Where noncompetes are banned

Amid growing discontent among physicians on noncompete agreements, which prohibit clinicians from joining a competing practice or setting up their own within a particular distance from their previous practice for a certain period of time, many states have banned the practice.

Here are six states that have banned noncompetes or are considering doing so, as laid out by attorneys from the law firm Constangy, Brooks, Smith & Prophete on Aug. 29 in JDSupra:

California: Noncompetes are not enforceable and violate public policy.

Minnesota: The state prohibits post-employment noncompetes. However, agreements signed on or before July 1, 2023, remain enforceable.

Nebraska: The state's courts will not modify a noncompete to make it enforceable.

New York: A bill passed by both chambers of the Legislature provides for a complete ban on noncompetes. It is awaiting the signature of Gov. Kathy Hochul. The bill will not be retroactive.

North Dakota: Noncompetes are banned.

Oklahoma: Noncompetes are banned.

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