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On June 20, 2025, Texas enacted Senate Bill 1318, ushering in significant reforms to healthcare non-compete agreements. This legislation, which takes effect on September 1, 2025, reshapes how non-compete agreements can...more
As state legislatures continue to reshape the landscape of restrictive covenants in the wake of federal uncertainty, Texas is one of the latest to amend its existing laws governing non-compete agreements for healthcare...more
Unlike states that ban them entirely, Texas law permits physician noncompete agreements restricting when and where licensed physicians can practice medicine after departure from their employer so long as they meet specific...more
In the wake of the Federal Trade Commission’s recently failed attempt to ban non-compete agreements between employers and workers, individual states have once again taken up the mantle of further regulating and limiting their...more
On June 20, Texas Governor Greg Abbott signed Senate Bill 1318 (Amendment) into law, amending Texas Business & Commerce Code Section 15.50(b), which is commonly thought of as the “Texas physician non-compete buyout statute.”...more
On June 20, Gov. Greg Abbott signed into law significant amendments to the Texas Business and Commerce Code, as contained in Senate Bill 1318, that will substantially restrict noncompete agreements for physicians and other...more
Texas imposes new limits on non-compete agreements with licensed physicians and health care professionals that takes effect September 1, 2025....more
Many employees feel trapped by non-compete agreements, but there are legal ways to handle these restrictive employment agreements. Before risking legal action by breaking your agreement, consider these alternatives....more
On July 17, 2024, Pennsylvania Governor Josh Shapiro signed the Fair Contracting for Health Care Practitioners Act into law, which will become effective as of January 1, 2025....more
The future of non-competition agreements remains volatile. Recent actions by the FTC and several states threaten to limit, or even outright ban, these agreements. Such an evolving regulatory landscape requires employers to...more
Restrictions on noncompete agreements in the state of Maryland for certain care-related industries have become substantially broader. Under Maryland’s House Bill (HB) 1388, Maryland employers now face greater restrictions...more
Health care employers face unique challenges and considerations when deciding whether to litigate non-compete agreements with physicians. However, in such a quickly evolving legal landscape, the decision to take the matter...more
Recent Indiana legislative sessions have limited the ability of health care entities to enter non-compete agreements with physicians, and the impact of that legislation is starting to be seen. By way of background, prior...more
The Impact of the FTC’s Proposed Sweeping Ban on Non-Competes - On January 5, 2023, the United States Federal Trade Commission (FTC) proposed a new rule (the Proposed Rule) that would define an employer’s use of...more
At the conclusion of their residency or fellowship, physicians are faced with the new challenge of interviewing and negotiating their first contract. One of the first things that I hear from early career physicians who reach...more
One of Ohio’s most influential appeals courts has affirmed the power of courts to modify non-compete agreements (here, a physician’s employment contract) to strike the right balance between employers’ interests in protecting...more
Benesch reviews state, federal modifications to restrictive covenant laws - In a “Year-End Review,” Benesch points out there was considerable activity in trade secret and restrictive covenant law in 2021. Some of the...more
In January 2020, Judge John Tran of the Fairfax County Circuit Court in Virginia held unenforceable non-competition and non-solicitation provisions in a government contractor’s consulting agreements entered into with...more
It is common practice for a hospital to require a physician to sign a non-compete agreement whenever the hospital employs the physician or acquires the physician’s medical practice. In certain respects, that is to be...more
Florida restrictive covenant agreements, whether standalone, contained in an employment agreement or as part of a medical practice purchase and sale agreement, are governed by Chapter 542, Florida Statutes. Historically,...more
Many Colorado physician employment agreements and equity agreements require physicians to pay liquidated damages if the physician competes with his/her former employer after leaving the organization. ...more
The Colorado legislature recently added a paragraph to the state statute that governs non-compete agreements to permit physicians to continue to treat patients with rare disorders without liability. Signed into law by...more
In the ever-changing healthcare industry, one consistent trend has emerged in recent years—a shift from physicians being employed by physician-owned practices to physicians being employed by larger healthcare entities. In the...more
The following is the third installment of a three-part series discussing important provisions in physician employment agreements. When a physician leaves a medical practice, especially if the physician stays in the area to...more
We’ve written a lot this summer about the Massachusetts legislature’s latest failed attempt at non-compete reform. Two other states in New England, however, are able to claim accomplishments in that regard. Specifically,...more