Abrahamson

Abrahamson v. NME Hospitals, Inc.

Good Law
195 Cal. App. 3d 1325·1987 Cal. App. LEXIS 2284·241 Cal. Rptr. 396
Court of Appeal of CaliforniaNovember 3, 1987D004978California1,480 words

Opinion

Opinion

Butler, J.

A hospital contracted with a doctor to manage the laboratory and pathology department for the term of one year beginning July 1, 1983, and ending at midnight on June 30, 1984. The contract allowed either party to terminate the agreement without cause on giving 90 days notice. In June of 1984, the parties agreed to an extension of the contract and to continue to do business under the terms of the contract until a new contract was prepared for signature, “in no event later than November, 1984.” November 30, 1984, the hospital served on the doctor a 90-day notice of termination without cause. The doctor continued working under the contract for the 90-day period, left and sued the hospital for breach of contract and for breach of the covenant of good faith and fair dealing. The court granted the hospital’s motion for summary judgment and the doctor appeals. We affirm.

I

Joseph R. Abrahamson, M.D., Inc., a professional medical corporation whose sole shareholder is Joseph R. Abrahamson (collectively Abraham-son), as an independent contractor entered into an 11-page agreement with NME Hospitals, Inc., doing business under the name of San Diego Physicians and Surgeons Hospital…

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