The American Hospital Association, joined by five other medical associations, urged the Federal Trade Commission to abandon its unprecedented policy to enforce the Hart-Scott-Rodino Act against state-approved mergers and acquisitions, specifically with Louisiana Children’s Medical Center’s state-approved merger with HCA Healthcare.
“Never before has the Commission attempted to enforce HSR against a state-controlled merger or acquisition,” the groups wrote. “Nor has any court ever held that HSR applies to such transactions. This action disregards Supreme Court precedent holding that ‘state action or official action directed by a state’ is exempt from the federal antitrust laws. … The Louisiana attorney general had compelling reasons to approve this merger. It was designed to increase access to clinical services and high-quality health care in the New Orleans region and to create expanded hubs for specialty care, innovation and academic medicine.”
In addition to AHA, the letter was signed by America’s Essential Hospitals, the Association of American Medical Colleges, Children’s Hospital Association, Federation of American Hospitals, and Louisiana Hospital Association.
Hospital Coalition Urges FTC to Abandon Unprecedented Challenge to State-Approved Merger
