FTC v. RWJBarnabas Health & Saint Peter’s Healthcare System

Date Filed: June 3, 2022
Status: Decided
District Court: District of New Jersey Nature of Suit: Antitrust - Merger
Defendant Type: Provider
Plaintiff Type: Federal
Case Info:
Court Document:

RWJBH is the largest academic health system in New Jersey with 12 hospitals and collaborates with Rutgers Robert Wood Johnson Medical Schools. Saint Peter’s Healthcare System is a Catholic system that includes Saint Peter’s University Hospital in New Brunswick, which is less than one mile from RWJBH. While the deal had obtained approval from the New Jersey attorney general and superior court, the FTC challenged the proposed acquisition, alleging it will give RWJBH a 50% market share for general acute care services in Middlesex County and eliminate head-to-head competition between the entities, leading to higher insurance premiums, co-pays, deductibles, or other out-of-pocket costs. Additionally, due to the state’s certificate of need law, entry of other providers will be limited and likely insufficient to counteract the anticompetitive effects of the acquisition.

The entities abandoned their plans to merge shortly after the FTC’s challenge.

Associated Legislation:

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