US Anesthesia Partners seeks to dismiss FTC's 'flawed' antitrust complaint

U.S. Anesthesia Partners, a private equity-backed group affiliated with more than 4,500 physicians, has filed a motion to dismiss the Federal Trade Commission's civil complaint alleging that certain USAP business practices violate U.S. competition laws.

In a Sep. 21 suit, the FTC alleged that USAP and private equity firm and Welsh, Carson, Anderson & Stowe executed an anticompetitive scheme to consolidate anesthesiology practices in Texas, drive up the price of services and increase their profits. 

USAP filed a motion to dismiss the complaint, arguing that "the FTC has inaccurately represented the anesthesia market in Texas and has failed to properly allege that USAP has monopoly power by charging more than a competitive price," according to a Nov. 20 news release. 

Texas is a highly competitive market and USAP said it competes with both large and small anesthesia groups as well as individual anesthesiologists across the state. Additionally, the group argues that the reimbursements it receives for care are in line with industry standards and "reflect the complex nature of treating the most critically ill patients."

"The FTC's civil complaint against USAP is based on flawed legal theories and a lack of understanding about the healthcare industry," Scott Holliday, DO, USAP board member and physician in Texas, said. "It is an attack on our independent, physician-owned and physician-led medical practice rather than a valid complaint that has credible allegations of anticompetitive harm. USAP has filed a motion to dismiss this complaint given the agency is acting outside the scope of its authorized powers."

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