Skadden Discusses FTC and DOJ Enforcement of M&A Divestiture Orders

The CLS Blue Sky Blog

Maria Raptis David P. Wales Ryan J. Travers

Partners Maria Raptis and David Wales and associate Ryan Travers examined M&A divestiture orders compliance for an article featured on the Columbia Law School Blue Sky Blog. The authors assessed how recent enforcement actions by the Federal Trade Commission and the Department of Justice reinforce the importance of compliance with consent orders and the agencies’ current emphasis on prosecuting violations, including extension of order obligations, fines and even attorneys’ fees. The piece also highlights the August 2020 creation of the Office of Decree Enforcement and Compliance, which will enforce judgment and consent decrees in civil matters, and notes how merging parties can take steps to mitigate compliance risks by, for example, frontloading certain divestiture actions and accounting for potential delays.