Non-compete laws · PA

Pennsylvania physician non-compete law

As of October 21, 2026, Pennsylvania law allows physician non-competes only within limits, including at most 12 months.

Allowed with physician-specific limitsChecked 2026-10-21

Health care practitioner noncompetes entered into after the Act's January 1, 2025 effective date are void, except an employer may enforce one lasting one year or less if the practitioner was not dismissed. Expense-recovery and ownership/sale covenants are carved out; patient notice required. (Fair Contracting for Health Care Practitioners Act, Act of Jul. 17, 2024, P.L. 846, No. 74 (HB 1633))

Changed recently. The current rule took effect 2025-01-01. Pages and guides written before then may describe the old rule.

Limits in the law

Maximum duration
12 months
  • Unenforceable if the practitioner was dismissed by the employer
  • Applies to noncompete covenants entered into after the January 1, 2025 effective date
  • Within 90 days of departure, employer must notify the practitioner's patients seen in the past year (where the outpatient relationship is 2+ years) of the departure, how to transfer records, and the option of a new practitioner within the employer
  • No statutory geographic limit

Who it covers

Health care practitioners employed at a health care facility or office in Pennsylvania: MDs, DOs, certified registered nurse anesthetists, certified registered nurse practitioners, and physician assistants.

Exceptions

  • Employer may recover reasonable expenses directly attributable to the practitioner, accrued within 3 years before separation (unless the practitioner was dismissed), related to relocation, training and establishing a patient base, amortized over up to 5 years
  • Covenants of a practitioner with an interest in a business entity tied to sale of an ownership interest or substantially all assets, a change-of-control transaction (merger/consolidation), or the practitioner's receipt of an ownership interest; a preexisting covenant may still be voided if the practitioner is not a party to the sale

Effective date

The current rule took effect 2025-01-01.

Notes

Act 74 of 2024 (HB 1633). 'Noncompete covenant' is defined as an agreement that impedes the practitioner from treating patients or accepting new patients after employment; law-firm summaries read this to reach patient non-solicitation clauses. Pre-2025 covenants and practitioners not listed remain under common law.

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 2027-01-05 and ends no fixed date (continuing body to 2028-11-30).

  • SB 680 (2025–2026) · Some health care workers, not physicians

    Amends Act 74 (Fair Contracting for Health Care Practitioners Act) definitions to add therapists

    Introduced · Still pending. Referred to Senate Health and Human Services 2025-05-13; no further action

  • HB 1166 (2025–2026) · Some health care workers

    Health care worker platform regulation; platforms may not require health care workers to sign noncompetes

    Introduced · Still pending. Referred to House Labor and Industry 2025-04-07; no further action

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?
Check a contract against Pennsylvania lawAll states

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 Pennsylvania.