Enforcement of physician non-compete agreement
I am physician employed by a large hospital corporation in their Occupational Medicine division. The occ. med. company was purchased by the hospital corp. 18 months ago and our old contracts were assumed. The corporation is now selling off the Occupational Medicine division and will no longer be involved in Occ. Med. Their was a non-compete agreement in my original contract restricting me for 3 years and 60 miles. I have not signed any agreement with the company that is making the purchase and taking over our clinics. They are not assuming our old contracts. I have accepted a postion with a third occ. med. company in town, and have given my notice to take effect the day prior to the day of takeover by the new company.
My current company is stating that by doing so I am violating my non-compete agreement. They are getting out of the occ med business completely. Can they enforce a non-compete agreement when there is no company to compete against? What would I be competing against, when the current company will no longer exist? Can they enforce the non-compete just because it is in my contract? Do contracts cease to exist when companies are sold?