*604 MEMORANDUM OPINION AND ORDER
Pending before the Court is Defendants' Motion for Summary Judgment. Having considered the pleadings, motions and materials attached thereto, oral arguments and representations, and the law applicable thereto, the Court is of the opinion that Defendants’ Motion for Summary Judgment on Plaintiff’s antitrust cause of action should be and hereby is GRANTED.
FACTS
In November, 1981, Defendant Citizens General Hospital (“CGH”) entered into a “Radiology Agreement” (“Agreement”) with Defendant Radiologist Vutpakdi, in which Vutpakdi agreed to provide prompt and continuous radiology service to attending physicians at CGH. Until January, 1982, Vutpakdi used an on-call schedule of available radiologists to meet his obligation to assure full-time coverage. The Plaintiff, Dr. Mosby, was included on the on-call roster of staff radiologists to whom weekend and evening radiology service requests were referred. In January, 1982, Dr. Vutpakdi decided to hire a full-time assistant and ceased using the on-call roster. Dr. Mosby applied for, but was not offered, the position of radiology assistant under Dr. Vutpakdi. Dr. Mosby, who retained his full staff privileges at CGH and five other Houston area hospitals, continued to receive referrals and to practice with full staff privileges at CGH.
CGH has alleged, and Dr. Mosby has not denied, that it maintained an “open staff” policy at all times. According to CGH’s definition, “open staff” means that attending physicians may request the services of any staff radiologist, including Dr. Mosby, and are not required to use Dr. Vutpakdi or his assistant to interpret x-rays taken at the hospital. Under this open staff policy, Dr. Vutpakdi does not have an exclusive contract with CGH. He takes only those referrals which designate “no preference” or Dr. Vutpakdi specifically.
SUMMARY JUDGMENT MOTION
Dr. Mosby’s second amended complaint alleges that Defendants violated section 1 of the Sherman Antitrust Act, 15 U.S.C. § 1 (1982), which prohibits contracts and conspiracies in restraint of trade. Dr. Mos-by asserts that his removal from the on-call roster deprived him of referrals from the hospital emergency room, resulted in an unreasonable restraint of trade, and had a significant effect on competition. Defendants seek summary judgment on Plaintiff’s claim, and argue that no material issues of fact exist which tend to show that Defendants conspired to restrain trade, to harm the Plaintiff, or to harm competition in the relevant market.
In response to the Defendants’ Motion for Summary Judgment, Dr. Mosby insists that he has raised issues of material fact which support his allegations of antitrust violation. He asserts that the Defendants conspired to discourage competing radiologists, fix prices of radiological services, and deprive consumers of a choice of radiological services.
A Court may grant summary judgment only if “there is no genuine issue as to any material facts and ... the moving party is entitled to judgment as a matter of law.” Fed.R.Civ.P. 56(c). The Court need not examine the substantive issues except to determine whether a disputed fact or inference is material to an essential legal element of the case.
Anderson v. Liberty Lobby, Inc.,
— U.S.-,
In the past, the United States Supreme Court has found that “summary procedures should be used sparingly in complex antitrust litigation where motive and intent play leading roles.”
Poller v. Columbia Broadcasting Sys.,
CLAIMS UNDER SECTION 1 OF THE SHERMAN ACT
Plaintiff asserts a cause of action under section 1 of the Sherman Act, 15 U.S.C. § 1 (1984). Plaintiff specifically contends that Defendants’ actions constitute a combination and conspiracy in restraint of trade and that Defendants conspired to discourage competing radiologists, fix prices of radiological services, and deprive consumers of a choice of radiological services.
