Contracts Keyed to Knapp
Valley Medical Specialists v. Farber
Facts
Defendant, an internist and pulmonologist who specialized in the treatment of AIDS and HIV-positive patients and performing brachytherapy on cancer patients, was employed by Plaintiff Valley Medical Specialists (VMS). The parties entered into an employment agreement, which contained a restrictive covenant that prohibited Defendant from competing in the practice of medicine for a period of three (3) years, anywhere within a five mile radius of any of Plaintiffs’ business locations. After several years, Defendant left Plaintiffs’ employ, and began practicing medicine within the area defined by the restrictive covenant. Plaintiff brought suit seeking an injunction enforcing the covenant. The Trial Court denied the injunction, finding the covenant to be in violation of public policy and, alternatively, too broad to be enforceable. The intermediate appellate court reversed, modifying the covenant so that it could be enforced, and Defendant appealed to the Arizona Supreme Court.
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