HB 270: Healthcare Worker Post-Employment Amendments - Utah

Substitute #1 → Substitute #2 · 5 edits

MODERATE

This bill updates Utah's non-compete laws to specifically protect healthcare workers by banning non-compete agreements for them starting May 6, 2026. It also restricts certain types of non-solicitation agreements that prevent doctors from informing patients about their new jobs. The legislation expands the list of licensed professions covered under these protections and clarifies that these rules do not apply to the sale of a business.

Scope change

The bill expands the scope of protection to include a comprehensive list of healthcare professionals (such as nurses, therapists, and dentists) and introduces specific new restrictions on non-solicitation agreements that were not previously detailed in this manner.

REQUIREMENT

Prohibits non-compete agreements between employers and healthcare workers effective May 6, 2026.

Makes void nonsolicitation agreements that prevent healthcare workers from telling patients about their current or future employers.

DEFINITION

Updates the list of 'healthcare workers' to include specific licensed roles like genetic counselors, radiology practitioners, and respiratory care practitioners.

TIMELINE

Sets the effective date for the ban on healthcare non-compete agreements to May 6, 2026.

ENFORCEMENT

Ensures that if an employer tries to enforce a void non-compete agreement, they must pay the employee's legal costs and damages.

Amended 2/27/2026 15:02:388 → Substitute #1 · 6 edits

MODERATE

This bill amends Utah's non-compete laws to specifically ban non-compete and restrictive nonsolicitation agreements for healthcare workers, while maintaining existing rules for other employees. It defines a broad list of healthcare professions covered by these protections and sets a new effective date of May 6, 2026. The changes aim to prevent employers from restricting healthcare workers' ability to change jobs after leaving their current positions.

Scope change

The bill expands the scope of protection to include a wide variety of licensed healthcare professionals (such as nurses, therapists, dentists, and physicians) who were not explicitly covered under previous general non-compete statutes, while retaining specific exceptions for broadcasting employees.

DEFINITION

Added specific definitions for 'Healthcare non-compete agreement' and 'Healthcare worker' to clarify which professionals are protected.

REQUIREMENT

Created a new statutory ban prohibiting employers from entering into non-compete agreements with healthcare workers on or after May 6, 2026.

Created a new statutory ban prohibiting employers from entering into nonsolicitation agreements that prevent healthcare workers from informing patients of their new employment.

ENFORCEMENT

Amended provisions to ensure that if a non-compete agreement involving a healthcare worker is found unenforceable, the employer must pay the employee's arbitration costs, attorney fees, and actual damages.

TIMELINE

Updated the effective date of the bill to May 6, 2026, aligning with the new restrictions on healthcare workers.

TECHNICAL

Removed the Senate Sponsor name and corrected formatting inconsistencies in the bill text.

Amended Excerpts 2/27/2026 15:02:388 → Amended 2/27/2026 15:02:388 · 3 edits

MINOR

The bill was reorganized and reformatted to replace a fragmented list of deleted text with a complete, structured substitute bill. The substantive policy content regarding healthcare worker non-compete agreements remains consistent, but the document now includes a formal title, sponsor information, and a clear list of affected Utah Code sections.

Scope change

The bill's scope remains focused on amending Utah Code to regulate non-compete and nonsolicitation agreements for healthcare workers, but the text is now presented as a complete legislative substitute rather than a partial excerpt.

TECHNICAL

The document structure was completely rewritten to include a formal title, sponsor names, long title, and a specific list of Utah Code sections being amended, repealed, or enacted.

The fragmented list of deleted definitions was replaced with a clean, continuous version of the definitions for 'Healthcare worker' and related terms.

New header information was added identifying the bill as a 'Substitute Bill' sponsored by Katy Hall and Brady Brammer.

Enrolled → Amended Excerpts 2/27/2026 15:02:388 · 5 edits

MODERATE

This bill establishes strict limits on non-compete agreements for healthcare workers in Utah, making such agreements void if entered into on or after May 6, 2026. It also prohibits employers from enforcing nonsolicitation clauses that prevent healthcare workers from informing patients about their current or future employment. The legislation defines 'healthcare worker' to include a wide range of licensed professionals, such as nurses, therapists, and physicians, while explicitly excluding those whose jobs do not involve practicing under their license.

Scope change

The bill expands the scope of protected individuals by providing a comprehensive list of licensed healthcare professions covered under the new restrictions, ensuring broader applicability across the medical and behavioral health sectors.

DEFINITION

Added a detailed definition of 'healthcare worker' listing 33 specific licensed professions to clarify who is protected by the new non-compete bans.

REQUIREMENT

Established a hard ban on non-compete agreements for healthcare workers effective May 6, 2026, rendering any such agreement entered into on or after that date void.

Prohibited nonsolicitation agreements that stop healthcare workers from telling patients where they currently or will be working, protecting patient access to care.

ENFORCEMENT

Modified liability rules to require employers to pay an employee's arbitration costs, attorney fees, court costs, and actual damages if a non-compete agreement is found unenforceable.

TIMELINE

Set the effective date for the ban on healthcare non-compete agreements and the prohibition on restrictive nonsolicitation clauses to May 6, 2026.

Introduced → Enrolled · 6 edits · Mar 24, 2026

MODERATE

This bill updates Utah's non-compete laws to specifically ban non-compete agreements with healthcare workers starting May 6, 2026, and voids any such agreements entered into after that date. It also restricts nonsolicitation agreements that prevent healthcare workers from informing former patients about their new employment. The legislation expands the list of protected healthcare professions and clarifies that these restrictions do not apply to agreements related to the sale of a business.

Scope change

The bill's scope is narrowed to specifically target healthcare workers while maintaining existing rules for other employees, and it introduces a new specific ban on non-competes for this group.

ELIGIBILITY

Added a specific prohibition banning non-compete agreements between employers and healthcare workers effective May 6, 2026.

Added a new definition for 'Healthcare non-compete agreement' to clarify what types of restrictions are covered.

DEFINITION

Expanded the list of professions classified as 'Healthcare workers' to include additional roles such as certified psychology residents, licensed assistant behavior analysts, licensed massage therapists, and mental health therapists.

Updated the definition of 'Healthcare worker' to remove specific titles like 'behavioral health coach' and 'behavioral health technician' while adding others, reflecting changes in professional licensing.

REQUIREMENT

Added restrictions on nonsolicitation agreements that prevent healthcare workers from telling former patients where they are now or will be working.

TECHNICAL

Corrected the Senate Sponsor name from 'LONG TITLE' to 'Brady Brammer' and fixed formatting inconsistencies in the bill text.

Healthcare Worker Post-Employment Amendments

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