State Quota Violates Commerce Clause, Not Sherman Act

Law360, New York (August 19, 2011, 5:38 PM EDT) -- The Ninth Circuit said Friday that a Washington state law that sets quotas on heart surgeries that can be performed in a given district is not illegally anti-competitive, but struck the law down as unconstitutional.

A three-judge panel said a state licensing regime that issues a limited number permits for certain procedures is in theory allowed under the Sherman Act, but it impacts residents from other states who might travel for care, so it violates the commerce clause of the U.S. Constitution. The decision overturns a...
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