Todorov v. DCH Healthcare Authority

Dr. Alexandre B. Todorov (plaintiff) was a neurologist at DCH Regional Medical Center (DCH) (defendant). Todorov often referred his patients to DCH for computed-tomography (CT) scans. DCH’s radiology department would perform the CT scans, conduct official interpretations, and send the scans to Todorov for his own interpretations. Insurance companies paid one fee for a CT-scan interpretation, generally to the radiologist who performed the official interpretation. Todorov applied for privileges to administer and officially interpret CT scans, hoping to receive the interpretation fees himself. A committee denied Todorov’s application after two radiologists questioned his ability to administer and interpret CT scans. On appeal, an executive committee recommended that Todorov’s application be denied to avoid setting a precedent of granting nonradiologists privileges to perform radiology. The committee feared that allowing such privileges would interfere with the radiology department and cause radiologists to leave DCH. DCH denied Todorov’s application. Todorov sued DCH and its radiologists (defendants) under § 4 of the Clayton Act, alleging that they monopolized the market for CT scans at DCH in violation of § 2 of the Sherman Act. Todorov asserted that this monopoly allowed the radiologists to charge anticompetitive prices for CT-scan interpretations and that DCH denied his application in order to further the monopoly and prevent him from receiving interpretation fees. The district court granted summary judgment for DCH and the radiologists, finding that Todorov failed to allege an antitrust injury. Todorov appealed.