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Epic Systems Loses Bid to Toss Antitrust Claims in US Medical Records Lawsuit

By  |  September 9, 2025

Epic Systems, a major provider of electronic medical records software, has lost a bid to dismiss key parts of a lawsuit accusing it of monopolizing the U.S. market for patient health data. According to Reuters, a federal judge in Manhattan ruled that the case brought by startup Particle Health can move forward in part.

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    Epic, based in Wisconsin, is one of the most influential players in the healthcare technology industry. Its software underpins electronic health record (EHR) systems used by hospitals, clinics, and insurers, managing sensitive data for millions of patients nationwide. Reuters noted that Epic controls medical information on as much as 94% of Americans, making it a dominant force in the sector.

    The lawsuit, filed by New York-based Particle Health, alleges that Epic tried to stifle competition by steering clients away from Particle’s “payer” platform, which lets insurers access and analyze patient records from Epic and other companies. Judge Naomi Reice Buchwald said Epic’s alleged actions were “sufficiently anticompetitive, and intended to exclude Particle from that market.”

    Not all claims survived. The court dismissed Particle’s allegations of defamation and interference with business relationships, along with certain other antitrust claims. Still, Reuters reported that the ruling preserves the central accusation that Epic unlawfully sought to maintain control over medical data access.

    Related: New Zealand Enacts Biometric Privacy Code to Strengthen Data Protections

    Epic has rejected the accusations, arguing that most of the case has already been dismissed. The company said it looks forward to proving its position as the case progresses. Particle’s chief executive Jason Prestinario welcomed the decision, saying it allows the company’s “core monopolization antitrust claims” to continue.

    Founded in 2018, Particle competes with Epic by offering insurers tools to collect and manage medical records at scale. The company alleges Epic pressured customers to abandon its services and erected barriers to new business. Epic, in turn, has accused Particle of improperly accessing confidential patient data, though Particle denies those allegations.

    The case, Particle Health Inc v. Epic Systems Corp, is being heard in the U.S. District Court for the Southern District of New York under docket number 1:24-cv-07174.

    Source: Reuters