Saint Agnes Medical Center Sues Physician Group, Alleging Unfair Competition

Saint Agnes Medical Center in Fresno, Calif., has sued a physician group in the area, alleging unfair competition and intentional interference with physician-patient relationships, according to a Fresno Bee report.
Saint Agnes filed suit in Fresno County Superior Court against Santé Community Physicians, one of the largest healthcare providers in Fresno. The hospital claims the independent group, which includes more than 1,200 physicians and nurse practitioners, has steered patients away from Saint Agnes through its physician contracts.

People with HMOs sign up with a physician of their choice, and Santé has entered into contracts with many of these physicians, requiring them to use certain hospitals in the area, such as Community Regional Medical Center in Fresno, Clovis (Calif.) Community Medical Center and Fresno Heart & Surgical Hospital.

The lawsuit also claims Santé doesn't allow its contracted physicians to sign up with any physician group in competition with Santé, such as Saint Agnes Medical Group. If a physician tries to offer patients the option to go to a competitor, Santé allegedly threatens to take away the physician's HMO patients.

The lawsuit claims there are other physician groups in Fresno that want to offer HMO patients the option of using Saint Agnes, but Santé allegedly makes this difficult. "In short, Santé is using its dominant market position in the Fresno HMO market to prevent anyone from competing with Santé for HMO business," the lawsuit said.

Saint Agnes is seeking damages, both punitive and compensatory, against Santé. It also wants a court declaration that says Santé cannot prevent physicians from entering into contracts with doctors groups such as Saint Agnes Medical Group.

Santé President Mateo De Soto, MD, said he believes the allegations are "entirely without merit, and we look forward to demonstrating that in court," according to the report.  

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