Litigation

Federal Trade Commission v. Hackensack Meridian and Englewood Healthcare

Date Filed: December 8, 2020
Status: Pending
District Court: District of New Jersey – Case No. 2:20-CV-18140-JMV-JBC
Appellate Court: 3rd Circuit Case No. 21-2603
Nature of Suit: Antitrust
Defendant Type: Provider
Plaintiff Type: Federal
Case Info: https://www.ftc.gov/enforcement/cases-proceedings/2010044/hackensack-meridian-health-inc-englewood-healthcare-0, https://www.ftc.gov/enforcement/cases-proceedings/2010044/hackensack-meridian-health-inc-englewood-healthcare-foundation

Hackensack Meridian, the largest healthcare system in New Jersey, and Englewood Healthcare announced their plans to merge in October 2019. While the proposed transaction was approved by the New Jersey attorney general and New Jersey Department of Health, the FTC continued to pursue the challenge and filed for a preliminary injunction in New Jersey district court to block the transaction. The complaint alleges the proposed acquisition of Englewood, located in northern New Jersey, would reduce competition for inpatient general acute care services in Bergen County and lead to higher insurance premiums and out-of-pocket costs.

The district court granted the preliminary injunction in August 2021, finding that the FTC established its prima facie case that the merger will likely lead to anticompetitive effects in the relevant product and geographic markets. The entities filed for appeal with the Third Circuit Court of Appeals shortly after. The FTC administrative trial will begin 30 days after the 3rd Circuit rules on the appeal of the Preliminary Injunction.


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