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ARTICLE · 06 OCTOBER 2023

COPA-Approved Hospital Transaction Exempted From Federal Antitrust Laws

Duane Morris LLP
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On September 27, 2023, the United States District Court for the Eastern District of Louisiana concluded that the "state action doctrine" exempts a transaction between hospitals from the federal antitrust laws given the issuance of a certificate of public advantage by the Louisiana Department of Justice.

United StatesAntitrust/Competition Law
Sean P. McConnell
Sean P. McConnell
Andrew John (AJ) Rudowitz
Andrew John (AJ) Rudowitz
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On September 27, 2023, the United States District Court for the Eastern District of Louisiana concluded that the "state action doctrine" exempts a transaction between hospitals from the federal antitrust laws given the issuance of a certificate of public advantage (COPA) by the Louisiana Department of Justice (LADOJ).

Takeaways

  • A federal court has concluded that Louisiana's COPA law exempts a hospital merger from federal antitrust law, including the Hart-Scott-Rodino (HSR) Antitrust Improvements Act.
  • Nineteen states currently have COPA laws, which could impact the federal antitrust agencies' ability to enforce the federal antitrust laws in those states.
  • Several other states have enacted state pre-merger notification filing requirements that provide states with the ability to review healthcare transactions.

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Disclaimer: This Alert has been prepared and published for informational purposes only and is not offered, nor should be construed, as legal advice. For more information, please see the firm's full disclaimer.

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