Ama Policy

Prohibiting Covenants Not-To-Compete in Physician Contracts H-265.988


(1) Our American Medical Association support policies, regulations, and legislation that prohibits covenants not-to-compete for all physicians in clinical practice who hold employment contracts with for-profit or non-profit hospital, hospital system, or staffing company employers.

(2) Our AMA will oppose the use of restrictive covenants not-to-compete as a contingency of employment for any physician-in-training, regardless of the ACGME accreditation status of the residency/fellowship training program.

(3) Our AMA will study and report back on current physician employment contract terms and trends with recommendations to address balancing legitimate business interests of physician employers while also protecting physician employment mobility and advancement, competition, and patient access to care – such recommendations to include the appropriate regulation or restriction of

(a) Covenants not to compete in physician contracts with independent physician groups that include time, scope, and geographic restrictions; and

(b) De facto non-compete restrictions that allow employers to recoup recruiting incentives upon contract termination.

Policy Timeline

Res. 237, A-23