Non-compete laws · IA
Iowa physician non-compete law
As of October 21, 2026, Iowa has no statute specific to physician non-competes; general non-compete law and court decisions apply.
No physician-specific statuteChecked 2026-10-21
No general noncompete statute; courts apply reasonableness. A 2026 law requires a policy barring noncompetes in University of Iowa Hospitals and Clinics employment contracts with physicians, PAs, ARNPs, RNs, LPNs and pharmacists entered, extended or renewed from June 2, 2026. (2026 Iowa Acts ch. 1173 (H.F. 2254), amending Iowa Code § 262.9)
Changed recently. The current rule took effect 2026-06-02. Pages and guides written before then may describe the old rule.
Limits in the law
- Board of Regents must develop a policy prohibiting UIHC from including a noncompete clause in employment contracts with an ARNP, LPN, pharmacist, physician, PA or RN (2026 Iowa Acts ch. 1173, adding Iowa Code § 262.9(43))
- 'Noncompete clause' means any restriction on the provider's right to practice in any geographic area or for a defined period upon termination of the UIHC employment contract
- Applies to UIHC employment contracts entered into, extended, or renewed on or after the Act's effective date (enactment, 2026-06-02)
Who it covers
UIHC rule only: physicians (Iowa Code ch. 148), physician assistants, advanced registered nurse practitioners, registered nurses, licensed practical nurses and pharmacists employed by University of Iowa Hospitals and Clinics. All other employers: common-law reasonableness, no physician-specific statute.
Effective date
The current rule took effect 2026-06-02.
Notes
HF 2254 (2026 Iowa Acts ch. 1173) took effect on enactment, June 2, 2026; some secondary sources give July 1, 2026. It directs the Board of Regents to adopt a policy for UIHC only and does not reach private employers. The general reasonableness rule is common law and was not verified from case text.
Bills that have not become law
Non-compete bills from the 2025 and 2026 sessions that had not become law as of 2026-10-21, furthest along first. A bill that died has to be filed again to move in 2027. The 2027 session starts 2027-01-11 and ends no fixed date (per diem ends 2027-04-30).
- SF 380 (2025–2026) · Some health care workers, not physicians
Would prohibit noncompete covenants involving nurses
Introduced · Died. Introduced, referred to Senate Workforce 2025-02-19; subcommittee assigned 2025-02-24; no further action; died at end of 91st GA (2026)
Sources
- 2026 Iowa Acts ch. 1173 (H.F. 2254), amending Iowa Code § 262.9 (session-law)
- House File 2254, enrolled (session-law)
- Iowa Legislature: 2026 enrolled bills (HF 2254 signed and effective 06/02/2026) (bill)
- Becker's Hospital Review: Physician noncompete crackdown, a 50-state guide (secondary)
Questions to ask about your contract
- Is the radius measured from your practice site or from every location the employer owns?
- Does the restriction apply if the employer terminates you without cause?
- Is there a buyout, and how is the amount calculated?
- What does your state's law say about physician non-competes?
Not legal advice. This page summarizes the law as written. Whether a particular agreement is enforceable depends on its wording, when it was signed and court decisions. Ask an attorney licensed in Iowa.