FOR IMMEDIATE RELEASE

March 16, 2000

CONTACT:

Jim Edwards 202-452-8300, ext. 415
Kerry Lynn Schmit 202-637-3089
John Murray 202-778-8496

(Washington, D.C.) - The Antitrust Coalition for Consumer Choice in Health Care believes H.R. 1304, the Quality Health Care Coalition Act, seriously threatens patients and consumers by allowing cartels of health professionals to price-fix. We therefore urge the House Judiciary Committee to reject this ill-considered bill.

The fact this legislation has been scheduled for markup today indicates the live threat H.R. 1304 presents. It would grant health professionals an unprecedented antitrust exemption to bargain collectively while remaining competitors and independent contractors. Further, the legislation leaves these cartels free from accountability to any oversight body, such as the Federal Trade Commission. The cartels could price-fix, boycott, force out competitors, and engage in other anticompetitive conduct.

The antitrust laws are designed to promote fair competition, but this bill would grant a special interest a special exception to price-fix.

H.R. 1304 would have the effect of raising health care costs as much as $80 billion per year, adding as many as 4 million more Americans to the ranks of the uninsured. These higher health costs would fall upon employees, employers, consumers and taxpayers.

The Antitrust Coalition urges the Judiciary Committee to defeat this special interest legislation. The Department of Justice, the Federal Trade Commission, the American Antitrust Institute, the Consumer Federation of America, the Antitrust Section of the American Bar Association, and leading antitrust lawyers and economists all oppose H.R. 1304, as well.

H.R. 1304 is fundamentally flawed and hurts consumers. The Antitrust Coalition urges its defeat. Preserve the antitrust laws that protect consumers.

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