Bad behavior can void an employment agreement

Including the appropriate language in an employment agreement can enable you to terminate a contract employee who engages in bad behavior. A recent decision from the Arkansas Court of Appeals illustrates that principle.

Background facts

Under an arrangement with St. Mary's Regional Medical Center in Russellville, Pope Emergency Group agreed to supply physicians to staff St. Mary's ER. In February 2014, Pope entered into an agreement with Dr. Carroll Johnson to provide ER services as an independent contractor at St. Mary's. He had previously worked in the hospital's ER, and his return was initially met with hesitation from St. Mary's administration and officials at Pope because some patients and hospital staff had previously complained he was “rude,” “arrogant,” and “condescending.”

Nevertheless, Johnson and Pope executed a “physician agreement” under which Johnson would provide ER services at St. Mary's. However, the contract stated that Pope could terminate the relationship “immediately” and “without written notice” for a number of reasons, including if “Hospital Administration requests [his] removal . . . or reports that [he] is being disruptive, unprofessional, or unreasonably uncooperative with the medical or administrative staff of [the] Hospital.”