Kansas hospital settles physician noncompete suit

Hays, Kan.-based HaysMed has settled with two physicians who sued the hospital over the noncompete clauses of their employment contracts. 

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According to a Feb. 4 news release by the hospital, general surgeon Jerod Grove, MD, and oncologist Robert Rodriguez, MD, came to a resolution with the hospital after mediation. The terms of the agreement were not disclosed, according to the release. 

In separate filings, the physicians sued the hospital over a two-year noncompete clause that extended 110 miles around Hays and 30 miles from where they may have done outreach at a hospital for HaysMed. The physicians argued that they were seeking to prevent enforcement of the restrictive covenant because of the limited number of physicians in their specialties within western Kansas. 

Dr. Grove’s lawsuit also asserted staffing concerns at HaysMed, noting that he “began to notice certain troubling aspects of the treatment of HaysMed staff.”

After the initial filings in December 2024, HaysMed filed a counterclaim against Dr. Grove, who left his position at the hospital in November. Shortly thereafter, he signed a contract with Greeley Health to work at Tribune (Kan.) Medical Center. Two weeks later, HaysMed, citing a board directive, enforced the noncompete clause, effectively barring Dr. Grove from practicing at Tribune or other locations in the region.

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