In the Headlines
April 25, 2024

How the FTC Noncompete Ban Affects Nonprofit Providers

Modern Healthcare

Healthcare employment attorney Mark Peters was mentioned in a Modern Healthcare article discussing the recent Federal Trade Commission (FTC) ban on non-compete agreements and how it will impact healthcare nonprofit organizations. Although nonprofits are exempt from the ban, if an organization generates revenue for members of a for-profit entity, the FTC will have authority over it to enforce the rule. Mr. Peters said he expects healthcare providers to extend the length of employment contracts if the ban on non-compete agreements is enforced. He added that the ban could decrease the valuation of healthcare companies by allowing competitors to open a business in the same market, in addition to raising operating costs in the form of salary and benefit increases.

READ: How the FTC Noncompete Ban Affects Nonprofit Providers (Subscription required)

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