Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Federal Trade Commission relating to "Premerger Notification; Reporting and Waiting Period Requirements".

#39 | HJRES Congress #119

Policy Area: Commerce
Subjects:

Last Action: Referred to the House Committee on the Judiciary. (2/11/2025)

Bill Text Source: Congress.gov

Summary and Impacts
Original Text

Bill Summary

This joint resolution expresses Congress's disapproval of a specific rule proposed by the Federal Trade Commission (FTC) concerning "Premerger Notification; Reporting and Waiting Period Requirements." The rule, published in the Federal Register, outlines the procedures and requirements for companies to report mergers and acquisitions to the FTC and establishes waiting periods for regulatory review before such transactions can proceed. By passing this resolution, Congress is formally vetoing the rule, meaning it will not be implemented or enforced. This action reflects Congress's authority to reject certain regulatory rules under the Administrative Procedure Act.

Possible Impacts

The joint resolution disapproving the Federal Trade Commission's (FTC) rule on "Premerger Notification; Reporting and Waiting Period Requirements" could affect people in several ways:

1. **Impact on Competition**: The disapproval of the FTC's rule may lead to fewer requirements for companies to report mergers and acquisitions. This could result in less scrutiny of large corporate mergers, potentially allowing monopolies or oligopolies to form. Consumers might face higher prices and fewer choices in the market if competition diminishes.

2. **Business Planning and Investment**: Companies considering mergers or acquisitions might benefit from the reduced regulatory burden, leading to quicker decisions and investments. However, this could also mean that businesses may not fully assess the long-term impacts of their mergers on consumers, employees, and the market as a whole, potentially leading to negative outcomes for stakeholders.

3. **Legal and Regulatory Uncertainty**: The disapproval may create confusion regarding the merger notification process. Companies may find themselves uncertain about the requirements they need to follow, which could lead to either overly cautious behavior (delaying mergers in fear of potential legal repercussions) or reckless decisions that overlook necessary regulatory considerations, thereby affecting employees and consumers alike.

These examples illustrate the broader implications of regulatory changes on market dynamics, business behavior, and consumer welfare.

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.J. Res. 39 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
H. J. RES. 39

  Providing for congressional disapproval under chapter 8 of title 5, 
    United States Code, of the rule submitted by the Federal Trade 
Commission relating to ``Premerger Notification; Reporting and Waiting 
                         Period Requirements''.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 11, 2025

 Mr. Fitzgerald (for himself, Mr. Gooden, and Mr. Cline) submitted the 
following joint resolution; which was referred to the Committee on the 
                               Judiciary

_______________________________________________________________________

                            JOINT RESOLUTION


 
  Providing for congressional disapproval under chapter 8 of title 5, 
    United States Code, of the rule submitted by the Federal Trade 
Commission relating to ``Premerger Notification; Reporting and Waiting 
                         Period Requirements''.

    Resolved by the Senate and House of Representatives of the United 
States of America in Congress assembled, That Congress disapproves the 
rule submitted by the Federal Trade Commission relating to ``Premerger 
Notification; Reporting and Waiting Period Requirements'' (89 Fed. Reg. 
89216; published November 12, 2024), and such rule shall have no force 
or effect.
                                 <all>