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Can a home care agency make caregivers sign a non-compete in Louisiana?
Last verified October 17, 2026 · All Louisiana resources
Restricted. Louisiana voids agreements that restrain a person from a lawful trade unless they fit a statutory exception. An employee may agree not to compete with the employer or solicit its customers, but only within specifically named parishes or municipalities where the employer does business and for no more than two years. Agreements that do not follow these rules strictly are not enforced. There is no wage threshold, so compliant covenants can apply to caregivers.
| Status | Restricted |
|---|---|
| Healthcare-specific rule | Since 2025-01-01 (Act 273 of 2024), a non-compete with a primary care physician cannot exceed three years from the start of the contract, other physicians are capped at five years, with parish and mileage limits; physicians at rural hospitals and federally qualified health centers are exempt from these special rules. |
| Client non-solicitation | Customer non-solicitation is allowed only on the same terms as a non-compete: the agreement must list the specific parishes or municipalities and last no more than two years after employment ends. |
| Statute | La. R.S. 23:921 |
| Latest change | 2025-01-01 |
What about a client hiring your caregiver directly?
That is usually handled in the client service agreement, not the caregiver's contract: some agencies charge a placement or conversion fee if a client hires a caregiver directly. Whether that clause is enforceable is a contract question, so have a local employment lawyer review it.
What should you confirm?
A 2026 law (HB 315) reportedly bars non-competes for interns and apprentices from 2026-08-01; it does not affect typical caregivers.
General information, not legal advice.
Sources
More for Louisiana
Non-compete rules by state: other states
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