FL S1498

Restrictive covenants with physicians licensed under chapters 458 or 459 are void and unenforceable if one entity employs or contracts with all physicians practicing a specific specialty in a county, and remain unenforceable for 3 years after a second entity begins offering that specialty in the county.

Restrictive covenants that prohibit physicians from practicing medicine in any geographic area for any period after contract, employment, or professional relationship termination are void and unenforceable.

Exceptions to the geographic practice restrictions apply to: (1) restrictive covenants related to research that do not impair continuing patient care, and (2) non-primary care and non-pediatrician physicians earning at least $250,000 annually.

Compensation for purposes of the $250,000 threshold is defined as wages/salary for employed physicians or business income attributed to physicians with ownership interests, based on previous or current tax year amounts.

The geographic practice restriction provisions apply to restrictive covenants entered into on or after July 1, 2023, with the entire act taking effect July 1, 2023.