Massachusetts judge puts brake on Partners' deal with state

A Suffolk Superior Court Judge has put a three-week hold on the deal between Partners HealthCare System and the Massachusetts Attorney General’s office to allow comments from other stakeholders, including competing hospital systems and medical groups.

Partners, based in Boston, is already the state’s largest healthcare provider and the deal with Attorney General Marica Coakley would have had the state drop its efforts to block Partners from acquiring three more hospitals in exchange for a broad range of concessions, including agreeing to not to increase prices and halt further expansion plans, as well as allowing payors to contract with Partners on a component basis to boost their negotiating position.

“Suing Partners would potentially block further expansion of its network, but would also maintain the status quo in the market,” Coakley said in a statement following the signing of the agreement. “We believe this agreement will do much more. It fundamentally reduces the negotiating power of Partners for the next 10 years to better control health costs for families and businesses, and helps level the playing field in the market.”

However, a coalition of competing hospitals and physician networks disagrees and filed an appeal to stop the deal between Partners and the state.

Judge Janet L. Sanders denied the motion to intervene in the agreement, but did ask “what’s the hurry” and gave the public, including Partners competitors, until July 21 to submit comments to the Attorney General’s office. That office then has until August 1 to respond, with possible modification of the agreement following. A new hearing was set for August 5.

Andrea Agathoklis Murino, the attorney representing Partners’ competitors, told the Boston Globe that she and her clients consider the agreement with Partners fundamentally flawed and that it will do little to actually stem Partners' growing power in the state. “The priority for us is to allow this court to hear our input, to make sure the court sees all the potential loopholes,” she told the newspaper.

Lena Kauffman,

Contributor

Lena Kauffman is a contributing writer based in Ann Arbor, Michigan.

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