Case Description
Plaintiff state and US DOJ filed complaint against Delta Dental, Arizona’s largest dental care insurance company, alleging that Delta’s enforcement of its “Most Favored Nations” (MFN) pricing policy was effectively forcing Arizona dentists to stop offering discounts and innovative dental plans to consumers. Under the MFN policy, participating dentists were required to offer the same rates to Delta that they offered to competing dental plans. This policy constituted price fixing, because participating dentists were not allowed to discount fees through other plans. The complaint alleged that Delta’s actions constituted a boycott against so-called “discount” dental plans. Pursuant to the settlement, Delta agreed to void its MFN pricing policy, to cease from asking dentists whether they offer discounted fees, and to reinstate all dentists who had been terminated from Delta’s plan, for not complying with Delta’s MFN pricing. The final judgment also prohibited Delta from examining, auditing, or monitoring the fees a dentist charged to any other dental plan or person, and from coercing any dentist to refrain from offering discount fees.
