Court order filed to split Anthem/Cigna trial into two dates
The first phase addresses the effect the $54 billion deal would have on the national health insurance market.
U.S. District Court Judge Amy Berman Jackson will split the Anthem/Cigna merger case into two dates, with the first to start on Nov. 21 and to finish by Dec. 2, according to the order issued Tuesday.
The first phase addresses the effect the $54 billion deal would have on the national health insurance market. The second phase is to focus on local markets.
The Department of Justice is scheduled to present evidence of allegations concerning national accounts in the bench trial starting Nov. 21 at the federal court in Washington, D.C. Jackson said she would hear the defense of the insurers and then rebuttal, before turning to concerns of the local markets.
Jackson gave no date for the second phase of the trial, but did give a date of Dec. 2, for the attorneys to file their findings of fact and conclusions of law for the first phase, signaling the end of the national proceedings.
[Also: Anthem-Cigna, Aetna-Humana mergers would squeeze commercial insurance market]
The judge gave no indication in the order whether she would rule on the Department of Justice's concerns on the national issues before moving on to the local concerns.
She said the court will hear no evidence during the week of Dec. 5. This is when the trial n the proposed $37 billion merger between Aetna and Humana is scheduled to begin. Judge John Bates will preside over that hearing.
Anthem lawyer Christopher Curran reportedly has said that splitting the trial into two phases would be better, because it would mean a decision would be known sooner, according to Reuters. Curran could not be reached for comment Wednesday.
Anthem declined to comment Wednesday.
In July, the Department of Justice blocked both the Anthem/Cigna and Aetna/Humana mergers citing antitrust reasons and concern that consolidation would increase prices for consumers.
If the mergers fails to go through, by contract, Anthem would owe Cigna a breakup fee of $1.85 billion, and Aetna would owe Humana $1 billion.
Here is the entire court order:
Twitter: @SusanJMorse
