As anticipated, following the end of the Federal Trade Commission’s proposed rule prohibiting employer noncompetes, states have ramped up their efforts toward limiting noncompete agreements, including some states that have specifically focused on health care noncompetes. We previously reported in 2024 that Pennsylvania passed The Fair Contracting for Health Care Practitioners Act that prohibited the enforcement of certain noncompete covenants entered into by health care practitioners and employers. Now, Louisiana, Maryland, and Indiana join the list of states limiting, or attempting to limit, the use of noncompete agreements in the health care industry.
Louisiana
On January 1, 2025, Act No. 273 (f/k/a Senate Bill 165) (the “Act”) became effective following Governor Jeff Landry’s approval. The Act enacts three subsections to Section 23:921, M, N, and O, which, as discussed further below, generally limit the timeframe and geographical scope of noncompetes for primary care and specialty physicians.
Blog Editors
Recent Updates
- New York State Proposes Bill to Ban Noncompetes Except for Highly Compensated Workers and in Sales of Businesses
- Texas Joins List of Legislatures Seeking to Ban Noncompete Agreements
- The Sunflower State (Kansas) Passes Employer-Friendly Restrictive Covenant Legislation
- Virginia Expands Non-Compete Restrictions Beginning July 1, 2025
- Limits on Physician Noncompete Agreements: Navigating New State Laws and Legislation