Ninth Circuit Rules in Favor of Edgeworth Client in No-Poaching Antitrust Litigation

Edgeworth CEO Dr. John Johnson, working with Managing Principal Dr. David Colino, was retained by AMN Healthcare, a major healthcare staffing company, in an antitrust matter brought by a competitor alleging Section 1 and Section 2 claims.

In this federal court litigation involving claims of unreasonable restraints of trade and attempted monopolization, the plaintiff alleged that competition in the travel nurse industry was harmed by non-solicitation provisions included in the defendant’s agreements with other healthcare contingent staffing companies. Additionally, the plaintiff claimed it was harmed by the defendant’s termination of the two parties’ collaboration.

Judge Anello, for the Southern District of California, had granted summary judgment in favor of Edgeworth’s client and dismissed the suit. After the plaintiff appealed, the Ninth Circuit affirmed the district court’s decision.

Following Dr. Johnson’s reports and deposition, Judge Anello found that the opposing expert’s analyses were deficient, seriously flawed, unreliable, and incapable of supporting the expert’s assertions. The Ninth Circuit panel similarly found the opposing expert’s analyses to be flawed.

Edgeworth was retained to analyze the economics of the healthcare contingent staffing industry and to respond to the analyses and opinions put forward by the plaintiff’s economic expert. Dr. Johnson submitted two reports in the case analyzing issues relevant to market definition, market power, harm to competition, and damages, and was subsequently deposed.