South District Hospital is a nonprofit organization that provides outpatient assistance to patients in the South Florida market. Last year, the Hospitals board of directors voted to expand its outpatient services to patients in both Florida and Georgia and entered into a contract with Dr. M. Nopoly to care for a number of patients who are either uninsured or have limited financial resources. Dr. Nopoly then applied for medical staff membership at Georgia General Hospital. Dr. Nopoly is currently credentialed at Florida General Hospital, which has recently executed an NOI to acquire Georgia General.

While Dr. Nopolys application for medical staff membership at Georgia General was still pending, a meeting was held at Florida General, where several doctors expressed concern for a loss of business to Georgia General. They did not want to care for more uninsured patients and felt they could lose insured patients if Dr. Nopoly were permitted to expand the hospitals outpatient services into Georgia.

Dr. Disloyal, who is on staff at both Florida General and Georgia General, reported that Dr. Nopoly was the recent subject of a medical malpractice action, which in his opinion, rendered her unfit to practice at Georgia General. Dr. Disloyal thereafter issued a report to Georgia General, recommending that Dr. Nopoly be denied admission to the medical staff. The credentials committee at Georgia General adopted that recommendation and then, denied her application. The following day, the hospital administrator notified Dr. Nopoly of the adverse decision and also, reported the decision to the State of Florida Board of Medicine, as required by state law.

Under these facts, can Dr. Nopoly assert a claim against Dr. Disloyal and what defenses would the physician raise?

. Does it make a difference that Florida General is intending to acquire Georgia General? Consider that each hospital has its own medical