Hospital Merger Does Not Enjoy Immunity, Supreme Court Rules in Unanimous Decision

Feb. 20, 2013, 5:00 AM UTC

The acquisition of Palmyra Park Hospital in Albany, Ga., by Phoebe Putney Health System (PPHS) was not immune from antitrust scrutiny under the state action doctrine, the U.S. Supreme Court ruled Feb. 19 (FTC v. Phoebe Putney Health System Inc., U.S., 11-1160, 2/19/13).

In what antitrust attorneys said is a significant victory for the Federal Trade Commission, the high court found the doctrine did not apply because the Georgia Legislature did not “clearly articulate and affirmatively express a public policy to displace competition” for hospital services when it adopted a law giving county hospital authorities the power to ...

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