Update: Wednesday, Aug. 17:
Both companies have issued a joint statement:
“The parties to the OMNI Healthcare, Inc. v. Health First, Inc. antitrust lawsuit in federal court in Orlando are pleased to jointly announce that they have settled all of the plaintiffs’ claims against all of the defendants. While the terms of the settlement will not be disclosed at this time, the parties have also agreed that former United States District Judge Gary Feess has the authority to mediate and to resolve any disputes that may arise in the preparation of final settlement documents.”
Original story:
Health First and a group of Space Coast physicians and medical groups have settled their three-year antitrust legal battle, cutting short a federal trial before the first witness took the stand.
The settlement was announced Tuesday morning in U.S. District Court in downtown Orlando. No further information on the settlement was available.
Health First debuted in 1995, and the system operates hospitals in Melbourne, Palm Bay, Viera and Cape Canaveral. Health First was sued by Omni Healthcare, Interventional Spine Institute of Florida, and a group of Space Coast doctors, medical practices and a physician’s assistant.
The plaintiffs alleged that Health First leveraged an illegal “hospital monopoly” into South Brevard’s markets for physicians, health insurance, Medicare Advantage plans, and ancillary services like laboratory services and physical therapy. They sought $360 million in damages and asked for the breakup of Health First’s corporate network.
Health First’s lawyers denied that allegation, saying there was no evidence of monopolistic behavior. They argued that Health First’s network is a modern delivery system that was created to control spiraling health care costs.
Jury selection and opening statements took place Monday, and the trial was expected to last about three weeks. The first plaintiffs scheduled to take the stand Tuesday were Dr. Lance Grenevicki, former surgical department chief at Holmes Regional Medical Center, and Dr. Richard Gayles, an anesthesiologist, according to a court notice filed Monday.
Instead, court only convened Tuesday from 8:42 to 9:13 a.m., clerk’s minutes show. The parties announced that the case was settled, the jury was excused, and U.S. District Judge Roy Walton Jr. issued an order dismissing the case.
Health First’s lawyers denied that allegation, saying there was no evidence of monopolistic behavior. They argued that Health First’s network is a modern delivery system that was created to control spiraling health care costs.
Jury selection and opening statements took place Monday, and the trial was expected to last about three weeks. The first plaintiffs scheduled to take the stand Tuesday were Dr. Lance Grenevicki, former surgical department chief at Holmes Regional Medical Center, and Dr. Richard Gayles, an anesthesiologist, according to a court notice filed Monday.
Instead, court only convened Tuesday from 8:42 to 9:13 a.m., clerk’s minutes show. The parties announced that the case was settled, the jury was excused, and U.S. District Judge Roy Walton Jr. issued an order dismissing the case.
Source: FloridaToday