We’ve previously discussed how to determine how much you are worth as a physician and RVUs. You are presented with a contract with a restrictive covenant, or non-compete clause. A restrictive covenant clause often stipulates that if you leave the hospital that recruited you, you may be prohibited from practicing in a certain geography from the hospital for a period of time. Essentially it prevents you from competing with the employer for the same group of patients.
The enforceability of these clauses vary by state. You should check with a legal counsel who is familiar with your state’s laws before you consider signing any contracts. At last that I had checked, the following states deem non-competes to be not enforceable:
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Alabama
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Arizona (maybe)
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California
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Delaware
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Illinois
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Iowa (maybe)
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Massachusetts
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Montana
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North Dakota
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Tennessee (maybe)
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Texas (maybe)
Questions or any other suggestions to add? Sound out below!
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