District Court Grants FTC's Motion for Temporary Restraining Order Against Phoebe Putney | Practical Law

District Court Grants FTC's Motion for Temporary Restraining Order Against Phoebe Putney | Practical Law

The US District Court for the Middle District of Georgia, Albany Division recently granted the FTC's motion for a temporary restraining order to halt further integration of Phoebe Putney Health System Inc. and Palmyra Park Hospital, Inc.

District Court Grants FTC's Motion for Temporary Restraining Order Against Phoebe Putney

by PLC Antitrust
Published on 15 May 2013 • USA (National/Federal)
The US District Court for the Middle District of Georgia, Albany Division recently granted the FTC's motion for a temporary restraining order to halt further integration of Phoebe Putney Health System Inc. and Palmyra Park Hospital, Inc.
On May 15, 2013, the US District Court for the Middle District of Georgia, Albany Division granted the FTC's motion for a temporary restraining order (TRO) to halt further integration of Phoebe Putney Health System Inc. and Palmyra Park Hospital, Inc. The FTC explained that the TRO was necessary to:
  • Preserve the status quo.
  • Prevent anticompetitive effects of the hospitals' merger pending the outcome of the FTC's preliminary injunction proceedings.
The terms of the TRO prohibit the parties from:
  • Taking further steps to consolidate their hospitals.
  • Changing prices on existing contracts.
The order's prohibition on price changes does not extend to formation of new contracts.
After the US Supreme Court ruling in favor of the FTC on February 19, 2013, the agency filed its motions for a TRO and preliminary injunction on April 9, 2013 (see Legal Update, Supreme Court Overturns 11th Circuit Decision in FTC v. Phoebe Putney). The district court set a hearing on the motion for a preliminary injunction for June 14, 2013.
Court documents: