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Jane T (LLC)
Jane T (LLC), Attorney
Category: Business Law
Satisfied Customers: 8435
Experience:  Worked in corporation's law department; business formations, formalities, and other business matters
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I am a psychotherapist practicing in California. I work as

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I am a psychotherapist practicing in California. I work as an independent contractor for a small therapy business. I am contracted to see at minimum 5 clients per week and get paid approx 30% of whatever the client pays out of pocket or whatever their insurance company pays the clinic for my services. The clinic does all the billing and the checks from the insurance are made out to the clinic not to me directly. The clinic then cuts me a check 1xmonth with the 30% taken out of whatever got paid for that month. Often it takes anywhere from 3 weeks to 6 months for the insurance companies to pay us. There are no taxes deducted from my checks. Currently the clinic owes me approx 8000.00 for unpaid or slow to get paid claims. I want to leave but im fearful that they will not pay me what they owe. What rights do i have since the insurance companies don't directly pay me?

Dear sakegrrl,


Do you have a written contract for your payment?


Does the contract specify what your payment rights are and does it say anything about payment rights after termination?



Customer: replied 7 years ago.

Hi, I had a contract when i first started but it has expired and i have not renewed it. The contract did specify how much I am to be paid for each insurance or self pay. I have been working without a contract since October 2008 and they continue to pay me and handle things the same according to the old contract. I do not want to sign another contract as they want me to agree to stay on for another year and also don't want me to open up my own place for 1 year after the contract is up.


I also get a list of all my clients and what is owed to me every month by the clinic. So basically, when i get my paycheck they also print out my aging report which shows each client, how many hours i have billed, what was paid to the owner of the clinic and what is still owed to me. I get those every month so I have approx 16 of those proving what work i did and what im owed in the clinics own records.



An employer, whether of an employee or an independent contractor, is required to pay those they hire for all hours worked at the rate of pay they have arranged or agreed to between them. A failure to pay for amounts which are agreed to be due (through a writing or a verbal statement) will allow an unpaid person to file a court suit to obtain payment. Court suits can take time, but as long as one can prove that they are legitimately owed money for services, then a person may file a claim for unpaid amounts or a breach of contract to be paid for work (which may be verbal, written, or supported by business practices). Nothing in a court is guaranteed and a party may always claim defenses, such as quality of work or other things, but the claim for payment may be made.






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