Health Law Advisor

As featured in #WorkforceWednesday®: This week, we examine the Federal Trade Commission’s (FTC’s) decisions to drop its appeal of a federal court ruling striking down its proposed non-compete ban and to issue warnings to health care employers about using unreasonable restrictive covenants in employment agreements.

Although the FTC’s decision to abandon its non-compete ban appeal may appear to favor employers, its recent warning letters to health care organizations make clear that regulatory scrutiny is far from over.

In this episode, Epstein Becker Green attorneys E. John Steren and David J. Clark discuss the FTC’s concerns for health care employers, offer guidance on revising non-compete agreements to withstand legal challenges, and explore alternative strategies to protect business interests.

Thomson Reuters Practical Law has released the 2025 Practice Note titled “Health Care Non-Competes,” authored by David J. Clark.

The Note discusses non-compete agreements in the health care sector, examining the legal and policy considerations impacting their enforceability. It highlights the unique challenges posed by health care non-competes, including patient access and continuity of care, and reviews state-specific statutes that restrict or prohibit these agreements for various health care workers. This Note discusses alternative restrictive covenants, such as non-solicitation and non-treatment agreements, and provides insights into the jurisdictional variations in non-compete enforceability. It also addresses ethical concerns raised by health care non-competes, particularly those affecting physicians, and examines the implications of telemedicine and health care deserts on non-compete enforcement. This Note offers guidance on best practices for drafting and enforcing non-competes. It is jurisdiction-neutral but will be useful to employers and their counsel in all jurisdictions.

Our colleagues James P. Flynn, Paul A. Gomez, Purvi B. Maniar and Yael Spiewak of Epstein Becker Green have published a blog post on the Trade Secrets & Noncompete Blog that will be of interest to our readers: "Assignment Lessons: 8th Circuit Finds Assigned Non-Competes Enforceable — Under Certain Facts."

Following is an excerpt:

The 8th Circuit's recent decision in Symphony Diagnostic Servs. No. 1 v. Greenbaum, No. 15-2294, __ F.3d __ (8th Cir. July 6, 2016), upheld the enforceability of non-compete and confidentiality agreements assigned by Ozark Mobile Imaging to ...