GLOBALIZATION AND THE LIMITS OF NATIONAL MERGER CONTROL LAWSPDF电子书下载

INTRODUCTION 1

1.GLOBALIZATION:HOW AND IMPACT 11

Part Ⅰ 12

A.What is Globalization? 12

1.Globalization:Factors Contributing to the Phenomenon 13

2.Globalization as Denationalization 14

3.Globalization and the Limits of National Laws 14

a.Absence of Vision 15

b.Absence of Dispute Resolution Techniques 16

4.Globalization:A Normative Concept that Promotes Global Welfare 16

B.Global Consumer Welfare as a Global Public Good 17

1.Defining Global Consumer Welfare 18

2.Defining Public Goods 19

a.Supply Problem 19

i.The Free-Rider Problem 19

ii.The Prisoner's Dilemma 20

3.Defining Global Public Goods 22

a.Intermediate Global Public Goods 22

b.The Supply Problem of Global Public Goods 23

4.Global Public Good Qualities of Global Consumer Welfare 24

a.Supply Problems 25

i.Free-rider Problem 25

ii.Prisoner's Dilemma 26

C.Concluding Remarks 27

Part Ⅱ 27

D.Why Merge? 27

E.Growing Trend of Transnational M＆As 30

1.Growing Concentration in the Global Market 32

a.Financial Industry 32

b.Airline Industry 34

c.Telecommunications Industry 37

d.Petroleum Industry 38

e.Automobile Industry 39

f.Pharmaceuticals 41

2.Effects of Growing Concentration 42

F.Merger Review:Objective 44

G.Proliferation of Merger Control Laws:Why? 45

1.Benefits of Merger Control Laws 46

2.Deregulation Paved the Way for Competition 47

3.External Pressure for Reform 47

H.Costs of Proliferating Merger Control Laws 49

1.Cost to Merging Parties 49

2.Cost to Competition Agencies 52

3.Diverse Approaches;Diverse Outcomes 53

4.Friction among Jurisdictions 54

5.Limits on Sovereign Control 55

I.Gaps in Global Governance and the Need for an IMCR 55

Table 1.M＆As in Major Overseas Markets in 2000 by Number of Deals 58

Table 2.Worldwide Antitrust Merger Notification Systems 59

2.US ANTITRUST AND MERGER CONTROL LAWS 60

A.Raison d'？tre of Antitrust and Merger Control Laws 61

1.Origin of the US Antitrust Laws 61

a.The First Merger Wave:1889-1902 62

b.Formation of Trusts 63

2.The Birth of Federal Antitrust Laws:The Sherman Act(1890) 64

a.Enforcement of the Sherman Act 69

b.Sherman Act and the Merger Wave 72

3.The Clayton Act,1914 74

a.Private Parties and State Attorneys General Right to Challenge 75

B.Dual Federal Antitrust Enforcement Agencies 76

1.The Federal Trade Commission Act,1914 76

a.Institutional Framework of the FTC 77

b.Authority of the FTC 78

2.The Establishment of the Antitrust Division of the DoJ:1933 78

3.Interrelation Between the Antitrust Division and the FTC 79

C.The Development of Merger Analysis Jurisprudence 80

1.Clayton Act During the War Era:1914-1950 80

a.The Second Merger Wave:1925-1930 81

b.The Third Merger Wave:1940-1947 81

2.The Celler-Kefauver Antimerger Act,1950:Amendment to the Clayton Act 84

a.Merger Analysis Under §7 Clayton Act:Sole Reliance on Market Share 85

i.Brown Shoe Co.v.United States(1962) 86

ii.United States v.Philadelphia National Bank(1963) 87

iii.United States v.Von's Grocery Co.(1966) 88

b.The Fourth Merger Wave:Mid-1960s 89

3.The DoJ's Merger Enforcement Guidelines 1968 90

4.Antitrust Revolution 91

a.US v.General Dynamics:Demise of the 1968 Guidelines 91

b.The Chicago School 92

c.Reaganomics 92

D.Merger Enforcement Guidelines 93

1.The DoJ's Merger Enforcement Guidelines 1982:Efficiencies Recognized 94

a.Product Market 95

