SD SB153

Contract provisions entered on or after July 1, 2026 that restrict community services providers (as defined in § 27B-1-17) from working with individuals with developmental disabilities after leaving employment are voidable

Extends existing protections for healthcare practitioners (effective July 1, 2023) to community services providers serving people with developmental disabilities

Non-compete restrictions remain enforceable when tied to the sale of a practice or business interest

Non-solicitation clauses restricting providers from actively targeting former employer's patients or clients are still permitted if they comply with existing geographic and temporal limitations under § 53-9-11

"Soliciting" is defined as a targeted affirmative act directed at a former employer's patient or client to convince them to transfer their care or business