Transcript

Key provisions that can have a significant financial impact. · Medsolve Dynamics

Yoel Bakas: I've unfortunately watched programs do everything right. on the clinical side and still lose on margin because of a contract that I helped sell them. That's what changed how I think about this work and that's why I sit on this side of the table instead of the other. In every service contract, there are provisions that will cost you. I have here that require special attention. The first one is evergreen clauses, clauses that renew the contract automatically unless you give a certain amount of notice. And I'll tell you, a program administrator called me recently after a service Her team had missed the renewal window that was written in the contract by 11 days. The contract auto-renewed at an additional 4 % escalator. That was a $380,000 contract, which meant she had to pay $15,000 extra that she did not have to pay had she looked at page 7 of the contract. It was right there. In plain English, on page seven. These aren't hidden. They're in plain sight and they become your problem the minute you sign without reading them.