Dental Law - What You Need To Know
Dental Law - What You Need To Know
A summary of what every dental practice owner should know and implement in the day to day operations of their practice.
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Purchasing a Dental Practice - Legal Issues

Purchasing a Dental Practice - Legal Issues

5/23/2019 9:00:00 AM   |   Comments: 0   |   Views: 77
                                        
In addition to financial issues and considerations, there are numerous legal issues involved in a dental transition. An attorney experienced in the nuances of dental practice transitions should always assist the buying dentist in the following issues:
                                        
            
            
                    
  • What is being purchased                 
                          
    • The physical location
    •                     
    • The goodwill of the location (including the patient base)                     
                                
      • How the selling dentist transfers goodwill to the buyer
      •                         
      • The terms and conditions of the seller's non-competition and non-solicitation agreement after he/ she leaves
      •                         
      • Whether the current owner will stay on to help the practice transition into new ownership
      •                         
      • Receivables 
      •                         
      • Whether the seller is selling stock in the entity owning the practice or the assets of the practice
      •                     
                          
    •                 
                    
  •             
            
            
                    
  • Location                 
                          
    • Lease agreements                     
                                
      • Basic terms of the lease
      •                         
      • Duration of the lease
      •                         
      • Options to renew the lease
      •                         
      • Renewal terms
      •                     
                          
    •                     
    • First Right of Refusal to purchase the real estate
    •                 
                    
  •             
            
                    
  • Restrictive covenants                 
                          
    • The seller's non-competition agreements  and non-solicitation agreements, which prohibit former employees, partners, or owners of the practice from competing with the new practice
    •                 
                    
  •             
            
                    
  • Liabilities                 
                          
    • Lien searches on the practice's assets
    •                 
                    
  •             
            
                    
  • Tax consequences                 
                          
    • Tax consequences of the transaction
    •                     
    • How much tax the seller will be required to pay as a result of the sale (personal or corporate Goodwill)
    •                 
                    
  •             
            


OBERMAN LAW FIRM 

Stuart J. Oberman, Esq handles a wide range of legal issues for the dental profession including cyber security breaches, employment law, practice sales, OSHA, and HIPAA compliance, real estate transactions, lease agreements, noncompete agreements, dental board complaints, and professional corporations.
 
For questions or comments 
regarding this article 
please call (770) 554-1400
or visit 
www.obermanlaw.com
 
 Email Emily Scarborough at emily@obermanlaw.com to hear Stuart J. Oberman, Esq speak at your next event.

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