A Missouri lawmaker just introduced a bill that would invalidate non-compete agreements for licensed physicians if it gets approved by the legislature and is ultimately signed into law. The proposal, sponsored by state Rep. Ian Mackey (D), follows a growing trend among states across the country – as well as recent initiatives by the Federal Trade Commission – to boost post-employment mobility of healthcare providers. In this insight, we’ll cover this broader trend, as well as what’s in Missouri’s new bill and how employers in the state can prepare.

Limits on Restrictive Covenants in Healthcare: A Growing Trend Across the US

If Missouri enacts HB 2184, which was introduced by Rep. Mackey on December 4, the state would join several others that have placed significant constraints on non-compete provisions for medical practitioners.

• In 2025 alone, Arkansas, Colorado, Indiana, Montana, New Hampshire, Oregon, Texas, and Wyoming all enacted new laws banning or limiting restrictive covenants for healthcare professionals.
• In addition, the Federal Trade Commission (FTC) announced in September that it had warned several large healthcare employers and staffing firms about their non-compete agreements and other restrictive covenants to ensure they are legally sound and don’t infringe on workers’ rights. We covered the biggest takeaways and compiled a five-step compliance action plan.

This nationwide trend is reshaping how healthcare professionals move between employers and compete...

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