Legal Question in Business Law in California
Rounded numbers and contracts
I am a physician in a large
multispecialty group. The group is a
partnership governed by a
partnership agreement. One
provision of the partnership
agreement is for a bonus to be paid
to any partner who achieves an
average score of 9.0 (out of 10) on a
survey sent to previous patients. My
score was 8.97 and I was not
awarded this bonus. Since the
partnership agreement specifies only
one decimal place and my score
rounded to one decimal place is
adequate should I receive this bonus
and what recourse do I have with the
group?
3 Answers from Attorneys
Re: Rounded numbers and contracts
If I were the partners, I'd say "no" since the score was below 9.0. You've got to do more lobbying or shmoozing with your former patients.
Re: Rounded numbers and contracts
8.97 is still mathematically less than 9, or 9.0, or 9.00, and that's probably all that the guys who manage the practice will look at; yours is a nice theory but as the saying goes, close only counts in horseshoes. I'm afraid a judge or jury would see it the same way.
Re: Rounded numbers and contracts
If you scored 89.7 on a test in medical school, you still would not have earned an A. The professor might be generous and still give you the A, but you wouldn't be entitled to it.
The same principle applies to your partnership agreement. It was probably written to use an objective standard to avoid debates over subjective standards.
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