ON PETITION FOR REHEARING
This appeal is from the district court’s dismissal of a lawsuit brought by a physician who was denied the privilege of performing a certain medical procedure at a hospital. The district court found the physician’s complaint insufficient to sustain a lawsuit based on violation of the anti-trust, civil rights, and federal and state contract laws. We reverse in part and affirm in part. 1
FACTS
Appellant, Mahfouz El Shahawy and his medical association, Mahfouz El Shahawy, *638 M.D., P.A., (Shahawy), are on the staff of the Sarasota Memorial Hospital, a public hospital in Florida. A hospital committee denied Shahawy the privilege of conducting cardiac catheterizations in the hospital’s laboratory. Shahawy filed a complaint in the district court, Middle District of Florida, alleging unlawful conduct against several of the appellees. 2 Shahawy alleged that appellees committed antitrust violations, deprivation of his civil rights, deprivation of due process of law, and engaged in illegal racketeering. The district court dismissed Shahawy’s original and amended complaints for failure tо state a federal claim for relief. 3
ISSUES
On appeal, Shahawy raises three issues: (1) the district court’s dismissal of his Sherman Act claims for failure to satisfy the Act’s jurisdiction; (2) the district court’s finding that Shahawy’s complaint did not allege either the existence of a protected federal interest or state action for relief under 42 U.S.C.A. §§ 1983 and 1985; and (3) the district court’s abuse of its discretion in dismissing his pendent claims.
I.
A. Sherman Act Jurisdiction
Shahawy contends that the district court erred in holding that his amended complaint did not satisfy the jurisdictional requirements of the Sherman Act. 4
In
McLain v. Real Estate Board of New Orleans, Inc.,
The district court dismissed Shahawy’s amended complaint based on its interpretation of
Construction Aggregate Transport v. Florida Rock Industries, Inc.,
In considering Shahawy’s amended complaint, the district court found in the CAT decision authority for its view that Sherman Act jurisdiction requires a nexus between a defendant’s anti-competitive activity and a plaintiffs interstate commerce activity. The district court quoted a portion of CAT’s footnote 31:
Thus, when' determining whether interstate commerce is affected by an alleged violation courts will often examine both the defendant’s rеlationship with interstate markets and the plaintiff’s. Such an approach makes good sense because injury to the plaintiff may result directly in injury to the market. In our view, therefore, the proper inquiry is one which focuses on the interstate markets involved in both the defendant’s and the plaintiff’s operations, and seeks to determine whether the defendant’s business conduct will likely make its presence known in those markets.710 F.2d at 767 n. 31 (citations omitted). [Emphasis added by court.]
Based on this language, the district court concluded:
The above-quoted language suggests that there must be some relationship between the allegedly restrictive conduct of the defendant and the injury to the relevant interstate market. This threshold jurisdictional test can be met by examining either the defendant’s activities that have ‘an immediate impact on the particular goods or services involved’ or the ‘injury to the plaintiff [that] may result directly in injury to the market.’
The district court held that Shahawy “must allege facts sufficient to show that if indeed the defendants conspired to deny him the use of the cardiac catheterization laboratory, that conduct had some not insubstantial effect upon the plaintiff’s activities as they affect interstate commerce.”
B. McLain Jurisdictional Standard
Much dispute exists in the federal circuits over the content of the elements of the Sherman Act jurisdictional inquiry. The central dispute is whether defendant’s *640 general business activity or its specific anti-competitive conduct is to be measured for substantial effect on interstate commerce.
The controversy over the necessary allegations of defendant’s conduct derives from the following passage in McLain:
To establish the jurisdictional element of a Sherman Aсt violation it would be sufficient for petitioners to demonstrate a substantial effect on interstate commerce generated by respondents’ brokerage activity. Petitioners need not make the more particularized showing of an effect on interstate commerce caused by the alleged conspiracy to fix commission rates, or by those other aspects of respondents’ activity that are alleged to be unlawful.
