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OSF says Methodist lawsuit 'without merit'

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 The antitrust lawsuit filed Wednesday by Methodist Medical Center against OSF Healthcare System-Saint Francis Medical Center is without merit, OSF said Friday after its officials had been able to digest the claims in the filing.

In a news release from James G. Farrell, senior vice president of marketing and communication, OSF Healthcare said it is confident it has "fully complied with all antitrust laws and regulations while providing high-quality health care throughout the region."

After reviewing the suit, filed in U.S. District Court in Peoria by Methodist parent company Methodist Health Services Corp., OSF said, "we find it to be without merit. Litigation will simply consume time, energy and resources that each organization could better use to meet the health and medical care needs of tri-county residents as well as those throughout central and northern Illinois."

Methodist alleges in the lawsuit that OSF "has engaged in anti-competitive conduct affecting several major commercial insurers that violates the federal antitrust laws, as well as other provisions of Illinois law."

The lawsuit further contends that OSF's "exclusionary conduct limits patients' choice and prevents normal market forces from producing the best healthcare price, quality and service for consumers."

Methodist is seeking damages in excess of $100 million and an injunction against OSF to stop from the anti-competitive conduct.

Debbie Simon, president and CEO of Methodist Medical Center, said her organization has tried to resolve the situation without legal action, but to no avail.

"We are taking this step only after many years of attempting to resolve the situation without legal action, including a recent conversation with OSF leaders. We at Methodist believe strongly that fair and open competition is needed to ensure patients receive the best price, quality and service in healthcare," Simon said.

OSF officials said OSF Saint Francis, the first hospital in the OSF Healthcare System, being founded in 1877, "has a long-standing tradition of meeting and exceeding the needs of those we have the privilege to serve, regardless of their ability to pay. The charity care and community benefits we have provided as a health care system exceeded $268 million as noted in the Annual Non-Profit Hospital Community Benefits Plan we filed with the Illinois Attorney General's Office in 2012.

"The Sisters, our Board of Directors and Administrative leadership appreciate and acknowledge the dedication and commitment of all OSF employees to our Mission of serving with the greatest care and love to all who come through our doors."