Tag: Competition

The Minnesota Rural Health Cooperative (MRHC), comprised by a group of doctors and hospitals in southwestern Minnesota, agreed to a settlement with the Federal Trade Commission that prohibits anticompetitive tactics the group allegedly used to increase health insurance reimbursement rates. The MRHC is made up of approximately 25 hospitals and 70 doctors, representing most of the hospitals and half of the primary care physicians in southwestern Minnesota. According to the FTC’s complaint, when members join the MRHC, they agree that the group’s board of directors will negotiate and contract with health insurers on their behalf and that they will abide by the MRHC contracts. The settlement order bars the MRHC from using coercive tactics to extract favorable contract terms from health plans. In addition, the order requires the MRHC to offer to renegotiate all current contracts with health plans and to submit any revised contracts for state approval.

The FTC required Pilot Corporation, owner of the largest travel center network in the United States, to sell 26 locations as part of a settlement that will replace the competition lost because of Pilot’s proposed $1.8 billion acquisition of Flying J Inc.’s travel center network. Pilot has agreed to sell the travel centers, which provide diesel, food, parking, and other amenities for truckers, to Love’s Travel Stops and Country Stores, the smallest national travel center operator, currently concentrated in the South. According to the FTC’s complaint, the deal would have reduced competition for certain long-haul trucking fleets for which Pilot and Flying J were the first and second best choices for diesel.

To settle charges that its 2008 acquisition of three LandAmerica Financial, Inc. subsidiaries was anticompetitive, Fidelity National Financial, Inc. agree to sell several title plants and related assets in six geographic areas: 1) the Portland, Oregon, metropolitan area, consisting of Clackamas, Multnomah, and Washington counties; 2) Benton County, Oregon; 3) Jackson County, Oregon; 4) Marion County, Oregon; 5) Linn County, Oregon; and 6) the Detroit, Michigan, metropolitan area consisting of Oakland, Macomb, and Wayne counties.

The Commission filed an administrative complaint against Intel Corp., the world’s leading computer chip maker, charging that the company had illegally used its dominant market position for a decade to stifle competition and strengthen its monopoly. The complaint alleged that Intel engaged in a course of conduct to shut out rivals’ competing microchips by cutting off their access to the marketplace. In particular, the complaint alleged that Intel unlawfully maintained its monopoly in relevant central processing unit, or CPU, markets, and sought to acquire a second monopoly in the relevant graphics markets, using a variety of unfair methods of competition. In August of 2010, Intel agreed to a settlement containing provisions that would undo the effects of Intel's past conduct, and prohibiting Intel from suppressing competition in the future.