{"data":{"id":"us-in/ic-25-22.5-5.5-1.4","jurisdiction":"us-in","citation":"IC 25-22.5-5.5-1.4","heading":"\"Noncompete agreement\"","body":"Sec. 1.4. (a) As used in section 2.3 of this chapter, \"noncompete agreement\" means a contract, or any part of a contract, to which a physician is a party that has the purpose or effect of restricting or penalizing a physician's ability to engage in the practice of medicine in any geographic area, for any period of time, after the physician's employment relationship with a hospital, a parent company of a hospital, an affiliated manager of a hospital, or a hospital system has ended. The term includes any provision that does the following:\n(1) Prohibits the physician from engaging in the practice of medicine with a new employer.\n(2) Imposes financial penalties or repayment obligations, or requires reimbursement of bonuses, training expenses, or similar payments that:\n(A) apply to a physician that has been employed by:\n(i) a hospital;\n(ii) a parent company of a hospital;\n(iii) an affiliated manager of a hospital; or\n(iv) a hospital system;\nfor at least three (3) years; and\n(B) are based solely or primarily on the physician's decision to continue engaging in the practice of medicine with a new employer.\n(3) Requires the physician to:\n(A) obtain employer consent; or\n(B) submit to equitable relief;\nto engage in the practice of medicine with a new employer, regardless of geographic area or specialty.\n(4) Imposes indirect restrictions that have the effect of limiting or deterring the physician's practice of medicine with a new employer.\n(b) The term does not include the following:\n(1) A nondisclosure agreement that protects confidential business information or trade secrets.\n(2) A nonsolicitation agreement that prohibits solicitation of current employees for a period not exceeding one (1) year after the physician's employment ends. However, the nonsolicitation agreement may not restrict:\n(A) patient interactions;\n(B) patient referrals;\n(C) clinical collaboration; or\n(D) the physician's professional relationships.\n(3) An agreement made in connection with the bona fide sale of a business entity when the physician owns more than fifty percent (50%) of the business entity at the time of sale.","path":["TITLE 25. PROFESSIONS AND OCCUPATIONS","ARTICLE 22.5. PHYSICIANS","Chapter 5.5. Physician Noncompete Agreements"],"source_url":"https://iga.in.gov/ic/2026/Title_25.html#25-22.5-5.5-1.4","current_through":"2026","vintage":"2026","retrieved_at":"2026-10-06T20:43:28Z","sha256":"1b15da881200bfef6effcd6effb3b5ff87ece370f598b37b7f89478acda0cf40","source_id":"us-in","stale":false,"prev":"us-in/ic-25-22.5-5.5-1.3","next":"us-in/ic-25-22.5-5.5-1.5"},"notice":"GroundRules: Original legal text. Not legal advice."}
