Psychological treatment unsuccessful. Client refusing to pay
Discussion
I run a couple of psychology clinics providing psychology, psychiatry and psychotherapy to private clients. We've been operating for 15 years successfully, but recently a customer is refusing to pay as his anorexic daughter did not recover during the time that she was in treatment.
I'd like to add something to our Ts&Cs that makes it clear that we cannot guarantee success. Clearly we are regulated and our staff are all fully accredited.
I've been looking online and have found the following wording (from another industry). Do you think that this can be adapted to cover psychological treatments?
Many thanks in advance.
No Warranty of Success. Nothing contained in this Agreement shall be construed as a warranty on the part of either Party that (a) the Research Program will yield any Licensed Product or will otherwise be successful, or (b) the outcome of the Research Program will be commercially exploitable in any respect.
I'd like to add something to our Ts&Cs that makes it clear that we cannot guarantee success. Clearly we are regulated and our staff are all fully accredited.
I've been looking online and have found the following wording (from another industry). Do you think that this can be adapted to cover psychological treatments?
Many thanks in advance.
No Warranty of Success. Nothing contained in this Agreement shall be construed as a warranty on the part of either Party that (a) the Research Program will yield any Licensed Product or will otherwise be successful, or (b) the outcome of the Research Program will be commercially exploitable in any respect.
enzoenzo said:
I run a couple of psychology clinics providing psychology, psychiatry and psychotherapy to private clients. We've been operating for 15 years successfully, but recently a customer is refusing to pay as his anorexic daughter did not recover during the time that she was in treatment.
I'd like to add something to our Ts&Cs that makes it clear that we cannot guarantee success. Clearly we are regulated and our staff are all fully accredited.
I've been looking online and have found the following wording (from another industry). Do you think that this can be adapted to cover psychological treatments?
Many thanks in advance.
No Warranty of Success. Nothing contained in this Agreement shall be construed as a warranty on the part of either Party that (a) the Research Program will yield any Licensed Product or will otherwise be successful, or (b) the outcome of the Research Program will be commercially exploitable in any respect.
IANAL, but I do negotiate and write all my own contracts (and use them in proceedings if necessary).I'd like to add something to our Ts&Cs that makes it clear that we cannot guarantee success. Clearly we are regulated and our staff are all fully accredited.
I've been looking online and have found the following wording (from another industry). Do you think that this can be adapted to cover psychological treatments?
Many thanks in advance.
No Warranty of Success. Nothing contained in this Agreement shall be construed as a warranty on the part of either Party that (a) the Research Program will yield any Licensed Product or will otherwise be successful, or (b) the outcome of the Research Program will be commercially exploitable in any respect.
Without seeing the whole of your contract, it is impossible to know what - if any - additional clause could (or should) be dropped in. Most contracts I see are the result of years of experience (as in "we need a clause to cover this thing that just went wrong") and end up as a real dog's dinner
If you (or your people) are members of the relevant professional bodies, I'd expect them to have model contracts available for you to look at?
Above all else, however, the contract should surely be for the delivery of services, not of outcomes. The fact you think the contract might not be clear enough about that makes me concerned the rest of the contract may not actually be up to it. The first job of the contract should be set out what you do - and importantly what you do not - provide. How are the services of assessment and treatment described?
Probably you might want to consider interim updates/notifications if the patient is not engaged/not progressing, so that parents/next of kin can take an informed decision to continue or cancel as they deem fit.
Ultimately this boils down to how you want to be known long term, would you want to still take money if,as specialists, you know this is not going anywhere unless the other party engages well.
They will have the option to continue at risk if they choose to.
Ultimately everyone hates surprises at the end, for them it’s lack of benefit/progress, for you it’s not being paid.
Ultimately this boils down to how you want to be known long term, would you want to still take money if,as specialists, you know this is not going anywhere unless the other party engages well.
They will have the option to continue at risk if they choose to.
Ultimately everyone hates surprises at the end, for them it’s lack of benefit/progress, for you it’s not being paid.
Thank you everyone for the replies.
