Noncompete fight puts Schenectady cardiology access on a January clock

A legal standoff over noncompete clauses tied to the failed merger between Ellis Medicine and St. Peter’s Health Partners is moving toward a Jan. 1 deadline that could reshape cardiovascular care for Schenectady County patients. The dispute centers on the county’s only cardiology group, where physicians, hospital systems, and patients are all now exposed to the fallout of a deal that never closed. In practical terms, the question is no longer abstract contract law; it is where patients will be seen, who will answer urgent calls, and how quickly records can move when a clinic structure fractures.

More than 70 people gathered outside Ellis Hospital’s Nott Street entrance on Nov. 8 in support of Cardiology Associates of Schenectady, whose physicians sit at the center of the litigation. The rally captured the central clinical risk in plain language: continuity of cardiac care can deteriorate quickly when a group’s staffing, privileges, and records are split between competing systems. For patients with heart disease, a delay in access to prior testing, medication histories, or recent symptoms can slow triage and complicate decisions about follow-up, procedure scheduling, and escalation of care.

A collapsed merger left employment contracts at the center of the dispute

St. Peter’s Health Partners acquired as many as 27 physicians from the group before merger discussions with Ellis Medicine later broke down and were canceled. Once the deal unraveled, the contract language that once seemed embedded in a larger integration plan became the focal point of a fight over where cardiologists may practice. Ellis sued in August, arguing that the noncompete provisions in the physicians’ employment agreements would keep them from working for Ellis. St. Peter’s responded by seeking a temporary restraining order to stop Ellis from recruiting the physicians, but a Schenectady County Supreme Court judge lifted that order and St. Peter’s has since filed a notice of appeal.

The legal posture matters because cardiology is not easily paused. Patients with ischemic heart disease, arrhythmias, heart failure, and post-procedure needs depend on stable outpatient access and on a predictable chain of follow-up. When physician employment structures are disrupted, the downstream effect is felt in scheduling, after-hours coverage, and the handoff of diagnostic data. Even a short gap can force patients to choose between fragmented care and delayed evaluation.

One sentence from the rally cut through the litigation language.

“People will die,” Denis Manor, MD, said after the rally.

Record transfer has become a clinical issue, not just an administrative one

The transfer of medical records emerged as a central concern for physicians speaking at the rally. Robert Parkes, MD, said records must be moved so that access can begin on Jan. 1, warning that a patient who remains in one system’s charts may still be routed back to that system for care even if an appointment has already been scheduled elsewhere. That is not a clerical nuisance. In cardiology, chart access can determine whether a clinician sees recent catheterization data, stress test results, imaging, medication changes, or a history of symptoms that have evolved over months.

“If the records haven’t been transferred legally, the patient is St. Peter’s patient,” Dr. Parkes said. “On January 1st, if they have an appointment with me next June, but they call January 1st with a problem, they’re going to be calling the St. Peter’s office, and they have all the records, and they’re going to have to deal with it until that patient is transitioned.”

That concern reflects how tightly cardiology depends on continuity. A patient who develops chest pain, palpitations, dyspnea, syncope, or medication intolerance may not be able to wait for a formal transfer process to sort itself out. Care teams need direct access to the last echo, the most recent ECG, anticoagulation history, prior interventions, and current follow-up plans. Without that continuity, risk moves from the boardroom to the bedside.

Ellis and St. Peter’s are each claiming the patient-centered position

Ellis said 22 cardiologists have signed employment agreements with the system. In a statement, Ellis said physicians should be allowed to decide where they want to practice, patients should be allowed to see the doctors they choose, and essential services should remain close to home. The system also said it has recruited additional physicians from outside the area who want to help shape the future of healthcare in Schenectady.

St. Peter’s pushed back, saying its focus remains on uninterrupted access to care and on helping patients understand their options. The system said that for any patient who chooses to transition elsewhere, it will assist with the handoff and help preserve continuity. St. Peter’s also said Ellis declined proposals to extend current services while a long-term solution is pursued.

The competing claims point to the same clinical pressure point from different directions. One side is trying to preserve physician mobility and local access through Ellis. The other is trying to maintain service continuity through a different transition plan. Patients are left to navigate a process shaped by contracts, appeals, and competing system priorities rather than by a clean clinical handoff.

The January transition could define how much care continuity survives

The cardiologists hope to see patients at new offices in the new year. Dr. Parkes said the ideal outcome would be for the lawsuits to disappear and for Ellis and St. Peter’s to work together so staff can remain in existing offices until the final week of December, followed by a coordinated move for patients who choose to switch in late December or early January. That would reduce the chance of abrupt interruption, but it would still require cooperation on records, scheduling, and communication across systems that are already in conflict.

For patients, the stakes are straightforward. Cardiovascular care depends on reliable follow-up, timely symptom response, and quick access to prior data. The legal battle now threatens each of those elements at once. If the appeal, the counterclaims, and the competing transition plans remain unresolved as the calendar turns, the first clinical consequence will not be found in the courtroom record. It will appear in the phone calls, referrals, and appointment logs that determine whether patients can actually reach a cardiologist when they need one.


Reporting by Dr. Aishwarya N., MBBS for Medicine World Foundation, with additional data provided by Becker's Physician Leadership.