Earlier this month, 21 Century Oncology Inc. (“21st”) lost in its bid to obtain a preliminary injunction against House Bill 843 (the “Bill”). Among other health related changes, the Bill retroactively nullifies physician non compete provisions when the employer is the “sole” provider of a specialty in the relevant geographic area. While the language in the relevant amendment to the Bill uses the word “sole,” the provision would apply to groups that dominate the market even if there were competitors in the area.
The Bill is currently in the Florida senate where it appears to gaining support. Should the upper house of the state legislator pass the Bill, it would go to the governor for signature. If the Bill does make it to the governor’s desk, look for the Bill to become law sometime later this year or early next.
Physicians that are looking to leave their current group but are unsure about non-compete provisions should know that non-compete clauses are disfavored in Florida and doctors have a number of different options, in addition to the Bill, to invalidate a non-compete.
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