
Publication
Essential Corporate News – Week ending 11 July 2025
On 1 July 2025, the Quoted Companies Alliance (QCA) published three new board committee guides to accompany the QCA Environmental and Social Guide published in December 2024.
United States | Publication | June 2025
The Texas Legislature, through its passage of Senate Bill 1318, has significantly amended the Texas Business and Commerce Code regarding noncompete agreements for physicians and certain healthcare practitioners. These changes apply to any noncompete agreements that are entered into or renewed on or after September 1, 2025.
Since 1999, Texas law has restricted the enforceability of physician non-competition covenants by requiring that (1) there be a buyout at a “reasonable price”; (2) any limitations as to time, geographical area, and scope be reasonable; and (3) the covenant not impose a greater restraint than is necessary to protect the goodwill or other business interest of the promisee.
The amendments to Section 15.50(b) of the Business and Commerce Code introduce the following new requirements for noncompete covenants relating to the practice of medicine involving physicians licensed by the Texas Medical Board:
A new Section 15.501 creates new requirements in order for noncompete agreements for dentists, nurses (both professional and vocational) and physician assistants to be enforceable:
The amendments to Section 15.52 make clear that the enforceability criteria and procedures outlined in Sections 15.50, 15.501, and 15.51 are exclusive and preempt any other law, including common law, related to noncompete agreements for covered healthcare practitioners.
The new requirements apply to noncompete agreements that are entered into or renewed on or after September 1, 2025, while agreements executed or renewed before that date remain subject to prior law. Healthcare employers are encouraged to promptly review and update their noncompete agreements to ensure compliance with agreements entered into or which may renew, including automatic renewals, on or after September 1, 2025.
Special thanks to Summer Associate, Willa Scanlon for assisting in the preparation of this article.
Publication
On 1 July 2025, the Quoted Companies Alliance (QCA) published three new board committee guides to accompany the QCA Environmental and Social Guide published in December 2024.
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