McLain,
In context ... the court was referring to the challenged activities, not the brokers’ overall business, by its reference to ‘respondents’ brokerage activities’ ____ By stating that plaintiff ‘need not make the more particularized showing of an effect on interstate commerce caused by the conspiracy ... or other aspects of respondents’ activity that are alleged to be unlawful,’ the court was only confirming the principle set forth in Hospital Building [Co. v. Trustees of Rex Hospital,425 U.S. 738 ,96 S.Ct. 1848 ,48 L.Ed.2d 338 (1976)], Burke [v. Ford,389 U.S. 320 ,88 S.Ct. 443 ,19 L.Ed.2d 554 (1967) ], and Goldfarb [v. Virginia State Bar,421 U.S. 773 ,95 S.Ct. 2004 ,44 L.Ed.2d 572 (1975) ] that for jurisdictional purposes a plaintiff need not ‘make the ... particularized showing.’444 U.S. at 242 ,100 S.Ct. at 509 . In other words, an elaborate analysis of interstate impact is not necessary at the jurisdictional stage, only an allegation showing a logical connection as a matter of practical economics between the unlawful conduct and interstate commerce. The emphasis was intended to be that a ‘particularized’ showing is not necessary, not that a showing of a nexus between unlawful conduct and effect is unnecessary.
Crane,
A determination of whose interstate activity is relevant for jurisdictional purposes under the Sherman Act cannot be made without understanding the basic objectives of the act. It is to be remembered thаt the “vital thing is the effect on commerce, not the precise point at which the .restraint occurs.”
Mandeville Island Farms v. American Crystal Sugar Co.,
No dispute exists as to the quantity of impact on interstate commerce. It is accepted in all circuits that a plaintiff must show a substantial or not insubstantial effect on interstate commerce. That those two phrasings are interchangeable is confirmed by their synonymous use in
McLain.
In this case, Shahawy has sufficiently alleged that the respondents are substantially involved in interstate commerce, and has gone beyond the requirements of McLain by alleging the manner in which the unlawful conduct itself has affected interstate commerce. 6 It was error, therefore, for the district court to dismiss Shahawy’s complaint for lack of subject matter jurisdiction.
II.
A. Civil Rights Violations
Shahawy’s complaint also alleges that appellees, particularly the Sarasota *642 County Public Hospital Board, violated his due process rights made actionable pursuant to 42 U.S.C.A. §§ 1983 and 1985. 7 The district court dismissed the section 1983 claim because it found no state action, no protected property or liberty interest, nor the denial of a right to a hearing. The district court also dismissed the section 1985 claim because Shahawy’s complaint did not allege any discriminatory animus as required to support this claim.
1. Property Interest
In order to have a property interest, as the Supreme Court found:
A person clearly must have more than an abstract need or desire for it. He must have more than a unilateral expectation of it. He must, instead, have a legitimate claim of entitlement to it.
Property interests, of course, are not created by the Constitution. Rather, they are created and their dimensions are defined by existing rules or understandings that stem from an independent source such as state law — rules or understandings that secure a certain benefits and that support claims of entitlement to those benefits.
Board of Regents v. Roth,
Shahawy attempts to show a legitimate claim of entitlement by arguing that his property and liberty interests in the privilege of cardiаc catheterization have been
*643
established by Florida law.
8
Roth,
In
Daly v. Sprague,
Daley provides no facts to show that his clinical privileges would be analogous to medical staff privileges, that there was any explicit or implicit written or oral agreement or understanding which created an entitlement to these privileges, or that the removal of his clinical privileges actually totally foreclosed his ability to practice. We do not intimate that clinical privileges could not rise to the level of a constitutionally protected property interest; we only say that, in this case, Daley did not meet his burden of presenting facts to show that a property interest existed.
Daly,
Additiоnally, under Florida law, a physician’s use of a public hospital is a privilege rather than a right.
Bryant v. City of Lakeland,
2. Liberty Interest
The district court found that Shahawy did not show he was “stigmatized” in connection with a denial of a right or status previously recognized under state law as required by
Moore v. Otero,
In Moore, a police officer brought suit contending that his transfer from corporal to police patrolman deprived him of liberty and property interests. The former Fifth Circuit denied relief, establishing requirements for the showing of a protected liberty interest.
In Paul v. Davis,424 U.S. 693 ,96 S.Ct. 1155 ,47 L.Ed.2d 405 (1976), the Supreme Court ruled that defamation by a state official alone did not deprive an individual of a liberty interest prоtected under the due process clause of the fourteenth amendment so as to give rise to a 42 U.S.C. § 1983 action. To establish a liberty interest sufficient to implicate fourteenth amendment safeguards, the individual must be not only stigmatized but also stigmatized in connection with a denial of a right or status previously recognized under state law. *644 See Paul, supra, at 711-12,96 S.Ct. 1155 (at 1165).
Moore,
Shahawy’s civil rights claims were properly dismissed because his complaint did not demonstrate the existence of a protected property or liberty interest.
B. RICO Claims
Shahawy also attempts to state a claim against appellees under the federal RICO Act, Title 18 U.S.C.A. §§ 1961-1968 (West Supp.1984). Shahawy contends that appellees have engaged in a pattern of racketeering аctivity in the conduct of hospital affairs. We find the RICO allegations to be without merit, and therefore, they were properly dismissed by the district court.