b.Geographic Market 95

c.Determination of Market Concentration 95

2.The DoJ's Merger Enforcement Guidelines 1984 97

a.Market Definition and Measurement 97

b.Treatment of Foreign Competition 98

c.Efficiencies 98

d.Failing Divisions of Healthy Firms 98

3.DoJ/FTC's Horizontal Merger Enforcement Guidelines,1992/1997 98

4.Antitrust Enforcement Guidelines for International Operations,1995 99

E.Premerger Notification Regime and Review Process 103

1.Hart-Scott-Rodino Antitrust Improvement Act,1976 103

a.Title Ⅰ of the HSR Act 104

b.Title Ⅱ:The Premerger Notification Act 104

i.Notification Thresholds 105

(a)The Size-of-Person Test 106

(b)The Size-of-Transaction Test 106

ii.Filing Fees 106

iii.Transactions Subject to Foreign Antitrust Reporting Requirements 107

iv.Exemptions From Premerger Notification Requirements 107

v.Application of HSR on Foreign Persons 107

c.Title Ⅲ:The Parens Patriae Act 108

2.Merger Review Process 109

a.Relevant Markets 111

i.Relevant Product Market 111

ii.Relevant Geographic Market 112

b.Identification of Competitors 113

c.Market Shares 113

d.Assessment of the Likely Adverse Effects 113

e.Market Entry Conditions 114

f.Efficiencies Defense 114

g.Failing Firm Defense 115

F.Co-ordination Among State and Federal Antitrust Agencies 115

1.Association of State Attorneys General(NAAG) 117

2.NAAG Voluntary Premerger Disclosure Compact 118

3.Information Sharing Protocol 120

4.NAAG,DoJ/VFC Protocol for Joint State/Federal Merger Investigations 121

a.Confidentiality 122

b.Procedure Involving the Merging Parties 122

c.Conduct of Joint Investigation 122

d.Settlement Discussions 123

e.Statements to the Press 123

G.Commentary:Lessons to be Learned 124

1.Raison d'？tre of Antitrust Laws 124

2.Development in the Merger Analysis Jurisprudence 125

3.Enforcement Guidelines 126

4.Dual Federal Antitrust Enforcement Agencies 126

5.Coordination Among the State and Federal Antitrust Agencies 126

6.Premerger Notification Regime 128

a.Notification Thresholds 128

b.A Two-Tier Merger Review Process 128

c.Triggering Events 129

d.Tiered Fee Structure 129

e.Voluntary Disclosure of Other Antitrust Agencies Involved 129

7.Summary of the Lessons Learned 129

3.EC COMPETITION AND MERGER CONTROL LAWS 131

A.Foundation of the European Union and Its Supranational Institutions 132

1.The European Coal and Steel Community:Treaty of Paris(1951) 133

2.The European Economic Community:Treaty of Rome(1958) 133

a.The Council of Ministers 134

b.The Commission 135

c.The European Parliament 136

d.The Court of Justice 137

B.Enhanced Economic Integration 137

1.European Free Trade Association(1960) 138

2.New Membership of the EEC 138

3.The Single European Act(1987) 138

4.The Treaty on European Union(Treaty of Maastricht,1992) 139

5.European Economic Area(1994) 139

6.The Treaty of Nice(2001):The EU's Enlargement 141

C.EC Competition and Merger Control Laws 142

1.Origins of the EC Competition and Merger Control Laws:The ECSC Treaty 142

2.The Treaty of Rome 143

3.The 1966 Memorandum 145

4.Continental Can(1973):Application of Article 82 to Concentrations 146

5.Commission's Proposals for Coherent Merger Control:Political Gridlock 148

6.Philip Morris(1987):Application of Article 81 to Concentrations 149

7.Merger Wave:1987- 151

8.The Need for a Community-Wide Merger Control Regulation 152

