PROJECTS

Ophthalmologists’ Price-Fixing Prosecution, New Zealand

The problem

The Commerce Commission suspected that established ophthalmologists in New Zealand’s Southland region were price-fixing. These ophthalmologists refused to provide post-operative care for the cataract surgery patients of ophthalmologists new to the area, which imposed extra costs on the newcomers. The Commission was concerned that these actions created barriers for new ophthalmologists to enter the market, lessening competition. This would explain the large public waiting list of elderly people in Southland who required cataract surgery, who could not afford private surgery.

How we helped

We assessed the ophthalmologists’ actions, using economic principles. We confirmed that their actions created barriers to market entry for new ophthalmologists, which substantially lessened competition. The Commerce Commission sued the ophthalmologists for anti-competitive behavior, and we provided expert evidence for the Commission in a High Court case.

Impact

The High Court agreed with Castalia’s evidence and ruled in favor of the Commission, finding that the defendants had colluded in price fixing, and that their actions substantially lessened competition, which put them in breach of the Commerce Act 1986.

The client

Commerce Commission New Zealand

Our team

Alex Sundakov

Executive Director

Find out more

NZ Law Reports Commerce Commission v Ophthalmological Society

View more Castalia projects

How can we help you?

How can we help you?

WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America

SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia

AUCKLAND
+64 (4) 913 2800
Sinclair House, 3 Glenside Crescent
New Zealand

WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand

PARIS
+33 (0)1 85 64 10 22
3B Rue Taylor
France

BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-121
Colombia

Thinking for a better world.

PROJECTS NEWS BLOG CONTACT

© Copyright 2019 Castalia. All rights reserved. Terms | Privacy | Credits | Sitemap

WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America

SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia

AUCKLAND
+64 (4) 913 2800
74D France Street, Newton South
New Zealand

WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand

PARIS
+33 (1) 73 44 26 97
6 Rue Duret
France

BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-127
Colombia

Thinking for a better world.

PROJECTS NEWS BLOG CONTACT

© Copyright 2019 Castalia. All rights reserved.

Terms | Privacy | Credits | Sitemap