UFCW & Employers Benefit Trust, on behalf of itself and all others similarly situated v. Sutter Health; Sutter East Bay Hospitals; Sutter West Bay Hospitals; Eden Medical Center; Sutter Central Valley Hospitals; Mills-Peninsula Health Services; Sutter Health Sacramento Sierra Region; Sutter Coast Hospital; Palo Alto Medical Foundation for Healthcare, Research and Education; and Sutter Medical Foundation
Published: Apr. 2, 2021 | Filing Date: Apr. 7, 2014 |Case number: CGC-14-538451 Settlement – $575,000,000
Judge
Court
San Francisco County Superior Court
Attorneys
Plaintiff
Daniel Bird
(Kellogg Hansen Todd Figel & Frederick PLLC)
Aaron M. Panner
(Kellogg Hansen Todd Figel & Frederick PLLC)
Kenneth M. Fetterman
(Kellogg Hansen Todd Figel & Frederick PLLC)
Richard L. Grossman
(Pillsbury & Coleman LLP)
Defendant
Oliver Q. Dunlap
(Bartko LLP)
Facts
UFCW & Employers Benefit Trust filed a class action lawsuit against Sutter Health, a large healthcare system, and its affiliates alleging it violated California's Cartwright Act and Unfair Competition Law.
Contentions
PLAINTIFFS' CONTENTIONS: Plaintiffs contended healthcare costs have risen due to defendant's anticompetitive conduct. Plaintiffs contended defendant includes restrictive terms in its agreement with network vendors who feel compelled to enter these agreements. Plaintiffs contended that defendant controls prices of hospital healthcare services and ancillary products and also excludes competition through these agreements.
DEFENDANT'S CONTENTIONS: Defendant denied the contentions.
Result
The parties entered into a $575 million settlement agreement, which also included injunctive relief.
Other Information
Consolidated with: People of the State of California, ex rel. Xavier Becerra v. Sutter Health, Case Number: CGC-18-565398.
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