Articles Posted in FTC

FTC Antitrust Enforcement: Merger Review, HSR, and Investigations

The Federal Trade Commission touches more business decisions than any other antitrust enforcer. It reviews mergers under the Hart-Scott-Rodino Act, issues second requests and civil investigative demands, litigates monopolization and consumer-protection cases, and—alongside the Department of Justice—decides how aggressively dormant doctrines like Robinson-Patman come back to life. FTC antitrust enforcement shifts with every administration; the exposure it creates for businesses never does.

This page collects our articles on the FTC, including our running HSR update series—for example, a $12 million lesson in HSR Rule 801.90—along with the latest revival of the Robinson-Patman Act, algorithmic collusion enforcement, and antitrust in labor markets. For deals that will also face state review, start with our practical checklist for California’s “mini-HSR” filing for 2027.

We work these issues from both directions. Bona Law’s mergers and acquisitions practice handles HSR filings, second requests, and merger-review strategy, and our antitrust investigations practice defends companies and executives facing FTC and DOJ subpoenas, CIDs, and target letters. The team includes a former Chair of the ABA Antitrust Law Section and lawyers who have sat in many seats—in-house, at the agencies, and in the courtroom.

If the FTC is looking at your deal or your conduct—an HSR filing question, a second request, a CID, or an investigation that arrived without warning—timing matters more than anything else. Learn more about our antitrust counseling and compliance work, or contact us directly. The agency has already started; the only question is when you do.

The FTC Orders Ski-Equipment Companies to Start Competing Again

July 9, 2014 | Jarod Bona

Sometimes competition is a real hassle.

If your company has a loyal customer or longtime employee, you feel betrayed when a competitor swoops in to try to “steal them.”

If you are the Miami Heat, you probably don’t like that the Cleveland Cavaliers are trying to hire your best player, LeBron James. Of course, a few years ago, the Heat signed James from Cleveland. (On a side note, this Minnesota Timberwolves fan wonders whether a LeBron James move to Cleveland will lead to a Kevin Love trade for Number 1 draft pick, Andrew Wiggins).

Update: LeBron James is indeed “coming home” to Cleveland.

I just started watching Breaking Bad. (I know, what took me so long?). Anyway, it is apparent in the early episodes that drug cartels shovel heavy resources into extinguishing competition. They certainly don’t seem too happy about this Heisenberg fellow coming in to outcompete them with a superior product. Perhaps in a later season, “Better Call Saul” will help Walter White file a Sherman Act, Section 2 Antitrust lawsuit against some of these monopolists that are restraining him from competing in certain geographic markets?

The bottom line is that as great as competition is—for almost everyone—it isn’t always enjoyable to those that must compete.

It is much easier to complacently offer the same product or service for a highly-profitable price than to constantly refine your wares and cut prices to attract and keep customers.

Perhaps a couple major ski equipment manufacturers were thinking along those lines if we are to believe the FTC’s allegations that ended in settlements approved today?

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Does My Company’s Loyalty-Discount Program Violate Antitrust and Competition Laws?

January 22, 2014 | Jarod Bona

This article is cross-posted in both English and French at Thibault Schrepel’s outstanding competition blog Le Concurrentialiste. Like most antitrust issues today, questions about loyalty discounts are relevant across the globe as competition regimes and courts grapple with the best way to address them.

Companies like to reward their best customers with discounts. It happens everywhere from the local sandwich shop to markets for medical devices, pharmaceutical products, airline tickets, computers, consumer products, and many other products and services.

Customers like loyalty-discount programs (or rebates) because they get more for less. And the reason so many companies offer them is because they are successful.

Everyone wins, right?

Usually. But the program could very well violate antitrust and competition laws in the United States, the European Commission, or other jurisdictions.

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Building an Antitrust and Competition Policy: Where to Begin

December 26, 2013 | Jarod Bona

Let’s pretend that you are starting the new year with an exciting opportunity: You were just named general counsel of a multi-national corporation with several market-leading products.

You received lots of congratulations, high-fives, and kudos during holiday parties and family get-togethers, but you can’t help but start to think about the arduous task ahead.

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Breaking Up The Music-Teachers’ Cartel

December 18, 2013 | Jarod Bona

Little Johnny finally has a chance for some decent-priced piano lessons, thanks to the diligence of your Federal Trade Commission.

On Monday, December 16, 2013 the FTC slammed the full weight of its antitrust authority against the Music Teachers National Association (MTNA) and their vicious cartel to make little Susie pay more for her violin lessons.

The Association entered into a consent decree with the FTC, addressing the following provisions in their code of ethics: “The teacher shall respect the integrity of other teachers’ studios and shall not actively recruit students from another studio.”

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