In Sala v. Premier Imaging Holdings, LLC, 240 Conn. App. 793, 2026 WL 2220267 (Conn. App. Aug. 4, 2026), the Connecticut Appellate Court affirmed the trial court’s decision to overturn an arbitration award that had declared a physician noncompete “valid and binding,” because the arbitration award enforced a restrictive covenant that exceeded the one-year and 15-mile limits for physician noncompetes allowed under CT Gen Stat § 20-14p.
The plaintiff physician challenging the noncompete was a shareholder and employee of a radiology practice. The plaintiff, along with his colleagues, participated in the sale of the radiology practice. As part of the transaction, the plaintiff received $2.3 million in cash proceeds and he and his colleagues became members of a new entity that held their rollover equity interests in the defendant company and its subsidiary. The noncompete was embedded in the LLC Agreement governing the new entity, which was a required condition of the transaction. There was… Read the complete article here...
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