FTC Seeks Temporary Restraining Order on Phoebe Putney, Palmyra Merger

The Federal Trade Commission is seeking a temporary restraining order and preliminary injunction to prevent further integration between Phoebe Putney Memorial Hospital and Phoebe North, or Palmyra Medical Center, in Albany, Ga., according to an Albany Herald report.

The FTC filed the motions in the U.S. Court for the Middle District of Georgia to prevent further integration between the two entities, which had already consummated the transaction, to ensure Palmyra's assets and operations are maintained and preserved until an administrative trial is conducted on the merits of the acquisition.

Phoebe Putney officials have said the requested action would prevent any further improvements or renovations planned for Phoebe North to enhance patient care. "We will proceed to protect the organization and community interests in court," Tommy Chambless, Phoebe senior vice president and general counsel, said in a statement. "It's unfortunate that so many resources must be committed by Phoebe, interfering with the Phoebe mission to deliver the best possible care and exceed the expectations of all we serve."

This latest action comes after the U.S. Supreme Court sided with the FTC in its February ruling, finding that Georgia's state action doctrine did not provide immunity to antitrust law or Phoebe Putney's acquisition of Palmyra. The case was remanded to the 11th Circuit Court of Appeals.

Administrative proceedings between Phoebe Putney and the FTC are scheduled for Aug. 5.

More Articles on the FTC and Phoebe Putney:

Sebelius: PPACA, Antitrust Law in "Constant Tension"
5 FTC Challenges to Hospital Mergers: Key Concepts for Today's Antitrust Environment
FTC Begins Process to Split Merged Georgia Hospitals

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