9.The Rebirth of Proposals for Merger Regulation 153

D.Merger Regulation:Instrument for Transnational Merger Review 154

1.One-Stop-Shop 154

2.Community Dimension:Notification Thresholds 155

3.Exceptions to Community-Dimension 157

a.Referral to National Competition Authority:The "German Clause" 157

b.Jurisdiction Over Mergers Without Community Dimension:The "Dutch Clause" 157

c.Legitimate National Interest:The "British Clause" 158

4.Premerger Notification 158

5.Merger Analysis 159

a.Substantive Evaluation 159

i.Pure Competition Standards v.Industrial Policy 160

ii.Dominant Position 163

iii.Relevant Product and Geographic Markets 163

iv.Market Shares 164

v.Significant Impediment to Effective Competition 165

vi.Efficiencies Defense 165

vii.Failing Firm Defense 166

b.Initial Review 166

c.Second-Phase Investigation 167

6.Extraterritorial Application of the Merger Regulation 168

E.Cooperation between the Commission and ESA:The Lead Jurisdiction Model 170

F.Recent Developments in the EC Competition Policy:Establishing a Network for Cooperation 172

G.Commentary:Lessons to be Learned 175

1.Creating a Global Supranational Institution for Merger Control 175

2.Delegation of Merger Review to a Supranational Institution 176

3.Recent Reform to the Competition Policy:Adoption of a Lead Jurisdiction Approach 177

4.Protocol 24:The Lead Jurisdiction Model 177

5.Notification Procedure Under the Merger Regulation 178

6.Decision-Making Procedure Under the Merger Regulation 179

7.Summary of the Lessons Learned 181

4.COMPARISON BETWEEN THE US AND EC MERGER CONTROL LAWS 183

A.Objective of Competition Laws in the US and the EU 183

B.General Procedural Dissimilarities 185

1.Powers of the Relevant Agencies 185

2.Private Parties Right to Challenge 186

C.Premerger Notification Procedural Dissimilarities 188

1.Information Requirements:One-Step Filing v.Two-Step Filing 188

2.Notification Thresholds 189

3.Triggering Events 190

4.Review Period 191

D.Substantive Evaluation 192

1.Points of Convergence 193

a.Substantive Test:Dominant Position v.Substantial Lessening of Competition 193

b.Definition of Relevant Markets 195

2.Differences 195

a.Defining Market Concentration 195

b.Efficiencies Defense 196

c.Failing Firm Defense 198

E.Concluding Remarks 198

5.RECOGNITION OF LIMITS:NEED FOR COOPERATION AND CONVERGENCE 199

A.Convergence Through Cooperation at a Bilateral Level 199

1.US-EU Cooperation Agreement 200

a.Notification 201

b.Exchange of Information 201

c.Cooperation and Coordination in Enforcement Activities 201

d.Positive Comity 202

e.Avoidance of Conflicts over Enforcement Activities:Traditional Comity 202

f.Confidentiality of Information 202

2.Advantages of the US-EU Cooperation Agreement 202

3.Limits of the US-EU Cooperation Agreement 203

a.The Boeing-McDonnell Douglas Case(1997) 203

b.GE-Honeywell Case(2001) 208

4.Limits of Bilateralism 210

B.Convergence Through Harmonization at a Multilateral Level 212

1.Havana Charter 212

2.The Treaty of Rome(1958) 213

3.United Nations Conference on Trade and Development(UNCTAD) 213

4.Organization for Economic Cooperation and Development(OECD) 214

5.Australia-New Zealand Closer Economic Relations Trade Agreement 216

6.North American Free Trade Agreement(NAFTA) 217

7.MERCOSUR:The Southern Cone 218

8.WTO Fourth Protocol's Reference Paper on Pro-Competitive Regulatory Principles 218

