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The Louisiana Legislature recently unanimously passed Act No. 273, which limits noncompete agreements for physicians in the state. The act requires all applicable new noncompete agreements to sunset after three years for...more
On April 23, 2024, the Federal Trade Commission (FTC) approved the proposed ban on non-compete agreements. Under the new rule, existing non-competes for senior executives remain enforceable....more
On April 23, the Federal Trade Commission (FTC) approved a long-anticipated final rule that will effectively ban the use of noncompete clauses by employers, with a few limited exceptions....more
On April 23, 2024, the Federal Trade Commission (FTC) approved a final rule (the “Rule”) broadly banning all employee non-compete clauses, with limited exceptions. The Saul Ewing Labor and Employment Group prepared an alert...more
Providers negotiating with doctors and other medical professionals who are bound by enforceable restrictive covenants is tricky business. By virtue of his/her/their position, these physicians may owe fiduciary duties to the...more
On February 7, 2023, the Indiana Senate passed a bill to outright ban noncompete agreements between doctors and their healthcare provider employers, though with an amendment to remove restrictions on referral incentives....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
Non-compete covenants in physician employment and shareholder agreements are common practice. Whether they are legally enforceable as drafted varies from state to state. Some states have broad interpretations of...more
Historically, a majority of states have allowed employers to use restrictive covenants with physicians—and only a handful of states (among them: Delaware, Massachusetts, and Rhode island) have prohibited that practice in...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
When it comes to physician employment agreements, non-compete provisions can be controversial and tricky. The use of these agreements is nonetheless increasing and evolving as hospitals and other groups try to protect their...more
Florida’s HB 1243, with its proposed reporting requirements that would have directly affected timelines for health care transactions, particularly those involving hospitals or medical practices with four or more physicians,...more
When physicians have finally completed the medical education journey, many are confronted with a “physician employment contract,” usually from a hospital or medical practice, which could define the essential terms of their...more