FCC’s Double Standard Merger Review Also Warrants Antitrust Modernization
U.S. merger review double standards are not smart.
Kudos to Senators Mike Lee and Orin Hatch, and Rep. Blake Farenthold for their leadership and wisdom in advancing the SMARTER Act, H.R. 5402, “Standard Merger and Acquisition Reviews Through Equal Rules.”
Senators Lee and Hatch are right in exposing that there is no good reason for companies to have to confront different standards in enforcing our nation’s laws at the Federal Trade Commission and the Department of Justice. Specifically, Senator Hatch hits the nail on the head in saying, “businesses seeking to merge deserve consistent treatment without regard to which agency decides to review the merger.”
It is common sense that companies in every industry should be able to know in advance what consistent antitrust/competition standard they will face if they decide to merge or acquire.
What is not common sense is that only U.S. communications companies must also suffer a second merger review double standard – the FCC’s Public Interest Test (PIT) for mergers.
Other sectors do not face the redundant burden of securing antitrust agency approval and an additional approval froman independent regulator.