On Nov. 22, Salem (Ore.) Health filed a motion to dismiss a lawsuit that alleged its efforts to expand heart care in the area is an unlawful attempt to build a monopoly, Salem Reporter reported Nov. 25.
The lawsuit was filed by Oregon Heart Center, also in Salem, the largest independent cardiac care center in the area, according to the report, and centers on a business dispute over a new ASC opened by Oregon Heart Center and Cascade Cardiology in 2022.
Previously, Salem Health and Oregon Heart Center had collaborated in their development and expansion processes. But that relationship suffered when Salem Health asked to have majority control in the new ASC, to which Oregon Heart Center responded that Salem Health only withdrew after the other clinics refused to surrender majority control. Salem Health's motion claims it was forced out of negotiations.
The lawsuit argued that Salem Health violated antitrust regulations by pressuring patients to switch providers while "still in their hospital beds" and restricting referrals and access to information.
Salem Health contends in their motion for dismissal that becoming more competitive with another heart clinic does not violate antitrust laws. It also claims that Salem is not a "monopolizable" area and that it has other notable competition in the area. Salem Health also said that if it were to get a monopoly, patients have "reasonable alternatives" in nearby cities which would not "defeat any price increase."
Oregon Heart Center filed its lawsuit Sept. 11. It specifically named Salem Health CEO Cheryl Wolfe, claiming she disparaged the clinic in a newsletter to the local medical community. Salem Health also filed a motion to drop the defamation claim against the organization and Ms. Wolfe.
“We remain deeply concerned about Salem Health’s actions and their impact on patients and independent health care providers," Kevin Thompson, DO, of Oregon Heart Center in a statement shared with Becker's. "We look forward to resolving this matter in court for the collective well-being of our local community.”
"Salem Health has a long history of supporting and collaborating with community physicians to ensure we can meet the health care needs of our community. We believe that expanding access to excellent, patient-centered cardiology care is good for patients and for our community," said Cheryl Nester Wolfe, president and CEO of Salem Health Hospitals and Clinics, in a statement shared with Becker's. "As explained in our motions, Oregon Heart Center’s claim that Salem Health’s efforts to improve care are actually attempts to monopolize the market is meritless. It’s a shame our colleagues at Oregon Heart Center have chosen to file a lawsuit that diverts precious resources away from patient care."