A Brewster horse veterinarian who sold most of his practice to a national veterinary conglomerate is suing his corporate partner for $9 million.
Christopher “Kit” Miller accused National Veterinary Associates Inc. of breach of contract, in a complaint filed on Nov. 15 in Westchester Supreme Court.
NVA “changed the policies, processes and procedures of the practice,” the complaint states, making it “less collaborative, less collegial, and a less desirable place to work.”
NVA spokeswoman Michelle Reardon replied in an email that “this complaint materially mischaracterizes the situation, and we look forward to sharing the facts of this case in court.”
Miller and his wife, Susan, founded Miller & Associates in 1997. By 2018 the practice employed 14 veterinarians in three offices and was making more than $10 million a year.
Several private equity firms expressed interest in the business, according to the complaint. NVA’s pitch was “Join Us. Stay You.” NVA would provide financial and administrative support to expand the business, but would not interfere with day-to-day operations or with the culture.
NVA, of El Segundo, California, has 1,400 locations, according to its website, consisting of general practice pet hospitals, equine hospitals, emergency hospitals and pet resorts.
In 2019, Miller agreed to sell 65% of Miller & Associates to NVA for $25.6 million. Miller kept 31.5% of the practice and another veterinarian kept 3.5%.
NVA, as the majority owner, appointed corporate representatives to oversee Miller & Associates.
“It became apparent,” the complaint states, “that NVA had no intention to allow Miller & Associates to just ‘Join Us. Stay You.'”
NVA allegedly made the practice less efficient and caused widespread employee dissatisfaction. Fourteen veterinarians left, and nearly half of the employees who were surveyed this year said they expected to leave in two years.
Reardon, the NVA spokesperson, said the company is “focused on helping veterinarians by making the business of veterinary care easier which allows them to do what they do best – provide the best possible care for animals. NVA invests in technology to make veterinary businesses easier to operate for veterinarians. We do not prescribe to the veterinarians how to practice medicine. Our focus is on efforts to improve the quality of care that veterinarians can offer.”
The 2019 purchase agreement included a clause, according to the complaint, that allowed Miller to make NVA buy out his share of the business after five years.
On June 24, The Miller Family Trust, which had acquired Miller’s shares, invoked the deal.
Miller says that the trust’s shares are worth at least $9 million and that NVA has refused to buy them.
NVA fired Miller for cause on Oct. 29 and detailed its accusations in a Nov. 8 letter.
The complaint does not specify NVA’s accusations but claims that they are false and are meant to intimidate Miller so as not to enforce a buyout.
