What You Should Know:
– A U.S. District Court judge in the Southern District of New York, Judge Naomi Buchwald, has allowed Core Antitrust Claims against Epic to proceed.
– The ruling found that Particle Health, a healthcare data platform, may move forward with its claims that Epic holds a monopoly in the payer platform market with a 90% market share and has engaged in anti-competitive conduct. The ruling marks as the first time an antitrust case against Epic has progressed this far.
Allegations of Anti-Competitive Behavior
The court specifically noted Particle’s allegations that Epic engaged in several anti-competitive behaviors, including:
- Cutting off customer access to Epic-stored medical records.
- Prolonging approval processes for Particle customers.
- Launching disparagement campaigns against Particle.
- Manipulating industry dispute resolution processes.
In its decision, the court highlighted Particle’s allegation that Epic told at least one customer that “its access to Epic data would be restored if it ended its relationship with Particle”. The court found this conduct sufficient to allow claims of intentional interference with Particle’s business relationships to proceed.
Impact of Precedings
By rejecting Epic’s argument for dismissal, Judge Buchwald’s ruling is seen as a victory for patients who want their health data to be used to deliver the best care possible. The decision validates Particle’s position that it has an actionable right to pursue claims that Epic has abused its dominant market position to stifle competition and harm innovation in healthcare data access.
The court also recognized Particle’s allegations that both companies’ platforms serve the specialized needs of healthcare payers who require the ability to retrieve medical records digitally, instantly, and at scale. This recognition validates Particle’s position that this represents a distinct competitive market.
Next Steps
The next step for the parties is fact discovery, which Particle expects will further demonstrate Epic’s dominance and anti-competitive conduct.“Very pleased at the outcome that came out last night in our anti-trust case against Epic. While a few of the claims didn’t survive, Epic’s motion to dismiss was DENIED on all 3 of the core monopolization antitrust claims. This is the first time in Epic’s history that an antitrust case against them has gotten to this point. It’s the next step to a bigger victory for better patient care and more patient control of their medical info,” said Jason Prestinario, CEO of Particle Health.
