Scarinci Hollenbeck, LLC, LLCScarinci Hollenbeck, LLC, LLC

Firm Insights

The Evolution of Health Care Competition Laws

Author: Scarinci Hollenbeck, LLC

Date: March 3, 2015

Key Contacts

Back

The Federal Trade Commission, in conjunction with the U.S. Department of Justice Antitrust Division, recently held a two-day workshop to analyze the competitive effects of developing health care provider organizations and payment models on the provision of health care services in the United States.

Prior to the 1970s, regulators did not enforce anti-competition laws against professional service providers. However, in Goldfarb v. Virginia State Bar, the U.S. Supreme Court ruled that Congress did not intend any sweeping “learned profession” exclusion from the Sherman Act. Accordingly, a minimum fee schedule for title examinations, as published by the Fairfax County Bar Association, violated the anti-trust statute.

Following the Supreme Court’s ruling, the FTC began to examine restrictions on competition adopted by professional associations. In December 1975, the FTC filed an administrative complaint against the American Medical Association, alleging that the association’s “Principles of Medical Ethics” unreasonably restrained trade by prohibiting advertising and solicitation.

According to the FTC, “Ethical principles of the medical profession have prevented doctors and medical organizations from disseminating information on the prices and services they offer, severely inhibiting competition among health care providers.” The Second Circuit Court of Appeals agreed with the FTC, and the U.S. Supreme Court ultimately affirmed the decision.

According to the FTC, the precedent set forth in the AMA case has influenced more than 100 FTC cases. The FTC’s growing health care initiatives also ultimately led to the creation of the Bureau of Competition’s Health Care Division. In recent years, the FTC has focused its efforts on promoting competition in health care markets, preventing false and deceptive health claims, and improving transparency with respect to health care products and services.

Today, the FTC is again reviewing its health care initiatives in light of the rapidly evolving health care industry, including changes under the Affordable Care Act (ACA). In the Federal Register Notice published in conjunction with the workshop, the FCC identified the following issues of concern: early observations regarding accountable care organizations; alternatives to traditional fee-for-service payment models; trends in provider consolidation; trends in provider network and benefit design strategies, as well as contracting practices and regulatory activity that may enhance or undermine these strategies; and early observations regarding health insurance exchanges.

Do you have any feedback, thoughts, reactions or comments concerning this topic? Feel free to leave a comment below and follow the twitter accounts @CyberPinguelo, @eWHW_Blog, @S_H_Law. If you have any questions about this post or would like assistance with your data security efforts, please contact me or the Scarinci Hollenbeck attorney with whom you work. To learn how Scarinci Hollenbeck can be of assistance, please visit Scarinci Hollenbeck Cyber Security and Data Protection Law Practice.

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Scarinci Hollenbeck, LLC, LLC

Related Posts

See all
Crypto Investor Protection: SEC and CFTC Enforcement Trends post image

Crypto Investor Protection: SEC and CFTC Enforcement Trends

Crypto investor protection continues to evolve, with the SEC and CFTC investing resources and coordinating more closely to uphold regulatory standards. Whether you’re a retail investor, an institutional trader, or part of a crypto startup, understanding enforcement trends is essential for navigating this dynamic and high-stakes regulatory environment. Crypto Is No Longer the Wild West […]

Author: Dan Brecher

Link to post with title - "Crypto Investor Protection: SEC and CFTC Enforcement Trends"
New Jersey’s Next Manufacturing Tax Credit: Stability Secured, Timing Matters post image

New Jersey’s Next Manufacturing Tax Credit: Stability Secured, Timing Matters

A Settled Regulatory Environment Enables Confident Capital Planning New Jersey’s new manufacturing incentive program, Next New Jersey Manufacturing Program,  enters 2026 with something uncommon in economic development these days: policy stability. The statute is enacted, New Jersey Economic Development Authority’s (“NJEDA”) rules are adopted, and the application portal is open. With the election outcome settled, […]

Author: Michael J. Sheppeard

Link to post with title - "New Jersey’s Next Manufacturing Tax Credit: Stability Secured, Timing Matters"
A Simple Guide to Industry Roll-Up Acquisitions post image

A Simple Guide to Industry Roll-Up Acquisitions

When done successfully, industry roll-up acquisitions can dramatically grow and strengthen your business. In this post, we break down what an industry roll-up is, why companies pursue it, and what makes it an effective (and sometimes risky) business strategy. What Is an Industry Roll-Up Acquisition? In an industry roll-up acquisition of companies, a buyer acquires multiple companies […]

Author: Dan Brecher

Link to post with title - "A Simple Guide to Industry Roll-Up Acquisitions"
Genesis Mission: How the U.S. Government’s New AI Platform Will Reshape Corporate Innovation, Risk, and Competition post image

Genesis Mission: How the U.S. Government’s New AI Platform Will Reshape Corporate Innovation, Risk, and Competition

The federal government has launched one of the most ambitious scientific initiatives in decades, and it will redefine how companies develop technology, manage risk, and compete. The Genesis Mission, created by Executive Order and driven by the Department of Energy (“DOE”), is intended to accelerate scientific discovery through a national AI platform that links supercomputers, […]

Author: Michael J. Sheppeard

Link to post with title - "Genesis Mission: How the U.S. Government’s New AI Platform Will Reshape Corporate Innovation, Risk, and Competition"
Stablecoins and the GENIUS Act: How New Global Rules Are Reshaping Compliance post image

Stablecoins and the GENIUS Act: How New Global Rules Are Reshaping Compliance

Stablecoins Leave the Grey Zone Stablecoins were supposed to be the “boring” part of crypto: digital dollars that just work. Yet for years they have lived in a regulatory no-man’s-land, classified one day as securities, the next as commodities, and sometimes as something regulators had not even named yet. That uncertainty is finally starting to […]

Author: Bryce S. Robins

Link to post with title - "Stablecoins and the GENIUS Act: How New Global Rules Are Reshaping Compliance"
Don’t Overlook the Importance of Business License Management post image

Don’t Overlook the Importance of Business License Management

If you operate a business without the proper license, you risk fines, insurance issues, reputational harm, and even business closure. Even innocent mistakes, like forgetting to renew a license, can have significant consequences, such as losing your lawsuit for payment of services that are unlicensed, which makes it imperative to have business license management procedures […]

Author: Dan Brecher

Link to post with title - "Don’t Overlook the Importance of Business License Management"

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Sign up to get the latest from our attorneys!

Explore What Matters Most to You.

Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.

Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.

Let`s get in touch!

* The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form. By providing a telephone number and submitting this form you are consenting to be contacted by SMS text message. Message & data rates may apply. Message frequency may vary. You can reply STOP to opt-out of further messaging.

Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!