Here are three lawsuits involving noncompete clauses for physicians and ASC leaders to know in 2024, as reported by Becker's:
1. A federal jury ruled that insurance brokerage Lockton Cos. and two brokers will pay $3 million to USI Insurance Services for allegedly breaching noncompete agreements. Lockton was ordered to pay $915,000 in damages for aiding and abetting the brokers' breach of fiduciary duty, and interfering with contractual relationships.
1. Two hospitals, St. Joseph's Hospital in Syracuse, N.Y., and Holy Cross Hospital in Fort Lauderdale, Fla., alleged that North American Partners in Anesthesia's noncompete clauses violate antitrust laws. The lawsuits claim the anesthesia provider uses noncompete clauses to restrict competition and demand exorbitant fees.
3. Urologist Eric Rottenberg, MD, sued his former employer, Scranton, Pa.-based Commonwealth Health Physician Network, for enforcing a noncompete agreement that limited his ability to practice locally. He worked for multiple local health systems' hospitals between May and November 2023 in a three-year contract with a clause that banned him from working within a 20-mile radius for the following two years.