FTC Antitrust Actions
in Health Care Services and Products

I. Introduction

The Federal Trade Commission is a law enforcement agency charged by Congress with protecting the public against anticompetitive behavior and deceptive and unfair trade practices. The FTC's antitrust arm, the Bureau of Competition, is responsible for investigating and prosecuting "unfair methods of competition" which violate the FTC Act. The FTC shares with the Department of Justice responsibility for prosecuting violations of the Clayton Act.

When litigation becomes necessary, many of the FTC's adjudicative matters are conducted in administrative adjudication before an FTC Administrative Law Judge. This provides the opportunity for matters raising complex legal and economic issues to be heard, in the first instance, in a forum specially suited for dealing with such matters. Appeals from Commission decisions are taken directly to the federal courts of appeal. The Commission also has the authority to seek a preliminary injunction in federal district court whenever the Commission has reason to believe that a party is violating, or is about to violate, any provision of law enforced by the FTC. Such preliminary injunctions are intended to preserve the status quo, or to prevent further consumer harm, pending administrative adjudication before the Commission. Additionally, the Commission has the authority to seek a permanent injunction in federal district court in a "proper case" pursuant to section 13(b) of the FTC Act.

In the mid-1970's, the FTC formed a division within the Bureau of Competition to investigate potential antitrust violations involving health care. The Health Care Services and Products Division consists of approximately twenty-five lawyers and investigators who work exclusively on health care antitrust matters. Health Care Services and Products Division staff also work with staff in the FTC's seven regional offices on health care matters. FTC cases involving health care services and products are summarized below.(2) The Commission and its staff have also responded to numerous requests for guidance from health care industry participants through, among other things, the advisory opinion letter process, and through the issuance of statements on enforcement policy.(3)

For further information about matters handled by the FTC's Health Care Services and Products Division, or to lodge complaints about suspected antitrust violations, please write, call, or fax to this office as follows:

Mailing Address:	Health Care Services and Products Division Bureau of Competition Federal Trade Commission Washington, DC 20580
Telephone Number:	202-326-2756
Fax Number:	202-326-3384

For further information about pharmaceutical merger matters handled by the FTC's Mergers I Division, please write, call, or fax the Mergers I Division as follows:

Mailing Address:	Mergers I Division Bureau of Competition Federal Trade Commission Washington, DC 20580
Telephone Number:	202-326-2954
Fax Number:	202-326-2655

1. This summary has been prepared by the FTC Health Care Services and Products Division staff, and has not been reviewed or approved by the Commission or the Bureau of Competition. Section III describes FTC enforcement involving mergers in the pharmaceutical industry, which are conducted by the Mergers I Division of the Bureau of Competition.

2. Commission complaints and orders issued since March, 1996, are available at the FTC's website at http://www.ftc.gov.

3. Information regarding advisory opinions is set forth in the Topic and Yearly Indices of Health Care Advisory Opinions by Commission and by Staff. The index, and the advisory opinions issued since October, 1993, are available at the FTC's website at http://www.ftc.gov.