Non-compete laws · MT

Montana physician non-compete law

As of October 21, 2026, Montana law generally makes non-compete agreements void or unenforceable for physicians, with exceptions.

Generally banned for physiciansChecked 2026-10-21

For contracts made or renewed on or after Jan. 1, 2026, physicians of all specialties cannot be restricted from practicing anywhere, for any period, after leaving, or from treating or soliciting the employer's current patients. Exceptions: practice sales and declining-balance repayment provisions. (Mont. Code Ann. § 28-2-724 (MCA 2025))

Changed recently. The current rule took effect 2026-01-01. Pages and guides written before then may describe the old rule.

Who it covers

Physicians licensed under MCA Title 37, ch. 3 (all specialties since 2026-01-01; psychiatrists and addiction-medicine physicians covered since the 2023 enactment). Also psychologists, naturopathic physicians, social workers, professional and addiction counselors, marriage and family therapists, behavioral health peer support specialists, RNs, APRNs, and PAs. Covers employment, partnership, or other professional-relationship contracts.

Exceptions

  • Contract in connection with the sale and purchase of a practice
  • Provision requiring a physician to repay all or part of money paid or advanced, subject to a payback that decreases over time (e.g., bona fide loan, relocation cost, signing bonus, education expense, tuition repayment)

Effective date

The current rule took effect 2026-01-01.

Notes

HB 620 (2025) applies to contracts made or renewed on or after Jan. 1, 2026; earlier contracts are not covered unless renewed. HB 198 (2025) added RNs, APRNs, PAs and naturopathic physicians. Courts apply a reasonableness test to partial restraints under Montana's general statute (MCA 28-2-703).

Sources

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 Montana.