Becker's Healthcare August 22, 2024
Five states have passed healthcare noncompete bans, and seven states have introduced similar bills.
The Federal Trade Commission attempted to institute a nationwide noncompete ban that would have invalided tens of millions of agreements and banned hospitals and other employers from entering into or enforcing any new noncompete. But on Aug. 20, a federal court struck down the sweeping noncompete ban, claiming it was “unreasonably overbroad” and that the FTC lacks authority to implement nationwide rules defining unfair methods of competition. The rule would have taken effect Sept. 4.
The FTC told Becker’s it is considering an appeal of the ruling, which has received mixed reactions from hospital and physician groups.
The American Academy of Family Physicians, which has more...