2105007 Informal Interpretation

Date:

Tags:

Rule:
801.10
Staff:
Nora Whitehead
Response/Comments:

Agree.

Question

From: Whitehead, Nora <nwhitehead@ftc.gov>


Sent: Monday, May 3, 2021 1:52:56 PM (UTC-05:00) Eastern Time (US & Canada)


To: [Redacted]


Cc: [Redacted]


Subject: RE: Size of Transaction calculation

Agree.

From: [Redacted]


Sent: Monday, May 3, 2021 8:19:12 AM (UTC-05:00) Eastern Time (US & Canada)


To: [Redacted]


Cc: [Redacted]


Subject: Size of Transaction calculation

Dear all,

I hope you all had a lovely weekend. We are advising on a transaction wherein the Buyer and Seller went through litigation over the closing of the contemplated transaction. The transaction value was below the size of transaction threshold and the transaction was not reportable under the HSR Act. The Buyer is now closing the transaction but may be ordered to pay interest and/or penalties to the Seller for the delay in closing as part of the judgment in connection with the litigation. Do you agree that any such penalty or interest imposed and paid to the seller would not be included in the size of transaction calculation because it is not consideration for the business? Thank you very much for your help.

About Informal Interpretations

Informal interpretations provide guidance from previous staff interpretations on the applicability of the HSR rules to specific fact situations. You should not rely on them as a substitute for reading the Act and the Rules themselves. These materials do not, and are not intended to, constitute legal advice.

Learn more about Informal Interpretations.