Results 1 to 13 of 13

Thread: Need Legal Advice

  1. #1

    Need Legal Advice

    I have a question for anyone who might be able to shed some light on my situation. I provide medical IV services for a local pharmacy and in my contract it states that this contract can be terminated at anytime by either party as long as (90) days written notice is given. We have just been informed that a large company has bought them out effective OCT 5th and the early report is that they will probably not use our services because they have their own. Is the company that bought the pharmacy that i have the contract with, obligated to honor this (90) day written notice or am i screwed out of at least (90) more days of work?

  2. #2
    Veteran
    Join Date
    Jan 2006
    Location
    Northern Virginia
    Posts
    1,534
    i believe from my undergrad business law class they are required to abide by the contract.

  3. #3
    Board Moderator
    Jets Insider VIP

    Join Date
    Jul 2003
    Location
    NYC
    Posts
    19,384
    Unless there is some other provision on the contract dealing with the change in ownership of the company, you should benefit from the full 90 day notice requirement.

  4. #4
    Quote Originally Posted by jetman in indy
    I have a question for anyone who might be able to shed some light on my situation. I provide medical IV services for a local pharmacy and in my contract it states that this contract can be terminated at anytime by either party as long as (90) days written notice is given. We have just been informed that a large company has bought them out effective OCT 5th and the early report is that they will probably not use our services because they have their own. Is the company that bought the pharmacy that i have the contract with, obligated to honor this (90) day written notice or am i screwed out of at least (90) more days of work?
    When a business is purchased, the contractual obligations that were entered into are also purchased. The contract is assigned to the new party.

  5. #5
    Practice Squad
    Join Date
    Aug 2006
    Posts
    358
    Quote Originally Posted by jetman in indy
    I have a question for anyone who might be able to shed some light on my situation. I provide medical IV services for a local pharmacy and in my contract it states that this contract can be terminated at anytime by either party as long as (90) days written notice is given. We have just been informed that a large company has bought them out effective OCT 5th and the early report is that they will probably not use our services because they have their own. Is the company that bought the pharmacy that i have the contract with, obligated to honor this (90) day written notice or am i screwed out of at least (90) more days of work?
    I'm not a lawyer, but I do work with contracts in my own business. Does your contract have a clause about "successor" companies or new owners? If it does you're OK 100%. If it doesn't you might not be in too strong a position, but its arguably ambiguous. In that case, if I were you, I'd write a letter to the new company saying how happy you are that you will be doing business with them (I know, "Barf," but make nice) and asking them to advise you whether they intend to use your services beyond the 90 days in your contract, which you assume they will honor.

  6. #6
    JetsInsider.com Legend
    Join Date
    Mar 2005
    Posts
    50,788
    Is there any mention of "pudding" in the agreement?

  7. #7
    I appreciate all of the replies. You guys have given me some very good food for thought. I'll have to look at our contract again. But i'm pretty sure there is no mention of these points you bring up. It was the first contract of this type that i have ever put in place and it was kept relatively simple. The contract doesn't say that us (wife and I) are the only IV team they will use, it's just says that they will use our services from time to time which ended up turning into full time after the fact but with no change of language in the contract. It states that either party may terminate this contact at any time after being given a written notice of (90) days.

  8. #8
    Quote Originally Posted by jetman in indy
    I appreciate all of the replies. You guys have given me some very good food for thought. I'll have to look at our contract again. But i'm pretty sure there is no mention of these points you bring up. It was the first contract of this type that i have ever put in place and it was kept relatively simple. The contract doesn't say that us (wife and I) are the only IV team they will use, it's just says that they will use our services from time to time which ended up turning into full time after the fact but with no change of language in the contract. It states that either party may terminate this contact at any time after being given a written notice of (90) days.
    That is ambiguous and may be a problem? Where did you get this contract? Was it drafted by an attorney? The pharmacy?

  9. #9
    All League
    Join Date
    Apr 2003
    Location
    Sudbury,Ma
    Posts
    2,892
    I actually briefed a case for Law School that was similar with a service station that was purchased by a national chain. They are obligated to give you 90 days notice per your contract. When the company purchases the pharmacy they assume all the liabiltites and contractual obligations. However one thing you might want to consider is that they probably have retained or in house consel and can use them to indate you with paperwork. I would remind them of their 90 day clause but be prepared to either hire an attourney to answer their lawyers or let it go.

  10. #10
    Quote Originally Posted by jetfan1983
    That is ambiguous and may be a problem? Where did you get this contract? Was it drafted by an attorney? The pharmacy?
    We just went off the contract that the previous company had used with them. We changed a few things around but not much. The company that was doing their IV's before us actually let us borrow their contract to go by and they had been doing the job for 7 years before letting us take over.

  11. #11
    All League
    Join Date
    Apr 2004
    Location
    Brooklyn, New York (Where life Began)
    Posts
    4,279
    Your dealings were with the company that got bought. So I say it's null and void.

  12. #12
    All Pro
    Join Date
    Aug 2004
    Location
    NC via NY
    Posts
    8,794
    Quote Originally Posted by papichango
    Your dealings were with the company that got bought. So I say it's null and void.
    That would be an incorrect statement. Unless implicitly defined in the terms of the contract the new company is responsible to abide by said terms of the contract.

  13. #13
    you'll get a buyout

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  

Follow Us