Attys. Defend Most-Favored Nation Clauses In Health Contracts

Law360, Washington (September 10, 2012, 10:19 PM EDT) -- Attorneys and law professors urged federal antitrust regulators Monday not to view so-called most favored nation contract clauses commonly used in the health care industry as categorically anti-competitive, arguing that they have useful pro-competitive purposes.

Noting that there is little law governing MFNs, especially in the antitrust sphere, several lawyers participating in the joint Department of Justice and Federal Trade Commission workshop Monday emphasized the need for incremental changes to MFN use, rather than sweeping enforcement actions.

Health insurers often use MFNs to ensure providers give...
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