US: Sutter Health settles for $575M in antitrust suit

After the California Attorney General brought complaints of anticompetitive behavior against Sutter Health, the Sacramento-based health system will pay US$575 million in a settlement.

Sutter Health will pay US$575 million to settle allegations that the Sacramento-based health system engaged in anticompetitive practices that led to higher costs for patients.

One of Northern California’s largest health systems, Sutter Health employs roughly 12,000 physicians, and has 24 hospitals and 36 surgery centers in its network.

Though the California Attorney General and Sutter Health previously announced the settlement in October, they did not disclose the terms until December 20. If approved by the court, the sweeping terms of the settlement may set a tone for other large health systems across the state.

“This first-in-the-nation comprehensive settlement should send a clear message to the markets: if you’re looking to consolidate for any reason other than efficiency that delivers better quality for a lower price, think again,” California Attorney General Xavier Becerra said in a news release.

Full Content: OAG

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