] [Sender.PostalCode] (Company Address), and [Client.FirstName] [Client.LastName] (Name of Medical Director) under the rule of (Name of Jurisdiction). This agreement is effective as of (Effecive Date).
WHEREAS, the medical organization wishes to retain the medical director (Description of Services) as this contract outlines.
WHEREAS, the medical director agrees to carry out the duties outlined in this contract.
NOW, THEREFORE, in consideration of mutual promises, both parties agree to commit to the conditions, covenants, and terms stated in this contract as follows:
The medical leadership agreement format requires that you be specific and comprehensive when listing roles and responsibilities. This includes specifying medical practice areas they may be expected to contribute in. Furthermore, outline their involvement in quality improvement initiatives, protocol development, and ensuring compliance with relevant healthcare regulations.
The medical director shall provide professional medical expertise, guidance, and leadership to [Sender.Company] (Name of Organization). This includes but is not limited to overseeing and coordinating medical services and participating in developing and implementing medical policies and protocols. He/she will also ensure compliance with applicable laws and regulations and promote high-quality patient care.
The Medical Director shall diligently perform the following duties:
Supervise and collaborate with medical staff, ensuring effective communication and teamwork. Review and assess patient care activities to maintain the highest standards of clinical practice.Provide clinical guidance and support to healthcare professionals, ensuring adherence to evidence-based practices.
Participate in strategic planning and decision-making processes for medical services and organizational growth.
Represent [Sender.Company] (Name of Organization) in relevant conferences, meetings, and events.Collaborate with administration and other departments to enhance patient experience and organizational efficiency.
The medical director shall be evaluated based on the following performance criteria:
Demonstrated leadership and ability to foster a culture of excellence and patient safety. Timely and effective execution of assigned responsibilities and duties. Successful implementation of initiatives to improve patient outcomes and quality of care. Compliance with all applicable laws, regulations, and medical standards. Maintenance of professional credentials and continuing medical education.When filling out the compensation terms for this job, factor in their responsibilities. The compensation package listed in this template for medical director contracts should be within the current market value. To reimburse expenses, ensure you set a reasonable cap for their job responsibilities. It also helps to specify the payment period and method. Along with this, outline who bears transaction charges accrued when making payments.
The medical director shall be compensated for their services per the following payment structure (Insert Annual Salary, Hourly Rate, Per Diem, and Other Payments). The specific payment amount shall be subject to performance. As the organization sees fit, other factors may be used to determine or adjust the compensation package.
The organization shall reimburse the medical director for all reasonable and necessary expenses incurred dispensing their responsibilities per this agreement. Such expenses may include but are not limited to (Insert list of Approved Expenses, e.g., travel expenses, professional fees). He/she shall submit appropriate documentation and receipts for reimbursement compliant with the organization's policies.
Payments and reimbursements to the medical director shall be made (Specify the Payment Method, e.g., by Direct Deposit, Check, Wire Transfer, etc.), and shall be provided on a (Specify Frequency of Payment, e.g., monthly, bi-weekly, etc.) basis. He/she shall bear transaction charges associated with their chosen payment method. The organization shall ensure timely and accurate payments on its part.
Stipulate the engagement period and outline the procedure for termination of services. A helpful tip is to consider labor laws in your jurisdiction as you fill out this section. Improper termination can lead to serious legal issues, so it must be done correctly. You can also add a contract renewal clause here if necessary.
The initial term of this medical director agreement shall commence on (Effective Date) and continue for (Insert Number) years. Upon the expiration of the initial term, this agreement may be renewed for successive terms upon mutual written agreement of both parties.
Either party may terminate this agreement for cause upon the occurrence of any of the following events:
Breach of any material provision of this contract by the other party. He/she fails to fulfill their responsibilities and duties as this agreement outlines. Engaging in conduct that is detrimental to the reputation or operations of the medical organization. Any violation of applicable laws, regulations, or ethical standards.Either party shall provide written notice to the other party at least (Insert Number) days in advance in the event of termination. The initiating party shall, in good faith, specify the grounds for termination and the effective date of termination.
The medical director shall promptly return all property belonging to the medical organization upon termination. He/she agrees to return confidential information or records from the medical organization upon termination. Until the effective termination date, all parties will be held liable for their accrued obligations.
This medical director agreement template clause seeks to protect the organization. When filling out this section, ensure you use unambiguous language. The procedures to be taken if a conflict of interest arises should be well defined. The measures should be flexible to allow case-by-case evaluation without contradicting the medical organization’s policies. For the non-compete clause, ensure its validity period aligns with labor laws in your jurisdiction.
The medical director acknowledges and agrees to promptly disclose, in writing, any potential conflicts of interest that may arise while performing their duties. Such disclosures shall be made to [Sender.Company] (Name of the Organization) and include all relevant details about the nature and extent of the potential conflict.
Upon disclosure of a potential conflict of interest, [Sender.Company] (Name of the Organization) and the medical director shall collaborate to determine appropriate measures to mitigate the conflict. These measures may include but are not limited to recusal from decision-making processes, the appointment of an independent review committee, or any other necessary actions.
The parties recognize the importance of proactively addressing conflicts of interest and following all applicable laws, regulations, and ethical standards governing medical practice.
By entering this contract, the medical director agrees that during the term of this agreement and for a period of (Insert Contract Duration) following the termination or expiration of this agreement, he/she shall not, directly or indirectly, engage in or participate as an employee, consultant, independent contractor, or in any other capacity, any business or enterprise that competes with the [Sender.Company] (Name of the Organization) within (Insert Geographical Area)
This section specifies the compliance obligations of the medical officer. When filling it out, state the jurisdiction whose laws will be followed. Also, mention the laws they should follow, such as medical standards or medical organization compliance laws.
The medical director agrees to adhere to all applicable medical standards, guidelines, and protocols by signing this agreement. They shall also execute duties within their area of expertise per set standards by (Name of Regulatory Body).
The medical director agrees to comply with all federal, state (Name of State), and local laws (Name of County/City) regulations. He/she agrees to, in good faith, monitor compliance with set standards by other medical organization staff. This includes but is not limited to, laws related to healthcare privacy and confidentiality, billing and coding, and any other applicable healthcare regulations. He/she shall promptly inform the organization of any changes or updates to relevant laws or regulations that may impact their role.
The insurance and liability section protects the director and the facility in line with the medical leadership agreement format. It ensures that the director is reasonably covered against claims or lawsuits. This gives them the confidence to do their job without significant personal financial risk. This clause also limits the director from seeking indemnification against intentional misconduct.
[Sender.Company] (Name of Organization) shall indemnify and hold the medical director harmless from and against any claims, liabilities, damages, losses, and expenses, including reasonable attorney's fees and costs arising from or related to performing their duties. The extent of the protection from liability shall be determined by applicable law.
Notwithstanding any provision in this agreement, [Sender.Company] (Name of Organization) shall not extend indemnification to the medical director on claims, liabilities, damages, losses, or expenses resulting from willful misconduct or gross negligence. Indemnification will also not be provided for any actions or omissions outside the scope of their responsibilities as defined in this contract.