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Provider groups call Biden executive order on hospital mergers, noncompete clauses misguided and unnecessary

President Biden issued an executive order last week calling for increased competition in the U.S. economy. Among the industries targeted was healthcare, specifically hospital mergers and physician non-compete clauses. The order calls for increased scrutiny on healthcare mergers and asks the FTC to ban or limit non-compete agreements for physicians. 

These aspects of the order have received significant pushback, as described in this article from Fierce Healthcare

Waller's Brent Hill told Fierce Healthcare, “Without effective non-competes, healthcare systems and healthcare investors may be reluctant to invest in healthcare enterprises that have opportunities to expand healthcare services.”

Eric Scalzo also spoke with Fierce Healthcare, noting that many states also already provide noncompete restrictions that “must be reasonable in time and geographical scope.”

For more information, read the full article here. 

For more on the executive order, visit this Waller blog post. 

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Brent Hill
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Eric Scalzo
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