US: Hospital antitrust trial kicks off

The former Iran-Contra prosecutor defended software behemoth Microsoft in its antitrust battle against the US Justice Department. Fourteen years later, he’s involved in another antitrust fight with the federal government. It’s not as widely watched as the Microsoft lawsuit, but it’s a high-stakes case that has rippled across the Chicago-area health care industry.

Webb gave the opening statement Monday on behalf of Evanston-based NorthShore University HealthSystem, which is trying to complete a merger with another large hospital chain, Downers Grove-based Advocate Health Care. The Federal Trade Commission sued to block the merger on grounds that it would reduce competition in the northern suburbs because the two hospital chains are close rivals.

The trial hinges on the definition of the competitive market. Webb argued that the FTC has too narrowly defined the list of potential competitors to the two health systems. The commission’s list includes Swedish Covenant in Chicago, Northwest Community in Arlington Heights, and Vista Medical Center in Waukegan.

Full content: Chicago Tribune

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