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Case No. 18-1900

Cedar Valley Medical Specialists, PC
v.
James Wright, M.D.

Appellee

Cedar Valley Medical Specialists, PC

Appellant

James Wright, M.D.

Attorneys for Appellee

Brandon M. Schwartz and Michael D. Schwartz

Attorneys for Appellant

David J. Dutton and Laura L. Folkerts

Court of Appeals

Court of Appeals Opinion

Opinion Number:
18-1900
Date Published:
Oct 09, 2019
Summary

            Appeal from the Iowa District Court for Black Hawk County, George L. Stigler, Judge.  AFFIRMED.  Considered by Potterfield, P.J., Greer, J., and Scott, S.J.  Opinion by Greer, J.  (14 pages)

            The district court enforced a liquidated damages provision based on a violation of a covenant not to compete in a cardiothoracic surgeon’s employment contract.  On appeal, the doctor argues that the covenant not to compete is unenforceable and prejudicial to the public interest and, in any event, the liquidated damages provision constitutes a penalty and is unenforceable.  OPINION HOLDS: We affirm the district court’s ruling enforcing the liquidated damages provision because it was necessary to protect the employer, did not unreasonably restrict the employee, did not violate public policy, and did not constitute an unenforceable penalty.

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