QUESTION

How should my medical group ensure that our non-competes are valid?

There are no guarantees that a particular non-compete will be deemed valid and enforceable, as each one must be analyzed and decided on a case-by-case basis. The best course of action is to engage experienced counsel to review the language of your particular non-compete. Generally, the non-compete must be ancillary to an otherwise valid contract, such as a physician employment agreement. Accordingly, the employment agreement that contains a non-compete provision should be carefully reviewed to ensure its validity. The non-compete must be reasonable, which is determined by considering whether it protects a legitimate business interest, does not place an undue hardship on the physician, and does not violate public policy. Finally, the non-compete must be supported by adequate consideration. Employers should review their employment agreements to determine whether or not they contain separate, identifiable consideration that is expressly tied to the non-compete.

ASG Law can advise you with respect to physician-facility or physician-practice group agreements.