Texas Sues Epic Systems for Alleged Monopoly Practices
The Texas Attorney General’s office has filed a lawsuit against Epic Systems, alleging that the company maintains an illegal monopoly over electronic health records (EHR). The suit, initiated on Wednesday by Attorney General Ken Paxton, claims that Epic restricts parents’ access to their children’s medical records and impedes competition in the healthcare market.
Texas Sues Epic Systems for Alleged Monopoly Practices
Paxton’s lawsuit asserts that Epic’s practices violate antitrust laws. The complaint accuses the company of employing an “anticompetitive playbook” to retain its dominant position in the EHR market. Its primary objective is to dismantle Epic’s monopoly and ensure that Texans have better access to medical records.
The Allegations Against Epic
- Epic controls over 325 million patient records, representing more than 90% of all U.S. citizens.
- Once a hospital adopts Epic’s EHR, switching providers can take over a decade and cost more than $1 billion.
- The company allegedly coerces hospitals into sticking with its systems by imposing hefty penalties for switching to competitors.
- Epic is accused of restricting access to patient data for rival applications.
In a statement, Paxton emphasized the importance of protecting parental rights in managing children’s medical information. He stated, “We will not allow woke corporations to undermine the sacred rights of parents.” He further stressed the need for a competitive environment that encourages innovation and lowers costs in the healthcare sector.
Epic’s Response
Epic Systems has responded to the allegations, describing them as “flawed and misguided.” The company insists that it does not dictate parental access to health records. An Epic spokesperson stated that decisions regarding access are made by healthcare providers, not the company itself.
Impact on Patients and Healthcare Providers
The lawsuit claims that Epic’s practices not only stifle competition but also adversely affect patients. It alleges that the company’s software is configured to prevent parental access to minors’ records, potentially violating Texas law.
Currently, Texas is seeking judicial action to halt Epic’s alleged unlawful practices. The state seeks damages and penalties for the supposed harm caused by Epic’s market dominance.
The lawsuit highlights the broader implications of Epic Systems’ market behavior, underscoring concerns about data accessibility and competition in the electronic health records arena.
