Competition Mission
Part 3 Administrative Complaints

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Title	Number	Action Date	Type of Matter	Product/Service
Automatic Data Processing, Inc.	D9282	11/13/96	Horizontal Merger	Automotive Salvage Yard Information Systems
Blodgett Memorial Medical Center Butterworth Health Corporation	D9283	11/18/96	Horizontal Merger	Inpatient Hospital Services
Mesa County Physicians Independent Practice Association, Inc.	D9284	5/12/97	Horizontal Restraints	Physician Services

Automatic Data Processing, Inc.

The Commission issued an administrative complaint alleging that the 1995 acquisition by Automatic Data Processing (ADP) of AutoInfo, Inc., assets created a monopoly that raised prices and reduced the quality of service in information management for the automobile salvage yard industry. The complaint alleged that through the acquisition, ADP intended to acquire monopoly power and raise prices by making ADP the sole auto parts inventory exchange. Under the terms of a consent agreement accepted for public comment, ADP will be required to divest the AutoInfo assets within 150 days to a Commission-approved acquirer.

Blodgett Memorial Medical Center; Butterworth Health Corporation

The Commission issued an administrative complaint that challenged the proposed merger of Butterworth and Blodgett hospitals in Grand Rapids, Michigan. The complaint charged that the merger would substantially reduce competition for acute-care inpatient hospital services in the Grand Rapids area. The Commission ended its litigation after the federal district court's decision to deny the Commission's motion for a preliminary injunction was upheld by the U.S. Court of Appeals for the Sixth Circuit. The case was dismissed under the agency's 1995 policy to determine on a case-by-case basis whether to pursue administrative litigation in merger cases after a federal court has declined to bar the companies from merging pending the outcome of an administrative trial (see Blodgett Memorial Medical Center, page 52).

Mesa County Physicians Independent Practice Association, Inc.

The Commission issued an administrative complaint alleging that the Mesa County Physicians Independent Practice Association, Inc., conspired to fix the prices for physician services and encouraged its member physicians not to deal with certain health insurance companies or other third-party payers.

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