Every new graduate will need an Associate Employment Agreement unless they are starting out on their own. Since only 5-10% of orthodontic graduates start a practice on their own, the vast majority will need assistance in this area.
In the event that a Seller does not desire to transition ownership of the practice, but merely wants to hire an Associate, an Associate Employment Agreement is required. If an eventual sale is part of the Associateship, then we prefer those details be specified in the Purchase & Sale documents to be executed simultaneously with the Associate Employment Agreement. Any fears or uncertainties with respect to the eventual transition will be detailed and consequences will be determined to alleviate those fears or uncertainties during this process. It is always best to have definitive documents in place that are flexible enough to permit a variety of end results. A handshake and “…don’t worry, I’ll sell the practice to you in a few years,” is by no means a transition plan.