ENROLLED
2021 Regular Session
HOUSE RESOLUTION NO. 223
BY REPRESENTATIVE BAGLEY
A RESOLUTION
To authorize and direct the House Committee on Commerce and the House Committee on
Health and Welfare, or a subcommittee composed of members of these committees,
to meet and function as a joint committee to study the role and effects of
noncompetition agreements relative to physicians in this state and to report the
findings of the joint committee to the House of Representatives of the Legislature of
Louisiana.
WHEREAS, as a matter of public policy, Louisiana has demonstrated a long-held
position limiting noncompetition agreements; and
WHEREAS, noncompetition agreements prohibit an individual from competing in
a designated geographical area for a specified period of time; and
WHEREAS, noncompetition agreements are enforceable against physicians; and
WHEREAS, enforcement of noncompetition agreements relative to physicians may
limit the freedom of patients to choose their treating physician; and
WHEREAS, noncompetition agreements may exacerbate physician shortages in
many Louisiana parishes; and
WHEREAS, hospitals and physician-owned clinics find value in noncompetition
agreements as these limiting agreements protect investments in employees and the services
those employees provide to their patients; and
WHEREAS, physicians gain new knowledge, learn new skills, and build their
reputation while in practice; and
WHEREAS, noncompetition agreements may encourage retention and deter
employed physicians from leaving their current practices; and
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WHEREAS, according to a 2018 American Medical Association economic impact
study, physicians bring economic prosperity to communities through more than one hundred
thousand jobs, more than nineteen million dollars in economic activity, more than six
hundred million dollars in state and local tax revenue, and nearly nine billion dollars in
wages and benefits; and
WHEREAS, the interests on both sides of noncompetition agreements for physicians
need to be better understood in order for legislators to make informed policy decisions
regarding and regulate concerns arising from these types of restrictive agreements.
THEREFORE, BE IT RESOLVED that the House of Representatives of the
Legislature of Louisiana does hereby authorize and direct the House Committee on
Commerce and the House Committee on Health and Welfare, or a subcommittee composed
of members of these committees, to meet and function as a joint committee to study various
aspects of noncompetition agreements relative to physicians in this state and to report the
findings of the joint committee to the elected members of the House of Representatives prior
to the convening of the 2022 Regular Session of the legislature.
BE IT FURTHER RESOLVED that the House of Representatives of the Legislature
of Louisiana further directs the joint committee to solicit input, information, data,
recommendations, and advice from the following persons, agencies, and organizations in
connection with the study called for in this Resolution:
(1)Louisiana Children's Medical Center.
(2)Louisiana Department of Health.
(3)Louisiana Hospital Association.
(4)Louisiana State Medical Society.
(5)Physicians currently employed by public universities in this state.
(6) Physicians currently practicing medicine in this state.
(7) Representatives from the Cardiovascular Institute of the South.
(8) Representatives from Ochsner Health.
(9)Representatives from Our Lady of the Lake Regional Medical Center and its
affiliated campuses.
(10) Representatives of physician-owned clinics in the state.
(11) Representatives of Willis-Knighton Medical Center.
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(12) The Rural Hospital Coalition of Louisiana.
(13)Louisiana Orthopaedic Association.
(14)Any persons, agencies, entities, or stakeholders that the joint committee
deems necessary to fulfill its purposes.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
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