Non-Compete agreements can restrict a person’s ability to start and maintain a business. Anyone who plans to work in Louisiana should be very clear what they can and cannot do as a part of a non-compete agreement.
For example, a trial court in Louisiana held that a cardiologist’s business, which he created after he left another medical employer, was too similar and therefore subject to a non-compete in the geography he was operating in. Dr. Abel was a cardiologist in Morgan City, Louisiana. He was employed by the Cardiovascular Institute of the South, where he performed preventative medical treatments in cardiology. He signed a non-compete agreement that restricted his ability to practice medicine in the sub-specialty of cardiology in several parishes surrounding CIS, including East Baton Rouge, Acadia and Evangeline, for a period of two years.
Soon after, Dr. Abel opened a private practice at a Preventative Plus clinic and began practicing preventative and internal medicine. While this wasn’t exactly cardiology, CIS filed an injunction in accordance with Section 8.01 in his non-compete agreement. They argued that Dr. Abel could not perform his medical duties under Preventative Plus since it was similar to the cardiology work he did at CIS and he was in a Parish that he was restricted from practicing cardiology in for two years. After the trial court granted the injunction, Dr. Abel appealed the decision, arguing that his practice was not similar enough to be within the ambit of the non-compete agreement. He also contended that his non-compete agreement with CIS was restricted to the sub-specialty of cardiology and not preventative and internal medicine, which he believed were more general than the sub-specialty of cardiology.