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CT AG Antitrust Settlement with Northwell, Nuvance Preserves Hospital Services

Northwell Health, Inc. and Northwell Healthcare, Inc. (collectively “Northwell”) and Nuvance HealthAugust 26, 2024Connecticut Attorney General

Summary

Connecticut Attorney General William Tong reached an agreement with Northwell Health and Nuvance Health to resolve an antitrust investigation into their proposed affiliation. The agreement preserves labor and delivery services at Sharon Hospital and strengthens healthcare access in Western Connecticut. Northwell committed to maintaining women's health services, investing in IT and cybersecurity, and complying with Connecticut's anti-steering statute for five years.

Remedy

Northwell Health must preserve and expand women's health services at Sharon Hospital, commit resources to unify electronic medical records and enhance data security, negotiate reimbursement rates independently for Connecticut and New York facilities, and comply with Connecticut's statute prohibiting anti-steering and anti-tiering clauses in network agreements for five years.

Consent DecreeCompliance Program

Contract Impact

In-house legal teams should review all agreements related to healthcare affiliations, mergers, or service contracts, particularly those involving hospital systems or provider networks. Focus on clauses governing service preservation (especially labor and delivery and women's health services), anti-steering compliance, market competition safeguards, and commitments to IT/cybersecurity investments. Changes may be needed to incorporate enforceable five-year conditions, monitoring mechanisms, and penalties for non-compliance, ensuring that vendor, customer, and partnership agreements do not conflict with the mandated service maintenance and anti-steering requirements under Connecticut law.

Contract Search Terms

affiliation agreementservice continuity clauseanti-steering provisionmarket competition safeguardessential services commitmenthealthcare access guaranteemerger condition precedentregulatory compliance undertaking

Violation Types

Entity Details

Entity

Northwell Health, Inc. and Northwell Healthcare, Inc. (collectively “Northwell”) and Nuvance Health

Also known as: Northwell Health and Nuvance Health

Industry

Healthcare

Multistate Coalition

Official Sources

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