Statement of Administration Policy: S. 431 - Amend the Clayton Act Regarding Partnerships
(Senate)
(Metzenbaum (D) Ohio and 2 others)
Although the administration supports closing the "partnership loophole" (which permits the avoidance of notification requirements for certain mergers), it opposes S. 431 which is unnecessary, inappropriate, and overinclusive. S. 431 is objectionable because:
— the Federal Trade Commission has promulgated revisions to its premerger rules to effectively close the "partnership loophole," thereby eliminating the need for S. 431. These revisions went into effect on July 3, 1987;
— it could preclude Federal antitrust enforcement agencies from making necessary changes to agency rules governing premerger filings by partnerships; and
— it would require premerger filings for types of business transactions (e.g., certain leveraged buyouts) that do not raise antitrust concerns.
Ronald Reagan, Statement of Administration Policy: S. 431 - Amend the Clayton Act Regarding Partnerships Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/328645