Connecticut § 20-101d - Covenants not to compete involving advanced practice registered nurse.

§ 20-101d. Covenants not to compete involving advanced practice registered nurse.

Sec. 20-101d. Covenants not to compete involving advanced practice registered nurse. (a) For purposes of this section: (1) “Covenant not to compete” means any provision of an employment or other contract or agreement that creates or establishes a professional relationship with an advanced practice registered nurse and restricts the right of an advanced practice registered nurse to practice as an advanced practice registered nurse in any geographic area of the state for any period of time after the termination or cessation of such partnership, employment or other professional relationship; (2) “advanced practice registered nurse” means an individual licensed as an advanced practice registered nurse pursuant to this chapter; and (3) “primary site where such advanced practice registered nurse practices” means any single office, facility or location where such advanced practice registered nurse practices, as mutually agreed to by the parties and defined in the covenant not to compete.

(b) (1) A covenant not to compete that is entered into, amended, extended or renewed on or after October 1, 2023, shall be valid and enforceable only if it is: (A) Necessary to protect a legitimate business interest; (B) reasonably limited in time, geographic scope and practice restrictions as necessary to protect such business interest; and (C) otherwise consistent with the law and public policy. The party seeking to enforce a covenant not to compete shall have the burden of proof in any proceeding.

(2) A covenant not to compete that is entered into, amended, extended or renewed on or after October 1, 2023, shall not: (A) Restrict the advanced practice registered nurse's competitive activities (i) for a period of more than one year, and (ii) in a geographic region of more than fifteen miles from the primary site where such advanced practice registered nurse practices; or (B) be enforceable against an advanced practice registered nurse if (i) such employment contract or agreement was not made in anticipation of, or as part of, a partnership or ownership agreement and such contract or agreement expires and is not renewed, unless, prior to such expiration, the employer makes a bona fide offer to renew the contract on the same or similar terms and conditions, or (ii) the employment or contractual relationship is terminated by the employer, unless such employment or contractual relationship is terminated for cause.

(3) A covenant not to compete that is entered into, amended, extended or renewed on or after October 1, 2023, shall not be enforceable if (A) the advanced practice registered nurse who is a party to the employment or other contract or agreement does not agree to a proposed material change to the compensation terms of such contract or agreement prior to or at the time of the extension or renewal of such contract or agreement; and (B) the contract or agreement expires and is not renewed by the employer or the employment or contractual relationship is terminated by the employer, unless such employment or contractual relationship is terminated for cause.

(4) Each covenant not to compete entered into, amended or renewed on or after October 1, 2023, shall be separately and individually signed by the advanced practice registered nurse.

(c) The remaining provisions of any contract or agreement that includes a covenant not to compete that is rendered void and unenforceable, in whole or in part, under the provisions of this section shall remain in full force and effect, including provisions that require the payment of damages resulting from any injury suffered by reason of termination of such contract or agreement.

(P.A. 23-97, S. 14.)

History: P.A. 23-97 effective July 1, 2023.