Hart-Scott-Rodino Act: A Brief Overview

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Hart-Scott-Rodino ActA Brief Overview

• Thane D. Scott
• Bingham McCutchen LLP
• Boston, Massachusetts

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Hart-Scott-Rodino ActStatutory and Regulatory
Background

• Hart-Scott-Rodino (HSR) Antitrust Improvement
  Act enacted in 1976
• 15 U.S.C. sec. 18a
• Premerger notification and waiting requirements
• 16 CFR 801
• Coverage Rules
• 16 CFR 802
• Exemption Rules
• 16 CFR 803
• Transmittal Rules

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Hart-Scott-Rodino ActNotification and Review
Process

• File notification and report form with FTC/DOJ
• Generally 30 day waiting period
• Second request
• Generally 30 days after compliance with request
• Agency action
• No further action
• Injunctive relief
• Settlement
• Failure to file
• Civil penalties
• Reporting omissions
• Deliberate avoidance

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Hart-Scott-Rodino ActReportable Transactions

• Identify acquiring/acquired persons
• Size of person test
• Size of transaction test
• 16 C.F.R. 801.1(h) establishes notification
  thresholds
• 50 million (as adjusted)
• 100 million (as adjusted)
• 500 million (as adjusted)
• 25, if valued at greater than 1 billion (as
  adjusted) and
• 50, if valued at greater than 50 million (as
  adjusted).