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Tuesday, February 28, 2006

Ind. Courts - Still more on: Doctors' non-compete challenge goes to jury

Monday the ILB wrote about the Evansville trial in Judge Trockman's court involving a noncompete clause in a contract between two Evansville cardiologists and their physicians' group, quoting from a story that day and one on Dec. 17th in the Evansville Courier& Press.

The ILB entry ended with the ILB's wish for a copy of Judge Trockman's opinion.

Well, I've just received a note from a reader pointing to yet a third recent Courier& Press story, dated Feb. 23rd, the day after the opinion was issued, by Thomas Langhorne. Some quotes from that story:

It is not unreasonable for a physicians' group to limit the ability of two of its former cardiologists to compete against it using a contract the doctors signed when they worked there, a judge ruled Wednesday.

But Vanderburgh Superior Court Judge Wayne S. Trockman also found the noncompete contracts that Ohio Valley HeartCare Inc. tried to enforce against Evansville cardiologists Drs. Ralph D. Millsaps and Julio A. Morera were too restrictive, and he loosened those restrictions.

Trockman changed the contract to restrict only Millsaps' and Morera's ability to practice cardiology - the original contract barred them from practicing all forms of medicine - and he enlarged the geographic area in which they may now work. * * *

Trockman's ruling says the 31-county restriction Ohio Valley tried to impose on Millsaps and Morera is "patently overbroad," but the two-year time limit is reasonable. That period began Nov. 14, 2005.

Trockman ruled the contract Millsaps and Morera signed can be enforced in just five counties - Vanderburgh, Posey, Gibson, Warrick and Henderson County, Ky. * * *

Trockman also found "overbroad and unreasonable" the requirement that the "physician shall not engage in the practice of medicine, including, but not limited to, the furnishing of cardiovascular medical services." Attorney Patrick Shoulders, who represented Millsaps and Morera, said his clients are pleased with the loosened restrictions.

"Dr. Millsaps is board-certified in internal medicine," Shoulders said. "Dr. Morera is board-certified in pediatrics.

"They could practice those (disciplines) in Evansville tomorrow, with this ruling. And we are certainly glad that this gives them an opportunity to (practice cardiology) much closer to Evansville than the contract we sued over."

But Shoulders also said Millsaps and Morera, who did not practice medicine or see patients while their lawsuit was being litigated, are not entirely pleased. He said they now find themselves in the peculiar circumstance of being compelled to abide by an amended contract they never signed.

In addition, the story contains a link to Judge Trockman's Feb. 22, 2006 20-page opinion in Millsaps v. Ohio Valley Heartcare, posted via the Evansville Courier& Press site.

Posted by Marcia Oddi on February 28, 2006 12:41 PM
Posted to Ind. Trial Ct. Decisions