Understanding Tenant Doctor Agreements

Tenant doctor arrangements have become one of the most popular models for medical practitioners looking to establish their practice without the overhead of full practice ownership. This guide covers everything you need to know.

What is a Tenant Doctor Agreement?

A tenant doctor agreement is a commercial arrangement where a medical practitioner operates their practice within a shared premises, typically paying a service fee or percentage of billings to the practice owner.

Key Components

1. Fee Structure: Most agreements involve either a fixed fee, percentage of billings, or a combination
2. Service Inclusions: What facilities, equipment, and support staff are included
3. Term and Termination: Duration of the agreement and exit provisions
4. Patient Records: Ownership and access to patient records
5. Non-compete Clauses: Restrictions on where you can practice after leaving

Benefits of Tenant Doctor Arrangements

• Lower startup costs compared to practice ownership
• Shared administrative burden
• Immediate access to established patient base
• Flexibility to focus on clinical work

Risks to Consider

• Less control over practice operations
• Potential disputes over patient ownership
• Variable income based on fee structure
• Dependence on practice owner decisions

Legal Considerations

Before signing any tenant doctor agreement, we recommend:

1. Having the agreement reviewed by a lawyer specialising in healthcare law
2. Understanding your obligations under the agreement
3. Negotiating terms that protect your interests
4. Ensuring compliance with AHPRA requirements

Conclusion

Tenant doctor arrangements can be excellent opportunities for medical practitioners, but proper legal guidance is essential to protect your interests.