From our private database of 35,600+ case briefs...
Federal Trade Commissioner v. Butterworth Health Corp.
United States District Court for the Western District of Michigan
946 F. Supp. 1285 (1996)
Grand Rapids, Michigan, had four hospitals, including Butterworth Health Corporation and Blodgett Memorial Medical Center (collectively, the hospitals) (defendants). The hospitals were both nonprofit hospitals that provided general acute and primary inpatient services. As nonprofit hospitals, the hospitals were controlled by boards of directors made up of members of the community. A commission was created to study the hospital needs of the Grand Rapids area and make recommendations for hospital planning. Based on recommendations of the commission, the hospitals proposed to merge. The hospitals presented evidence showing that without a merger they would collectively spend over $260 million in capital expenditures to upgrade their respective facilities. With a merger, the hospitals estimated they would spend just over $161 million, saving $99 million. The Federal Trade Commission (FTC) (plaintiff) sought a preliminary injunction enjoining the merger, arguing that the merger was likely to substantially lessen competition in violation of § 7 of the Clayton Act. To support its case, the FTC presented evidence that the proposed merger would result in highly concentrated market power in the relevant markets. Usually, this evidence would make a prima facie case resulting in a rebuttable presumption that the merger was illegal under § 7. The hospitals argued that the presumption of illegality was improper in the context of nonprofit hospital mergers.
Rule of Law
Holding and Reasoning (McKeague, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 618,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.Unlock this case briefRead our student testimonials
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.Learn about our approachRead more about Quimbee
Here's why 618,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 35,600 briefs, keyed to 984 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.