Failure to notify the DOJ of the intent to merge can hold companies liable under the Hart-Scott-Rodino Act of 1976.

Question

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The merger regulations attempt to prohibit the merging of firms that will create a monopoly under the theory that it is better to prevent than to untangle a merger. The Hart-Scott-Rodino Act of 1976 was enacted to allow the DOJ to review these mergers before they were completed. For this reason, notice of intent to merge between companies of a certain size must first be given to the DOJ.

Failure to Notify the DOJ of the Intent to Merge