What Happens When a Practitioner Leaves a Clinic in Ontario: Legal and Practical Considerations

The departure of a practitioner from a medical or wellness clinic can create both operational disruption and legal risk. Whether the practitioner is a physiotherapist, chiropractor, massage therapist, or other regulated professional, their exit often raises questions about patients, revenue, and ongoing obligations.

In many cases, these situations are not clearly addressed in advance, leading to confusion and potential disputes between the clinic and the practitioner.

Understanding how these issues are typically handled can help both parties navigate the transition more effectively and reduce the risk of conflict.

Why Departures Create Legal and Operational Risk

When a practitioner leaves a clinic, several key issues arise at the same time.

These may include:

• continuity of patient care

• access to patient records

• ownership of patient relationships

• ongoing appointments and billing

• compliance with regulatory obligations

Because clinics rely on practitioner relationships to generate revenue, and practitioners often develop direct relationships with patients, these interests may not always align.

Without clear contractual terms, these situations can escalate quickly.

Ownership of Patients and Client Relationships

One of the most contested issues is whether patients belong to the clinic or to the practitioner.

Many clinic agreements state that:

• patients are clients of the clinic

• all patient records are owned by the clinic

• goodwill remains with the clinic

However, practitioners may have ongoing professional obligations to their patients, including continuity of care.

In practice, this often results in a distinction between:

• ownership of the patient relationship from a business perspective

• professional obligations owed by the practitioner

Clear contractual language is essential, but it must also be considered alongside regulatory requirements.

Communication With Patients After Departure

Another common issue is whether and how patients are informed of the practitioner’s departure.

Considerations include:

• whether the practitioner can notify patients directly

• whether the clinic controls communication

• what information can be shared

In regulated healthcare professions, practitioners may have obligations to ensure that patients are informed and can access appropriate care.

At the same time, agreements may restrict direct communication with patients.

Balancing these considerations requires careful handling.

Non-Solicitation Obligations

Most independent contractor agreements include non-solicitation provisions.

These clauses may restrict the practitioner from:

• contacting former patients

• encouraging patients to follow them to a new location

• soliciting clinic staff

In Ontario, non-solicitation clauses are generally enforceable if they are reasonable in scope and duration.

However, the line between:

• permitted communication for continuity of care

• prohibited solicitation

can be unclear and fact-specific.

This is a common area of dispute.

Access to Patient Records

Patient records are typically maintained by the clinic, particularly where the clinic controls the electronic medical record system.

Key issues include:

• whether the practitioner can access records after leaving

• how records are transferred or shared

• compliance with privacy obligations

Practitioners may require access to records to fulfill professional obligations, while clinics must ensure that records are handled in accordance with applicable privacy laws.

Ongoing Appointments and Billing

At the time of departure, there may be:

• scheduled future appointments

• ongoing treatment plans

• outstanding invoices or insurance claims

The agreement should address:

• how appointments are reassigned or cancelled

• who is entitled to payment for services rendered

• how billing is handled during the transition

Without clear provisions, these issues can create both operational and financial challenges.

Restrictive Covenants and Geographic Limitations

Some agreements include geographic restrictions that limit where a practitioner can practice after leaving the clinic.

These provisions may affect:

• where the practitioner can establish a new practice

• whether they can work at nearby clinics

• their ability to continue treating certain patients

As with other restrictive covenants, enforceability depends on reasonableness.

Termination Provisions and Notice

The way a practitioner leaves the clinic often depends on the termination provisions in the agreement.

Key considerations include:

• required notice periods

• termination for cause versus without cause

• obligations during the notice period

If the departure occurs without proper notice, it may create additional legal issues.

Practical Steps to Reduce Risk

Both clinics and practitioners can reduce risk by addressing these issues proactively.

This may include:

• clearly defining patient ownership and communication rights

• drafting reasonable non-solicitation provisions

• establishing protocols for patient transitions

• aligning contractual terms with regulatory obligations

Addressing these issues in advance can help avoid disputes and ensure a smoother transition.

Why Legal Review Matters

Departures from medical clinics involve a combination of contractual, operational, and regulatory considerations.

Before taking action, clinics and practitioners may wish to obtain legal advice to ensure that:

• contractual obligations are clearly understood

• communication with patients is handled appropriately

• risks associated with restrictive covenants are assessed

• the transition is managed in a way that minimizes disruption

Careful planning can help both parties navigate the situation effectively.

Speak With a Lawyer Before Handling a Practitioner Departure

If you are dealing with a practitioner leaving a clinic in Ontario, you can Book a Consultation to discuss your situation and next steps.