Medical care businesses and practitioners enter into many contracts, including leases and other property transactions. A common example is a contract of employment between a managed care company and an individual medical care practitioner. The employer promises to pay the employee a given amount and promises to employ the person for some period of time unless the employee performs unsatisfactorily. The employee agrees to provide certain services and often agrees to not work for other managed care companies in the area for some time after the termination of the employment agreement.

Civil litigation could be used for resolving disputes under this contact. Employees who claim to be improperly terminated can sue for reinstatement and lost pay. The employer can sue to enforce the contract and prevent the employee from working for a competitor. In this case the court might pay the employer a given sum of money to compensate it for the employee’s violation of the anticompete agreement, or the court might prevent the employee from continuing in the job.

Many contract disputes that involve the sale of goods or other commercial transactions are governed by the Uniform Commercial Code (UCC), a set of uniform laws adopted by all the states that facilitate the quick resolution of simple business disputes. The UCC establishes the general terms of the agreements for covered transactions and the measure of damages if the agreement is not properly carried out. While patient care services are not subject to the UCC, many ancillary transactions are.