Eckert v. Lehigh Valley Women's Med. Spec., P.C.

26 Pa. D. & C.5th 1
CourtPennsylvania Court of Common Pleas, Lehigh County
DecidedFebruary 29, 2012
DocketNo. 2011-C-1316
StatusPublished

This text of 26 Pa. D. & C.5th 1 (Eckert v. Lehigh Valley Women's Med. Spec., P.C.) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Lehigh County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Eckert v. Lehigh Valley Women's Med. Spec., P.C., 26 Pa. D. & C.5th 1 (Pa. Super. Ct. 2012).

Opinion

REIBMAN, J.,

In this employment dispute, Stephanie B. Eckert, D.O., andMary P. Greiss-Coult,D.Q., seekinjunctivereliefinthe form of a declaration that they are free from the obligations of restrictive covenants contained in employment contracts each entered into with Lehigh Valley Women’s Medical Specialties, P.C. They also seek to enforce provisions of their respective employment agreements entitling them to salary and payment of fees and insurance coverage. In turn, Lehigh Valley Women’s Medical Specialties, P.C., has petitioned to enjoin the physicians from pursuing other employment opportunities allegedly in violation of the non-compete agreements. Arguments were scheduled on May 5 and August 3, 2011, and hearing was held on November 17, 2011, at which time all parties agreed that the matter was ripe for final disposition, notwithstanding the fact that the matters had initially been styled in part as requests for preliminary injunctive relief. In accordance [3]*3with the following findings of fact and conclusions of law set forth in narrative form, the restrictive covenant shall be enforced against Dr. Eckert. However, Dr. Greiss-Coult is not bound by the restriction and, additionally, she is entitled to salary and payments of insurance coverage owing under her contract of employment.

I.

In 1997, Eric Rittenhouse, M.D., formed Lehigh Valley Women’s Medical Specialties, P.C., (“the practice”). With its offices located at 440 South 15th Street in Allentown, Pennsylvania, the practice offered lull obstetrical and gynecological care, including deliveries, surgeries and other aspects of women’s health. Its patients are treated at St. Luke’s Hospital in Allentown and Bethlehem, Sacred Heart Hospital in Allentown, and Westfield Hospital in Allentown. At the time the present litigation commenced, the practice had about 9,000 active patients, of whom approximately 70% lived within ten miles of the South 15th Street address. Dr. Rittenhouse has always been the majority shareholder and president of the practice.

After becoming acquainted with Dr. Rittenhouse in the course of her residency, Dr. Eckert joined the practice on August 1,2000. Before she joined the practice, Dr. Eckert had become aware that Dr. Rittenhouse had a history of chemical dependency and had been subject to monitoring by the Physicians Health Program (“PHP”) to address his condition. Nevertheless, Dr. Eckert joined the practice and became a shareholder as of January 1, 2003, pursuant to a Shareholder Employment Agreement. In pertinent part, that agreement provides:

3. Term of Employment. The term of this agreement [4]*4shall be for one year from the date set forth above and from year to year thereafter unless either party gives nine (9) months’ written notice of intent to terminate it at any time....
11. Restrictive Covenant.
a. Limitation.
Employee therefore agrees that, while an employee and for a period of two (2) years after his/her employment ends (for any reason), he/she will not render any services on behalf of himself/herself or any business or entity within a ten (10) mile radius of employer’s office(s) or other place(s) of business maintained by the employer at the time the employee’s employment ends (the “protected area”). This promise includes employee’s not practicing at any hospital or health care facility within the protected area at which employer’s remaining physicians maintain staff privileges^] except St. Lukes [sic] Bethlehem only.
12. Non-solicitation Covenant.
a. Restriction. ...Employee therefore agrees that, if his/ her employment ends for any reason or in any manner, whether or not he/she practices within the restricted area as described above, he/she will in no event:
(i) solicit for treatment any former or existing patient (or member of any patient’s household) of the employer;
(ii) induce or attempt to influence any employee or patient of the employer to terminate his or her [5]*5relationship with the employer;
(iii) induce or attempt to influence any hospital, other health care facility, any physician or any other professional with a referring relationship with the employer to alter in any way that relationship; and/or
(iv) solicit any patient service contractual arrangement of the employer.
These restrictions apply during employee’s employment and for a period of two (2) years immediately following the end of employee’s employment.
(See Pl.’s Hrg. Ex. 2, 11/17/2011).

Dr. Greiss-Coult met Dr. Rittenhouse and Dr. Eckert during her residency at St. Luke’s Hospital in Allentown. She, too, became apprised that Dr. Rittenhouse had a history of addiction. Nevertheless, she agreed to join the practice as an employee effective on or about September 1, 2006, pursuant to an employment agreement, dated December 8, 2005. That written agreement provided in relevant part as follows:

10. Restrictive Covenants
...[WJhile you are a non-owner employee and for a period of two (2) years after your employment ends (for any reason), you will not render any medical services on behalf of yourself, any business or entity within a ten (10) mile radius of the practice’s main office at the time your employment ends (currently located at 440 South 15th Street, Allentown, Pennsylvania). This [6]*6promise includes your not providing any services at the hospitals during this two (2) year period. Notwithstanding the foregoing, provided that you do not maintain an office and/or practice base within the ten (10) mile ‘restriction noted above, nothing shall prevent you from admitting patients and/or delivering babies at St. Luke’s Hospital’s Bethlehem campus and/ or Lehigh Valley Hospital Center.
11. Non-solicitation Covenants
...[Y]ou agree that both during your employment and thereafter, if your employment ends (regardless of the reason or manner of termination), that you will not commit any act, which would harm the practice. Specifically, you agree that you will not directly or indirectly: (i) directly solicit for treatment any former or existing patient (or member of any patient’s household) of the practice (notwithstanding the foregoing, nothing shall prevent you from utilizing mass media forms of advertising); (ii) induce or attempt to influence any employee or patient of the practice to alter his or her relationship with the practice in any way; (iii) induce or attempt to influence any hospital, other health care facility, any physician or any other professional with a referring relationship with the practice, including any managed care payer, to alter that relationship in any way; or (iv) solicit any patient service contractual arrangement of the practice.

(See Pl.’s Hrg. Ex. 1,11/17/2011.)

In respect to termination notice and payments owing in [7]*7such circumstances, Dr. Greiss-Coult’s written agreement provided in pertinent part as follows:

1. Term
... [E] ither you [employee] or the practice may terminate your employment for any reason at any time on sixty (60) days written notice to the other.

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Cite This Page — Counsel Stack

Bluebook (online)
26 Pa. D. & C.5th 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eckert-v-lehigh-valley-womens-med-spec-pc-pactcompllehigh-2012.