A. Conspiracy
Under section 1 of the Sherman Act all combinations or conspiracies in restraint of trade are illegal. 15 U.S.C. § 1 (1982). The existence of a contract alone, although it may place restrictions on trade in a literal sense, is not necessarily an antitrust violation. The elements of a section 1 antitrust action include both conspiracy (combination) and unreasonable restraint of trade. 3 In the case before the *606 Court, the contract made between Vutpakdi and the hospital constitutes a “combination,” but it includes no provisions concerning other staff radiologists, prices, or restriction of radiological services. Thus some other proof of conspiracy to restrain trade must be offered by the Plaintiff. 4
The Plaintiff does allege that further agreements existed outside the formal contract. Specifically, Dr. Mosby alleges that Dr. Vutpakdi and the CGH Executive Committee conspired to: (1) refuse to appoint Dr. Mosby as Dr. Vutpakdi’s assistant, (2) remove Plaintiff from the night and weekend schedule, (3) discourage private physicians from referring work to Plaintiff both before and after the Agreement was entered, and (4) encourage referrals to Dr. Vutpakdi and his assistant. This Court finds that these allegations are not supported by specific facts and do not create issues material to the outcome of the Plaintiffs case.
The proper legal standard for evaluating a summary judgment motion on an antitrust conspiracy claim was recently addressed by the United States Supreme Court in
Matsushita Electric Industrial Co. v. Zenith Radio Corp., 475
U.S. 574,
Second, the Court may consider the logic of the Plaintiff’s assertions and the likelihood of success of the alleged *607 conspiracy when determining whether a conspiracy existed. 6
[T]he absence of any plausible motive to engage in the conduct is highly relevant to whether a “genuine issue for trial” exists within the meaning of Rule 56(e)____ [I]f petitioners had no rational economic motive to conspire, and if their conduct is consistent with other, equally plausible explanations, the conduct does not give rise to an inference of conspiracy.
Matsushita,
Even if a conspiracy by Defendants to eliminate referrals to Dr. Mosby would succeed in eliminating his practice, Dr. Mosby has provided the Court only with allegations, not facts, to show that Defendants actually conspired to eliminate referrals. In fact, Defendants assert, and Dr. Mosby does not deny, that staff physicians remained free at all times to make referrals to Dr. Mosby. Thus, Plaintiff’s allegations that Defendants conspired to eliminate his radiology practice at CGH is both unsupported by specific facts and inconsistent with a rational economic motive. Dr. Mosby has failed to establish that issues of fact exist concerning the alleged conspiracy.
B. Restraint of Trade
“Restraint of trade” under the Sherman Act is not
any
restraint of interstate commerce, but includes only unreasonable or undue restraints of trade.
Standard Oil Co. v. United States,
1.
Per Se Analysis.
An agreement, whose nature and effect is so plainly anticompetitive that no study of the industry is needed to establish its effect and purpose, is illegal per se under section 1 of the Sherman Act.
National Society of Professional Engineers v. United States,
2.
“Rule of Reason” Analysis.
The “rule of reason” applies if the challenged act’s effect on competition can only be evaluated by analyzing facts peculiar to the business, the history of the restraint (purpose), and the reasons for its imposition (intent).
See National Society of Professional Engineers v. United States,
Where the plaintiff alleges price-fixing, as Mosby does, that particular issue is not so complex or obfuscated by collateral considerations that extensive analysis is required. “[T]he fact that doctors — rather than nonprofessionals — are the parties to a price-fixing agreement” does not require rule of reason analysis.
Arizona v. Maricopa Co. Medical Society,
Dr. Mosby’s other contentions— that Defendants conspired to deny him the position of staff radiologist, remove him from the on-call roster, and discourage his referrals — would be subject to the rule of reason analysis. In the absence of per se liability, the Plaintiff bears the burden of proving that these actions resulted in an unreasonable restraint of trade.
Jefferson Parish Hosp. Dist. No. 2 v. Hyde,
Similarly, Dr. Mosby has provided no evidence that competition was adversely affected or that the consumers’ choice of radiologists was restricted by the Defendants’ actions. Not only can CGH patients go outside the hospital for radiology services (which the Court found to be an adequate choice for Jefferson Hospital’s patients), but they can also request other radiologists within CGH. The Plaintiff provides no evidence tending to show that the elimination of the on-call roster did not actually enhance patients’ choices. The choice of radiologist was no longer limited to the doctor on call. In addition, the competition among radiologists to obtain referrals may also be enhanced by the Defendants’ actions. Dr. Mosby can no longer rely on the on-call roster to guarantee him a minimum number of referrals from emergency evening and weekend patients. All of the staff radiologists, as well as Dr. Vutpakdi, are free to compete for referrals on the basis of price and service. Because Dr. Mosby has shown no adverse effect on competition resulting from Defendants’ actions, he has failed to provide the specific facts necessary to establish this essential element of his antitrust claim.