We have been treating patients for 15 years purely through word-of-mouth referrals. This incident is the first time in that period when someone has refuse to pay due to the lack of successful outcomes. Clearly our team have put in the hours, and we had bi-weekly reviews with the parents to track progress. Sadly, some patients gain more power from remaining ill than they would from recovery.
I will consider inserting a clause in our terms and conditions that points out that we will use our best efforts in treating our patients, however, despite Clinical Team using their best endeavours there is no guarantee of success.
We have been treating patients for 15 years purely through word-of-mouth referrals. This incident is the first time in that period when someone has refuse to pay due to the lack of successful outcomes. Clearly our team have put in the hours, and we had bi-weekly reviews with the parents to track progress. Sadly, some patients gain more power from remaining ill than they would from recovery.
I will consider inserting a clause in our terms and conditions that points out that we will use our best efforts in treating our patients, however, despite Clinical Team using their best endeavours there is no guarantee of success.
belfry or possibly enzoenzo said:
I will consider inserting a clause in our terms and conditions that points out that we will use our best efforts in treating our patients, however, despite Clinical Team using their best endeavours there is no guarantee of success.
It still means that if they refuse to pay you'll have to go to court. Money up front, or after each session, is a heck sight easier. It's standard practice in some industries like music teaching (you have to pay for a whole term even if little Timmy hates it) and wedding services where it's all too easy for a dishonest couple to invent problems afterwards.belfry said:
We have been treating patients for 15 years purely through word-of-mouth referrals. This incident is the first time in that period when someone has refuse to pay due to the lack of successful outcomes. Clearly our team have put in the hours, and we had bi-weekly reviews with the parents to track progress. Sadly, some patients gain more power from remaining ill than they would from recovery.
While I have no user experience of this specific type of service, we've used various others and it's always PAYG.To let a (presumeably) lengthy series of sessions run on without payment seems somewhat remiss.
It seems remarkable that it's never happened before. Not quite the same thing but my sister-in-law used to be a vet in a reasonable area and she was having to take upfront payments off new customers as so many weren't paying.
Edited by Sheepshanks on Sunday 31st January 13:57
belfry said:
I will consider inserting a clause in our terms and conditions that points out that we will use our best efforts in treating our patients, however, despite Clinical Team using their best endeavours there is no guarantee of success.
Get a solicitor and pay for indemnified advice.Be VERY careful with the phrase "best endeavours" as it has a meaning that you may not intend.
Read the above post.
https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
stuthe
said:
said: Read the above post.
https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
+1 for this and vaud's posts. "Best endeavours" always sounds so harmless, but has a long (and usually unhappy) history in the courts - it sets you to the highest standard that *anyone* in your profession could aspire to. You're looking more at a "reasonable standards of skill and judgement" type of clause - if in doubt, look at the *minimum* standard set by the professional body to avoid sanctions and promise only that https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
stuthe said:
said: Read the above post.
https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
I wouldn't even go therez or anywhere near there. https://www.lexology.com/library/detail.aspx?g=6a4...
"Best efforts" is the highest obligation you could pit on yourself. Its the opposite of what you're trying to achieve.
Pay a lawyer to draft your contract.
I'd have a clause with the effect that payment is strictly on a time spent basis only and no particular outcome is or will be guaranteed.
GT03ROB said:
Why do people running businesses think the right answer is to ask a bunch of idiots on the internet a question that if they get wrong could totally screw said business, rather than go & talk to a lawyer?
Beats me.
I wondered that too. I guess it's OK to cast around to try and get a better idea of what you need, but the OP seems to be trying to resolve it himself.Beats me.
T's & C's develop over time. We act for a bunch of companies and it's amazing how the contracts vary. There's often something quite specific and it's obvious they got stiffed in the past so included a term to catch that event.
RonaldMcDonaldAteMyCat said:
There's no harm in asking here what the term of business could/should be. The OP absolutely should use a lawyer to codify them into something that will achieve what the OP's business needs.
Maybe I was a bit harsh, but it did read like the OP was going to do it himself, rather than get ideas to take to a solicitor.Gassing Station | Business | Top of Page | What's New | My Stuff