Justices Scrutinize Immunity Claim In Hospital Merger Case

Law360, New York (November 26, 2012, 8:37 PM EST) -- Phoebe Putney Health System Inc. faced tough questioning from the U.S. Supreme Court on Monday over whether a Georgia law creating the state's hospital authority system actually shielded the hospital's merger with a local rival from federal antitrust scrutiny. 

The court focused almost entirely on the first prong of the test for the so-called state action doctrine — which shields state and state-sanctioned conduct from antitrust scrutiny under certain conditions — during oral arguments. That part of the standard requires a state law to adequately lay...
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