Case Details

Year Initiated/Committed

1995

Year Resolved

1995

Settlement Amount

$200,000 costs

Court

Massachusetts Superior Court, Suffolk County

Docket Number

95-3591A

Lead State

MA

Participating States

MA

Defendant(s)

Blue Cross Blue Shield of Massachusetts

Case Description

Plaintiff state alleged that Blue Cross Blue Shield solicited or agreed to solicit a boycott of Hillcrest Hosptial in Pittsfield, Massachusetts while negotiating with another Pittsfield hospital, Berkshire Medical Center. Under the terms of the assurance of discontinuance, Blue Cross is barred from entering into any boycott or agreement that unreasonably restrains competition, and Blue Cross is required to: 1)Offer Hillcrest Hospital a contract for its HMO Blue product and submit to arbitration if a contract cannot be reached through negotiation; 2) Review its antitrust compliance program with the AG’s office; 3) Pay $25,000 to the Attorney General as reimbursement for costs of the underlying probe; and 4) Pay $175,000 to the Attorney General’s Consumer Aid Fund, which funds the local consumer programs that provide consumer complaint mediation services.