C. Pendent Claims
Shahawy alleges a multitude of state law claims.
9
For a federal court to exercise “pendent jurisdiction” over state law claims, “the court must have jurisdiction over a substantial federal claim and the federal and state claims must derive from a ‘common nucleus of operative fact.’ ”
L.A. Draper and Son v. Wheelabrator-Frye, Inc.,
The district court properly dismissed Shahawy’s pendent claims as a result of its dismissal of all of Shahawy’s federal claims. This ease is not one in which dismissal of pendent claims would force Shahawy to suffer the bar of state statutes of limitations as in
Quality Foods de Centro America v. Latin American Agribusiness Development Corp.,
CONCLUSION
We hold, therefore, that (1) Shahawy’s amended complaint sufficiently invoked the *645 subject matter jurisdiction of the federal court so as to survive a motion to dismiss his antitrust claims, but that (2) Shahawy’s civil rights, RICO, and pendent claims were properly dismissed by the court.
AFFIRMED in part, REVERSED in part.
Notes
. The panel has reconsidered this case. Our opinion published in the advance sheet at
. The defendants were: general counsel оf the health board, committee lawyers, members of the medical staff, section chairmen, executive committee members, the director and members of the cath lab standards committee, chairman and members of the hospital board, and the executive director of the hospital.
. In his 12-count amended complaint, Shahawy sets out the alleged unlawful conduct of appellees for which he seeks damages and injunctive relief. Count I alleges that appellees engaged in a group boycott of Shahawy's services through denial of his cardiac catheterization privilege in violation of the Sherman Act, 15 U.S.C.A. § 1 (Supp.1984). Count II alleges that appellees conspired to maintain a monopoly over cardiac catheterizations performed within the relevant geographic market in violation of the Sherman Act, 15 U.S.C.A. § 2 (Supp.1984). Count III alleges that appellees’ conduct was a restraint of trade and a monopoly in violation of the Florida antitrust statute, Fla.Stat.Ann. §§ 542.18 and 542.19 (Supp.1984). Count IV alleges that appellees deprived Shahawy of his federal civil rights and are, therefore, liable under 42 U.S. C.A. § 1983 (1981). Count V alleges that appellees conspired to deprive Shahawy of his civil rights and are liable under 42 U.S.C.A. § 1985 (1981). Count VI alleges that appellees engaged in racketeering in violation of 18 U.S.C.A. §§ 1341 (Supp.1984) and 1343 (1966), and 18 U.S.C.A. §§ 1962(c) and 1964 (Supp.1984). Count VII alleges that appellees violated the Florida racketeering statutes, Fla.Stat.Ann. §§ 895.03(3) and 895.03(4) (Supp.1984). Count VIII alleges that appellees have deprived Shahawy of a property right in violation of Fla.Stat. § 812.035(7) (Supp.1984). Count IX alleges tortious interference with reasonable business expectancy. Count X alleges promissory estoppel. Count XI alleges defamation. Count XII alleges that Shahawy has suffered irreparable injury and seeks preliminary and permanent injunctive relief.
. Section 1 and 2 of the Sherman Act provide: § 1, Trusts, etc., in restraint of trade illegal; penalty
Every contract, combination in the form of trust or otherwise, or conspiracy, in restraint of trade or commerce among the several States, or with foreign nations, is declared tо be illegal. Every person who shall make any contract or engage in any combination or conspiracy hereby declared to be illegal shall be deemed guilty of a felony, and, on conviction thereof, shall be punished by fine not exceeding one million dollars if a corporation, or, if any other person, one hundred thousand dollars, or by imprisonment not exceeding three years, or by both said punishments, in the discretion of the court.
§ 2, Monopolizing trade a felony; penalty Every person who shall monopolizе, or attempt to monopolize, or combine or conspire with any other person or persons, to monopolize any part of the trade or commerce among the several States, or with foreign nations, shall be deemed guilty of a felony, and, on conviction thereof, shall be punished by fine not exceeding one million dollars if a corporation, or, if any other person, one hundred thousand dollars, or by imprisonment not exceeding three years, or by both said punishments, in the discretion of the court.
. It is clear that the CAT court adhered to the literal jurisdictional requirements of McLain by first stating that:
The starting place for analysis, therefore, is the relationship between the defendant’s business and interstate markets, in particular the effect the defendant’s business will have on those markets. Most often this effect will be readily apparent because the defendant engages directly in interstate commerce, and any restrictive conduct has an immediate impact on the particular goods or services involved.
