Administrative Law Judge Dismisses Antitrust Charges Related to Cancer Detection Tests

September 19, 2022 by Dan McCue
Administrative Law Judge Dismisses Antitrust Charges Related to Cancer Detection Tests
(Grail photo)

WASHINGTON — An administrative law judge has dismissed an antitrust complaint brought against DNA sequencing provider Illumina, Inc. related to its proposed $7.1 billion acquisition of GRAIL, Inc., the major developer of a multi-cancer early detection test.

The tests are noninvasive, early detection liquid biopsy tests that can screen for multiple types of cancer in asymptomatic patients at very early stages using DNA sequencing.

In a complaint filed in March 2021, the Federal Trade Commission alleged Illumina’s acquisition of GRAIL would diminish innovation in the U.S. market for MCED tests. 

These tests could be used to detect up to 50 types of cancer, most of which are not screened for at all today, saving millions of lives around the world. 

GRAIL is one of several competitors racing to develop these liquid biopsy tests, which analyze a sample of a patient’s blood or other fluid through DNA sequencing.

In dismissing the complaint, Chief Administrative Law Judge D. Michael Chappell held that “Complaint Counsel has failed to prove its asserted prima facie case — that Illumina’s post-acquisition ability and incentive to advantage GRAIL to the disadvantage of GRAIL’s alleged rivals is likely to result in a substantial lessening of competition in the relevant market for the research, development, and commercialization of MCED tests.”

Chappell also noted that the FTC staff’s evidence falls far short of proving its factual assertions that “GRAIL’s rivals are poised to imminently launch their products commercially in direct competition with GRAIL.”

Even if the tests in development could be expected to launch earlier than a five-to-seven-year range, the evidence fails to prove the FTC staff’s assertion that the MCED tests under development are “reasonably interchangeable” with GRAIL’s MCED test, known as Galleri, the judge said.

Further, he said Illumina’s status as the only viable supplier of next-generation sequencing instruments appropriate for MCED tests existed before the acquisition –— and therefore Illumina’s asserted abilities to raise prices, withhold supply, or decrease the quality of products or services also existed before the acquisition.

Chappell’s initial decision is subject to review by the full commission on its own motion or at the request of any party, and complaint counsel filed a Notice of Appeal on Sept. 2. 

The initial decision will become the final decision of the commission 30 days after it is served upon the parties unless, prior to that date, complaint counsel perfect their appeal by filing an appeal brief or the commission places the case on its own docket for review.

Dan can be reached at [email protected] and at https://twitter.com/DanMcCue.

A+
a-
  • cancer detection tests
  • Federal Trade Commission
  • Grail
  • In The News

    Health

    Voting

    Antitrust

    September 12, 2023
    by Tom Ramstack
    Google Accused of Unfair Search Engine Competition

    WASHINGTON — Search engine giant Google endured accusations Tuesday in federal court in Washington, D.C., that it unfairly squeezed out... Read More

    WASHINGTON — Search engine giant Google endured accusations Tuesday in federal court in Washington, D.C., that it unfairly squeezed out competition through contracts that were similar to ultimatums. The contracts with computer and smartphone makers sometimes required them to use Google as their default search engine... Read More

    Google's Search Dominance Challenged in Biggest Antitrust Trial in Decades

    WASHINGTON (AP) — Google has exploited its dominance of the internet search market to lock out competitors and smother innovation,... Read More

    WASHINGTON (AP) — Google has exploited its dominance of the internet search market to lock out competitors and smother innovation, the Department of Justice charged Tuesday at the opening of the biggest U.S. antitrust trial in a quarter century. “This case is about the future of... Read More

    February 24, 2023
    by Tom Ramstack
    Justice Dept. Wants Google Punished for Allegedly Hiding Antitrust Evidence

    WASHINGTON — The Justice Department is asking a federal court to punish Google for what it says is an effort... Read More

    WASHINGTON — The Justice Department is asking a federal court to punish Google for what it says is an effort to hide evidence of antitrust violations. A Justice Department motion revealed Thursday says Google automatically deleted employee chats after 24 hours. Government investigators have been searching... Read More

    US Case Against American Airlines and JetBlue Heads to Court

    DALLAS (AP) — The government's antitrust lawsuit against American Airlines and JetBlue begins Tuesday and the outcome could determine how... Read More

    DALLAS (AP) — The government's antitrust lawsuit against American Airlines and JetBlue begins Tuesday and the outcome could determine how closely the Biden administration examines other airline deals, including JetBlue's pending attempt to buy Spirit Airlines. The Justice Department and six states are suing American and... Read More

    September 23, 2022
    by Dan McCue
    Straight Talk Between Klobuchar, Cruz Advances Senate Journalism Antitrust Bill 

    WASHINGTON — It took two weeks of straight talk and negotiations, but in the end, a deal between Sens. Amy... Read More

    WASHINGTON — It took two weeks of straight talk and negotiations, but in the end, a deal between Sens. Amy Klobuchar, D-Minn., and Ted Cruz, R-Texas, advanced what could prove to be a highly significant antitrust bill for the news media out of a Senate committee... Read More

    September 19, 2022
    by Dan McCue
    Administrative Law Judge Dismisses Antitrust Charges Related to Cancer Detection Tests

    WASHINGTON — An administrative law judge has dismissed an antitrust complaint brought against DNA sequencing provider Illumina, Inc. related to... Read More

    WASHINGTON — An administrative law judge has dismissed an antitrust complaint brought against DNA sequencing provider Illumina, Inc. related to its proposed $7.1 billion acquisition of GRAIL, Inc., the major developer of a multi-cancer early detection test. The tests are noninvasive, early detection liquid biopsy tests... Read More

    News From The Well
    scroll top