« Ind. Decisions - City of Hammond negotiating Mayes settlement | Main | Ind. Decisions - 7th Circuit decides one Indiana case today »

Tuesday, March 11, 2008

Ind. Decisions - Supreme Court decides one today

In Central Indiana Podiatry, P.C. [CIP] v. Kenneth Krueger, Meridian Health Group, P.C., a 14-page, 3-2 opinion, Justice Boehm writes:

We hold that noncompetition agreements between a physician and a medical practice group are not per se void as against public policy and are enforceable to the extent they are reasonable. To be geographically reasonable, the agreement may restrict only that area in which the physician developed patient relationships using the practice group’s resources. * * *

The trial court’s order denying CIP a preliminary injunction is affirmed except as to Marion, Tippecanoe, and Howard counties, and this case is remanded to the trial court for disposition of CIP’s remaining claims.

Sullivan and Rucker, JJ., concur.
Shepard, C.J., dissents with separate opinion in which Dickson, J., joins. [The CJ's dissent concludes] The competitive reality is that these two areas [N. Marion C. and S. Hamilton Co.] function as one for commercial purposes. That a county line divides these two locations means very little to most customers or purveyors of service, and I wouldn’t regard it as grounds for a court voiding a contract by which two rela-tively sophisticated parties ordered their commercial relationship.

Posted by Marcia Oddi on March 11, 2008 02:22 PM
Posted to Ind. Sup.Ct. Decisions