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03/20/2019 05:54 PM
Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20190&cosponId=27611
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House of Representatives
Session of 2019 - 2020 Regular Session

MEMORANDUM

Posted: January 10, 2019 11:31 AM
From: Representative Anthony M. DeLuca
To: All House members
Subject: Rendering Non-Compete Clauses in Health Care Employment Contracts Void
 
Non-compete clauses are a growing problem for doctors, nurses and other health care practitioners across the state. These legal devices can severely limit a practitioner’s opportunities and mobility.

Such agreements restrict of the right of the health care practitioner to practice in a geographic area for a period of time after the termination of the employment relationship or disallows them from treating a prior patient. This is patently unfair.

As the trend of health care provider and hospital consolidation continues, physicians and other practitioners already can find their employment options narrow. Non-competes make the situation unnecessarily worse. In fact, in order to continue practicing, some physicians are forced to move to other states to avoid violating their contracts.

Contracts containing non-competes are most often offered on a take it or leave it basis. This means health care practitioners, particularly those right out of school, have no option but to accept the restrictive terms.

The new law will render any such clauses void and unenforceable. It is a companion bill to my other legislation which pertains specifically to those working for institutions of purely public charities. Last session this was HB 346.

Those working in health care and I ask you to join me in nullifying these unproductive and unfair practices. Thank you.



Introduced as HB601