The Justice Department’s Antitrust Division, along with the U.S. Attorney’s Office for the Southern District of New York, has initiated a civil antitrust lawsuit against New York-Presbyterian Hospital. The lawsuit challenges the hospital's contract restrictions that prevent insurers and employers from offering lower-cost healthcare options to New Yorkers.

Filed in the U.S. District Court for the Southern District of New York, the complaint alleges that New York-Presbyterian is violating Section 1 of the Sherman Act. As the largest hospital system in New York City, it operates eight hospitals and numerous outpatient facilities. The lawsuit seeks to stop the hospital from enforcing contractual terms that limit the availability of budget-friendly health insurance plans.

Attorney General Pamela Bondi emphasized that millions of New Yorkers are paying higher healthcare costs due to these anticompetitive practices. The Justice Department aims to ensure that Americans have access to competitive healthcare markets that provide affordable care.

Acting Assistant Attorney General Omeed A. Assefi highlighted the importance of the healthcare sector and criticized New York-Presbyterian for using its market power to limit consumer choice and protect its profit margins. The Antitrust Division is committed to holding hospitals accountable for violating antitrust laws.

U.S. Attorney Jay Clayton reiterated the frustration felt by New Yorkers regarding high healthcare costs and affirmed the Office's commitment to addressing anticompetitive practices that contribute to these costs.

The complaint details how New York-Presbyterian imposes restrictions in its contracts with payors, preventing them from offering plans that exclude the hospital or do not place it in the most favored tier. These restrictions hinder competition from rival hospitals and obstruct the development of affordable healthcare plans available in other regions.