CAT,
. Petitioners’ amended complaint states:
The Defendant physicians treat a substantial number of patients from out-of-state, receive a substantial portion of their revenues from out-of-state private and public insurance entities, and purchase substantial amounts of medical equipment and supplies from out-of-state. Their activities substantially affect interstate commerce.
The Plaintiffs provide medical services to patients, a substantial number and proportion of whom travel to Sarasota from other states. The Plaintiffs receive a substantial amount and portion of their revenues from out-of-state insurance companies and from Washington, D.C., in the form of Medicare and Medicaid payments. The Plaintiffs purchase large amount and proportion of their medicines and supplies from out-of-state.
A substantial number of Dr. El Shahawy’s patients, and of the patients of Dr. El Shahawy's competitors, reside out-of-state for most of the year, and travel to Sarasota for the winter. A disproportionate number of these patients are elderly and thus more susceptible to coronary, and require cardiac care in Florida [sic]. Persons from out-of-state requiring health care seek Dr. El Shahawy out because of his demonstrated abilities. Because of the Defendants’ wrongful acts, however, he is unable to provide full service to those patients requiring left-heart catheterization, which has reduced the number of patients coming in to Florida for health care.
As a direct result of his being excluded from the cardiac cath lab, Dr. El Shahawy must refer his patients in need of catheterization to a physician enjoying cath lab privileges, and is denied the opportunity to receive referrals from other physicians for catheterizations. Additionally, Dr. El Shahawy has been impaired in his ability to attract new patients and to keep existing patients, even those not in need of catheterization, because his being excluded from the cath lab prevents him from offering a full range of service in cardiology (i.е., including catheterization)____
A major portion of Plaintiffs’ revenues come from private, out-of-state insurance companies and from the federal government in Washington, D.C. As a result of the Defendants’ wrongful acts, Dr. El Shahawy has suffered a substantial loss in the number of patients he treats and has been prevented from performing any left-heart catheterizations. As a direct result, Plaintiffs have suffered a substantial loss of revenues from out-of-state, which substantially affects interstate commerce.
Plaintiffs’ practice requires the purсhase and use of substantial amounts of medical equipment [sic] and supplies from out-of-state. The loss of patients and revenues as alleged above has substantially reduced and curtailed the Plaintiffs’ expenditures and anticipated expenditures for medical equipment and supplies from out-of-state, which substantially affects interstate commerce.
Petitioners’ Amended Complaint at 36-38.
. 42 U.S.C.A. § 1983 (1981) provides:
Civil action for deprivation of rights Every person who, under color of any statute, ordinance, regulation, custom, or usage, of any State or Territory or the District of Columbia, subjects, or causes to be subjected, any citizen of the United States or other person within the jurisdiction thereof to the deprivation of any rights, privileges, or immunities secured by the Constitution and laws, shall be liable to the party injured in an action at law, suit in equity, or other proper proceeding for redress. For the purposes of this section, any Act of Congress applicable exclusively to the District of Columbia shall be considered to be a statute of the District of Columbia.
42 U.S.C.A. § 1985 (1981) provides in relevant part:
(3) If two or more persons in any State or Territory conspire or go in disguise on the highway or on the premises of another, for the purpose of depriving, either directly or indirectly, any person or class of persons of the equal protection of the laws, or of equal privileges and immunities under the laws; or for the purpose of preventing or hindering the constituted authorities of any State or Territory from giving or securing to all persons within such State or Territory the equal protection of the laws; or if two or more persons conspire to prevent by forcе, intimidation, or threat, any citizen who is lawfully entitled to vote, from giving his support or advocacy in a legal manner, toward or in favor of the election of any lawfully qualified person as an elector for president or Vice President, or as a Member of Congress of the United States; or to injure any citizen in person or property on account of such support or advocacy; in any case of conspiracy set forth in this section, if one or more persons engaged therein do, or cause to be done, any act in furtherance of the object of such conspiracy, whereby another is injured in his person or property, or deprived of having and exercising any right or privilege of a citizen of the United States, the party so injured or deprived may have an action for the recovery of damages occasioned by such injury or deprivation, against any one of the conspirators R.S. § 1980.
. Shahawy cites to Fla.Stat.Ann. § 395.0115 (former § 395.065) (Supp.1984);
Palm Beach-Martin County Medical Center, Inc. v. Panaro,
. These claims included violation of the Florida RICO act, Florida Civil Rights Act, tortious interference with reasonable business expectancies, promissory estoppel, and defamation.
