Over the weekend, a federal decide issued a big ruling in Particle Well being’s antitrust lawsuit towards Epic, permitting key claims to proceed whereas dismissing others.
Choose Naomi Buchwald of the Southern District of New York permitted three of Particle’s federal antitrust claims to maneuver ahead, in addition to a declare of tortious interference with enterprise contracts.
Information platform Particle filed the lawsuit towards EHR behemoth Epic final September following a monthslong dispute. The startup’s criticism alleged that the EHR vendor is utilizing its dominance out there to forestall competitors within the payer platform house.
The payer platform house refers back to the rising marketplace for digital platforms that enable payers to entry and analyze affected person knowledge at scale for a wide range of functions, together with bettering care coordination, designing inhabitants well being packages or streamlining claims processing.
Particle’s criticism alleges that Epic is stopping the startup from competing on this house by blocking Particle clients from retrieving Epic-held knowledge.
On the heart of the dispute is Carequality, a nationwide knowledge change framework that Epic performs a dominant function in working. Particle depends on Carequality to retrieve affected person data on behalf of its clients, however the startup alleges that Epic has selectively restricted its entry, due to this fact reducing it off from a vital pipeline of medical knowledge.
Particle argues that Epic has leveraged its affect over Carequality to tilt the market in its favor and shut out the competitors — saying that this habits quantities to an “unprecedented” exertion of market energy that suppresses innovation and controls payers’ entry to affected person data. The corporate alleges that Epic’s ways have pushed clients to desert their contracts, as nicely stop new buyer relationships from forming.
In her September 5 ruling, Buchwald mentioned that Particle had offered credible data to again up its claims that Epic engaged in anticompetitive habits — sufficient to keep away from the case’s outright dismissal at this preliminary stage. She did, nevertheless, dismiss a number of claims alleging that Epic engaged in conspiracy, defamation and commerce libel.
Particle CEO Jason Prestinario mentioned he’s “very happy” about Buchwald’s ruling in a LinkedIn publish.
“Whereas just a few of the claims didn’t survive, Epic’s movement to dismiss was DENIED on all 3 of the core monopolization antitrust claims. That is the primary time in Epic’s historical past that an antitrust case towards them has gotten thus far. It’s the following step to a much bigger victory for higher affected person care and extra affected person management of their medical information,” he wrote.
An Epic spokesperson despatched a press release to MedCity Information noting that the corporate is trying ahead to the following stage of the authorized course of.
“The Court docket dismissed nearly all of Particle’s claims. The ruling included the remark that Carequality’s ‘imposition of the corrective motion plan [on Particle] was totally cheap.’ Epic has labored and can proceed to work to guard the privateness of sufferers’ knowledge. We sit up for the chance to current proof to prevail on the remaining claims,” the spokesperson wrote.
The following step for the events is the invention section, which might shed new gentle on how knowledge sharing guidelines are enforced and what’s at stake for the way forward for payer platforms.
Picture: Andrii Sedykh, Getty Photos
