Antitrust Law Daily Wrap Up, ANTITRUST—D. Vt.: Hospital not shown to conspire to suppress nurse anesthetist wages, (Jun 26, 2014)

By Linda O’Brien, J.D., LL.M.

In an action by a nurse anesthetist against a hospital for conspiring with other hospitals to suppress wages for nurse anesthetists in the state, the federal district court in Rutland, Vermont has granted summary judgment to the hospital on federal antitrust and Vermont consumer protection claims (Green v. Springfield Medical Care Systems, Inc., June 24, 2014, Reiss, C.).

Stephen Mark Green is a certified registered nurse anesthetist (CRNA) and was employed by Springfield Hospital in its surgery department from October 2006 to June 2012. His employment was governed by a written employment agreement that allowed the hospital to terminate Green’s employment without cause with 90 days’ notice. During his employment, Green was president of the state nurse anesthetists association, which urged various hospitals to opt out of a federal regulation requiring CRNAs to work under the supervision of a physician. In March 2012, Green was advised by the hospital’s chief executive officer that his employment would be terminated as a cost-saving measure.

Green filed suit against Springfield Hospital, alleging that the hospital conspired with other hospitals to depress wages for nurse anesthetists in the state in violation of Section 1 of the Sherman Act and Vermont’s Consumer Protection Act (CPA), among other claims. Green alleged that his employment termination was in retaliation for his opposition to this illegal restraint of trade. Green and Springfield Hospital filed cross-motions for summary judgment.

Restraint of trade. The court found that Green presented no evidence to support his conclusory allegations that the hospital unlawfully conspired to suppress wages of CRNAs in the state. To establish a claim under the Sherman Act and CPA, a plaintiff must allege facts with sufficient particularity as to the time, place, or person involved in the alleged conspiracy. In this case, Green failed to show the existence of an agreement to suppress CRNA wages. He also did not identify any participants to the alleged conspiracy or how and why the conspiracy carried out any alleged restraints of trade. Since the plaintiff failed to present evidence to support the essential elements of his antitrust and consumer protection claims, the hospital’s motion for summary judgment with respect to those claims was granted, the court concluded.

The case is No. 5:13-cv-168.

Attorneys: Jeremiah R. Newhall (Ellis Boxer & Blake) for Stephen Mark Green. Andrew H. Maass (Ryan Smith & Carbine, Ltd.) for Springfield Medical Care Systems, Inc. and Springfield Hospital, Inc.

Companies: Springfield Medical Care Systems, Inc.; Springfield Hospital, Inc.

Cases: Antitrust StateUnfairTradePractices VermontNews