Bill Baer Named to Serve as AAG in Charge of Justice Department Antitrust Division
On February 3, the White House announced President Barack Obama’s intention to nominate Bill Baer to serve as Assistant Attorney General in charge of the Department of Justice Antitrust Division.
There was much speculation that Baer would be named to head the Antitrust Division after Sharis A. Pozen, the current acting assistant attorney general for antitrust, announced her intention to resign just over one week ago (see January 24 blog post). Pozen plans to leave the Justice Department at the end of this month to return to private practice.
Bill Baer is currently the head of the antitrust group at the Washington, D.C. office of Arnold & Porter, LLP. Baer held a number of high-level positi [...]
Deutsche Börse and NYSE Euronext Blame “Narrow” Market Definition for EC’s Objection to Combination
Despite a U.S. Department of Justice decision to clear the deal, the European Commission (EC) today blocked the proposed merger of NYSE Euronext and Deutsche Börse. The EC determined that the combination would have resulted in a quasi-monopoly in the area of European financial derivatives traded globally on exchanges. The two exchanges control more than 90% of global trade in these products, according to the EC.
In light of the EC decision, NYSE and Deutsche Börse said that they were in discussions to terminate their merger agreement.
“The merger between Deutsche Börse and NYSE Euronext would have led to a near-monopoly in European financial derivatives worldwide,” said Joaquín Almun [...]
Fines Mounting in Department of Justice Auto Parts Cartel Investigation
The Department of Justice today announced a total of $548 million in fines resulting from a second round of charges in the government’s ongoing investigation into collusive activity in the auto parts industry.
Two more Japanese companies have agreed to plead guilty for their roles in multiple price fixing and bid rigging conspiracies in the sale of parts to automobile manufacturers in the United States. The Antitrust Division announced that Japanese suppliers of automotive electrical components—Yazaki Corporation and DENSO Corporation—have agreed to pay a total of $548 million in criminal fines.
The latest fines, when taken together with a $200 million fine imposed last November on Fur [...]
Acting Antitrust Chief Pozen Plans to Step Down in April
Less than six months after her appointment as Acting Assistant Attorney General in charge of the Department of Justice Antitrust Division, Sharis A. Pozen has announced her resignation, effective as of April 30, 2012. Late yesterday, the Justice Department issued a statement announcing the departure.
There was no word on who would replace Pozen. However, there is speculation in the media that Bill Baer, head of the antitrust group at the Washington, D.C. office of Arnold & Porter, LLP. might be on the short-list of candidates. Baer has held a number of high-level positions at the Federal Trade Commission, including director of the FTC’s Bureau of Competition.
The current deputy assistant a [...]
A Look Back at the Enforcement Efforts of the Federal Antitrust Agencies in 2011
Having filed over 100 cases in the last 12 months, the Department of Justice Antitrust Division was especially active in 2011. The vast majority of those cases were criminal matters; however, 2011 will most likely be remembered for the Antitrust Division’s merger enforcement efforts.
The Antitrust Division reviewed a number of mega-mergers in 2011. While the most of merger filings were approved by the Justice Department without challenge or with conditions in a consent decree, there were notable court battles.
Among the most significant of these was the federal/state challenge to AT&T’s proposed $39 billion acquisition of T-Mobile USA Inc. from Deutsche Telekom. The parties ultimately ab [...]
U.S. Justice Department Conditionally Approves Combination of Stock Exchange Groups, European Review Still Pending
The prospects for the merger of Deutsche Börse AG and NYSE Euronext are looking a little brighter, since the U.S. Department of Justice Antitrust Division conditionally approved the transaction yesterday.
U.S. antitrust approval is a major hurdle; however, the combination of the two leading stock exchange groups, which was announced in February, still requires clearance by the European Commission (EC).
Although the Antitrust Division settlement would only resolve concerns over the merger’s impact on U.S. markets, it indicates that the parties are willing to make concessions to get the deal done. It is a positive sign for a deal that continues to evolve in an effort to satisfy EC competiti [...]
What Do Model Antitrust Class Actions Look Like?
“[O]vercome with a rare and gargantuan sense of awe,” a federal district court judge in Sioux City, Iowa, has called a consolidated class action case arising from price fixing conspiracies in the concrete industry “a model for the nation.”
The case was brought on behalf of purchasers of ready-mix concrete against ready-mix concrete producers and sellers and certain of their officers, directors, owners, and employees who have pleaded guilty to conspiring to fix prices for ready-mix concrete in the “Iowa region.” The first complaints were filed in May 2010, and others followed. The suits were eventually consolidated. The class period covered January 2006, through at least April 2 [...]
Proposed Combination of Tax Software Makers Violates Section 7 of the Clayton Act
The federal district court in Washington, D.C. yesterday released its Memorandum Opinion explaining its October 31 order enjoining H&R Block, Inc.’s proposed acquisition of 2SS Holdings, Inc.—the maker of “TaxACT” tax preparation software.
The court took a traditional approach in reviewing the merger and concluded that the transaction, which would have combined the second and third-largest providers of digital do-it-yourself (DDIY) tax preparation products, violates Section 7 of the Clayton Act. It began by defining the relevant market. After determining that the Department of Justice made out its prima facie case of anticompetitive effects based on market concentration, the court co [...]
AT&T/T-Mobile Deal, Antitrust Division Regional Office Closures Addressed at Justice Department Oversight Hearing
While Attorney General Eric Holder spent much of his time at today’s Senate Judiciary Committee Department of Justice Oversight hearing responding to question’s about the “Fast and Furious” law enforcement operation, he also was asked to provide his thoughts on some recent developments at the Antitrust Division.
Senator Herb Kohl (D-WI), chairman of the Senate Antitrust, Competition Policy and Consumer Rights panel, questioned the Attorney General on the Justice Department’s readiness to pursue its court challenge to block AT&T Inc.’s planned acquisition of T-Mobile USA, Inc. The Senator sought confirmation from the Attorney General that the Justice Department was prepared to tak [...]
Customers’ Efforts to Use Arbitration to Challenge AT&T/T-Mobile Merger Fail
Federal district courts around the country have blocked AT&T Mobility LLC customers from pursuing arbitration to challenge the merger of AT&T Mobility and T-Mobile USA Inc.—a transaction valued at approximately $39 billion.
At least four federal district courts have granted AT&T Mobility’s motions for preliminary injunctions, and a fifth federal district court did not reach the motion for preliminary injunction but denied a customer’s motion to compel arbitration. The courts have ruled that AT&T is likely to succeed on the merits of its claim the arbitration demands exceed the scope of the arbitration agreement.
More than 1,000 AT&T Mobility customers have filed demands with the Amer [...]
