Duluth Physicians Pressured to Sign Amended Contracts Despite Attorney General Probe

As of November 14th, 2025, the multistate health system Aspirus St. Luke's is facing scrutiny over its efforts to get Duluth physicians to sign heavily amended contracts. While the company has paused changes to physician compensation and its performance incentive program, it is still pushing doctors to sign the new agreements, which include significant revisions to sections on compensation, duties, and termination.

The key issue is Aspirus' inclusion of noncompete clauses in the amended contracts. These clauses, which bar physicians from seeking work elsewhere, were banned in Minnesota for contracts signed after 2023. However, Aspirus is arguing that the amended contracts are considered new agreements, making the noncompete clauses applicable.

This has prompted an investigation by Minnesota Attorney General Keith Ellison's office into the legality of Aspirus' actions. Meanwhile, a Duluth physician has sued the company, seeking to be released from her noncompete so she can open her own family practice clinic. Aspirus has denied the allegations but is defending the noncompete clause in court.

The situation highlights the ongoing tensions between healthcare providers and physicians over employment terms, particularly the use of noncompete agreements. As Aspirus continues to push the amended contracts, the outcome of the Attorney General's investigation and the physician's lawsuit will likely have significant implications for the future of physician-hospital relationships in the Duluth area.