HUNTINGTON, W.Va. — St. Mary’s Medical Center and the Charleston Area Medical Center are both named in an anti-trust lawsuit filed this week in the U.S.District Court in Southern West Virginia.
A spokesman for St. Mary’s Hospital said the hospital stands by the claims made in the suit as accurate statements.
“St. Mary’s Medical Center discovered this issue on its own, voluntary disclosed it to the U.S.Justice Department, and fully cooperated with the Justice Department on this matter,” said Doug Korstanje, Director of Marketing and Communications for St. Mary’s.
The Justice Department claimed in the lawsuit the two major hospitals had an agreement to not use billboard or print advertising in the others territory. St. Mary’s agreed not to advertise in print or on billboards in Kanawha County according to the lawsuit, and conversely CAMC would not advertise in print or on billboards in Cabell County.
“It is important to note St. Mary’s aggressively advertises in Kanawha County through the use of television ads, the most important communication vehicle available for hospital advertising,” Korstanje added. “During this whole time period we’re talking about, we were advertising in Kanawha County, just not in print or billboards.”
CAMC also cooperated with the investigation, but disagreed with their findings.
“CAMC cooperated with the DOJ investigation, but disputes the allegations in the complaint,” said CAMC Spokesman Dale Witte.”CAMC has reached an agreement with the DOJ to settle the matter to avoid expensive and protracted litigation.”
When asked if there was an agreement in place between the two health care providers, Korstanje would say only, “the complaint is accurate as the Justice Department filed it.”
The suit claims the arrangement deprived potential patients in both markets the opportunity to learn more about healthcare service options which might be available to them.
The Justice Department filed a companion settlement to the lawsuit which if approved and would end the suit.