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Tex. Bus. & Com. Code § 15.50: Physician noncompetes
Texas section 15.50 governs physician noncompetes after the S.B. 1318 amendments.
Citation: Tex. Bus. & Com. Code § 15.50
Type: Statute
Jurisdiction: Texas
Issuing body: Texas Legislature
Status: In force; as amended by S.B. 1318, 89th Leg., effective September 1, 2025
Section 15.50 governs covenants not to compete with physicians. As amended by S.B. 1318, a physician covenant governed by the amendments must expire no later than one year after termination, cover no more than a five-mile radius from the primary practice site, be clearly and conspicuously stated in writing, and be voidable by the physician's payment of a buyout capped at the physician's total annual salary and wages at termination. A covenant is void and unenforceable if the physician is involuntarily discharged without good cause under subsection (d), and the practice of medicine does not include managing or directing medical services in an administrative capacity under subsection (b-1).
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