C. Injury
Injury in fact is an essential element of Dr. Mosby’s cause of action.
See Brunswick Corp. v. Pueblo Bowl-O-Mat Inc.,
CONCLUSION
The Supreme Court’s findings in Jefferson Parish (which condoned great freedom in metropolitan hospital staffing policies) combined with its recent ruling in Matsushita (which approved the application of summary judgment in complex antitrust cases) supports this Court’s conclusion that Defendants’ Motion for Summary Judgment should be granted. The Plaintiff has failed to set forth specific facts which establish either a conspiracy or an unreasonable restraint of trade. The Defendants, however, have supported their Summary Judgment Motion with evidence which shows the absence of genuine issues of fact concerning conspiracy to restrain trade *610 and injury to the Plaintiff — the legal elements of Dr. Mosby’s case. Furthermore, the Plaintiff has not sustained his burden under Rule 56(e) of setting forth specific facts to rebut the evidence supporting the Defendants’ motion. 9 For those reasons, the Court enters Summary Judgment in favor of the Defendants, dismissing with prejudice the Plaintiff’s antitrust claims.
PENDENT STATE CLAIMS
In addition to the federal antitrust claim, Dr. Mosby has also alleged two pendent state claims. While this Court has discretion to exercise pendent jurisdiction over these claims, this Court is of the opinion that dismissal of the state claims is proper pursuant to
United Mine Workers v. Gibbs,
ORDER
For all of the above reasons, it is
ORDERED that Plaintiff’s alleged first cause of action for restraint of trade under section 1 of the Sherman Antitrust Act, 15 U.S.C. § 1 (1984), be DISMISSED WITH PREJUDICE.
It is further
ORDERED that Plaintiff’s two pendent state law causes of action for (1) Tortious Interference with a Contractual Relationship and (2) Slander be DISMISSED WITHOUT PREJUDICE for lack of subject matter jurisdiction.
Notes
.
Matsushita,
. "While we recognize that importance of preserving litigants’ rights to a trial on their claims, we are not prepared to extend those rights to the point of requiring that anyone who files an antitrust complaint setting forth a valid cause of action be entitled to a full-dress trial notwithstanding the absence of any significant probative evidence tending to support the complaint."
Cities Service Co.,
. Soon after Congress enacted the Sherman Act of 1890, courts encountered a conflict between the statute's literal prohibition of "any combination ... in restraint of trade” on the one hand and the “long recognized right of [a] trader ... engaged in an entirely private business, freely to exercise his own independent discretion as to parties with whom he will deal” on the other.
United States v. Colgate & Co.,
. In
Monsanto
the United States Supreme Court found that "the fact that a manufacturer and its distributors are in constant communication about prices and marketing strategy does not alone show that the distributors are not making independent pricing decisions."
Monsanto Co. v. Spray-Rite Service Corp.,
. The Radiology Agreement, appended to Defendants’ Memorandum in support of its motion, bound Dr. Vutpakdi to "establish procedures to assure the consistency and quality of all services provided” in the Radiology Department.
. In
Matsushita,
the plaintiff charged that defendant conspirators attempted to restrain trade through predatory pricing. The Court would not infer an antitrust conspiracy from ambigu- . ous evidence, especially where the plaintiffs theory makes "no practical sense" from an economic standpoint and has little chance of success.
Matsushita,
. The Defendants assert in their Memorandum in Support of Motion for Summary Judgment, and Dr. Mosby does not deny, that Dr. Mosby received 617 referrals at CGH from January 1, 1982, through September, 1982. Furthermore, even if the Defendants refused to allow Dr. Mosby to practice at all at CGH, such a closed staff situation was found not to violate antitrust laws in
Jefferson Parish. Jefferson Paerish Hosp. Dist. No. 2 v. Hyde,
.
Id.
at 5-18, 29-30,
. “When the moving party has carried its burden under Rule 56(c), its opponent must do more than simply show that there is some metaphysical doubt as to the material facts."
Matsushita,
