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Antitrust law and collective physician negotiations with third parties: the relative value guide object lesson.

This article examines the role of collective physician participation in the third-party reimbursement system. It critiques the Havighurst-Kissam analysis of the antitrust implications of professionally-developed relative value guides and, using lessons derived from the only litigated case on relative value guides, argues that collective physician input into third-party reimbursement plans can be made in a manner which is consistent with the antitrust law as and cost-containment policy objectives. In particular, collective "negotiations" by organized physicians with third parties, unaccompanied by fee agreements among physicians or by actual or threatened physician boycotts, are found to be procompetitive and hence permissible under the rule of reason.

Anesthesiology↗

Should not-for-profit organizations be exempt from antitrust laws?

The responsibilities and legal duties of not-for-profit healthcare organizations differ from those of for-profit organizations. Because of this difference, not-for-profit organizations often cannot be treated and regulated as for-profit institutions would be, especially when the legal question of antitrust arises. When Federal agencies responsible for enforcing antitrust laws begin to understand the difference, they will also begin to realize that strategies by not-for-profit organizations, such as mergers, acquisitions, and consolidations, are not opportunities to monopolize an industry, but means of survival.

Economic Competition↗