a.Adoption Technique 219

b.Success of the Reference Paper 220

C.Concluding Remarks 222

6.THE WTO AS THE CUSTODIAN FOR THE IMCR 224

A.Creation of the WTO 224

1.Organizational Structure 226

a.Membership 226

b.Ministerial Conference 226

c.General Council 227

d.The Secretariat 227

2.Dispute Resolution Mechanism 227

a.Consultation 228

b.Panel Proceedings 228

c.Appeal 228

d.Implementation 229

B.Competition Law in the WTO 229

1.WTO's Working Group on Interaction Between Trade and Competition Policy 231

2.EU's Support for Competition Law in the WTO 233

3.US Position on Competition Law in the WTO 236

C.Concluding Remarks 240

7.PROPOSALS ADVANCED FOR TRANSNATIONAL MERGER REVIEW 241

A.International Competition Policy Advisory Committee 242

1.Bridging the Differences Between Systems 243

a.Increased Transparency 243

b.Development of Disciplines for Merger Review 243

c.Continue to Enhance Cross-Border Cooperation 244

2.Enhanced Work Sharing:Seamless Multijurisdictional Merger Review 245

a.Work Sharing at the Remedy Stage 245

b.Work Sharing at the Review Stage 246

3.Reform of the Merger Review Process 247

a.Casting the Merger Review Net Appropriately:Notification Thresholds 248

b.Authority to Override Thresholds 248

c.Filing Fees 248

d.Two-Stage Review Process 248

e.Review Periods and Timing 249

f.Triggering Events 249

g.Notification Forms and Information Requests 249

4.International Mediation of Competition Disputes 250

5.Separate Statement by Eleanor Fox 250

6.Critique/Comments 251

B.Draft International Antitrust Code:The Munich Group 253

1.Scope and Notification Thresholds 253

2.Premerger Notification Procedure 254

3.Appraisal of Concentrations 254

4.Decision-Making 255

5.Global Welfare/Interest of Other Nations 255

6.International Antitrust Agency 255

7.International Antitrust Panel 256

8.Critique/Comments 257

a.Notification Thresholds 257

b.Premerger Notification Procedure 258

c.Time for Decision-Making 258

d.Separate Body for Providing Exemptions 258

e.Lack of Mechanism for Coordination and Dispute Resolution 258

C.OECD 259

1.Critique/Comments 260

D.American Bar Association 260

1.Reporting Requirements 261

2.Conflicts in Enforcement/Enhanced Inter-Agency Consultation 261

3.Confidential Information 262

4.Private Suits 262

5.Discovery Abroad 263

6.Agencies to Publish Detailed Merger Enforcement Guidelines 263

7.Critique/Comments 264

E.Campbell and Trebilcock 265

1.Harmonization of Domestic Laws 265

a.Procedural Harmonization 265

i.Premerger Filing 265

ii.Waiting Period 266

iii.Fixed Time Limits for Decision-Making 266

iv.Confidentiality Rules 266

b.Substantive Harmonization 266

2.Use of Lead Review Jurisdiction 267

a.Lead Jurisdiction as a Coordinating Agency 267

b.Lead Jurisdiction Appointed Through Consultation 268

c.Lead Jurisdiction Appointed by an International Authority 268

3.Decision-Making by Supranational Institution 269

a.Supranational Investigation and Adjudication 269

b.Supranational Dispute Resolution 269

4.Critique/Comments 270

a.Harmonization of Domestic Law 270

i.Procedural Harmonization 270

ii.Substantive Law Harmonization 270

b.Lead Review Jurisdiction Models 271

c.Decision-Making by Supranational Institution 272

F.Eleanor M.Fox 272

1.Premerger Notification 273

a.Premerger Notification Form 273

b.Common Clearing-House 274

c.Triggering Events 275

d.Time Periods for Review 275

e.Notification Thresholds 275

2.Substantive Standards and Begger-Thy-Neighbour Policies 276

3.Resolution of Conflicts 276

4.Critique/Comments 277

a.Premerger Notification 277

b.Common Clearing-House 278

c.Notification Thresholds 279

d.Substantive Standards 280

e.Resolution of Conflicts 280

G.Eleanor M.Fox and Janusz A.Ordover 281

1.Critique/Comments 282

H.Baker,Campbell,Reynolds＆Rowley 282

1.Pre-filing Consultations with Merging Parties 283

2.Pre-notifiable Transactions 284

3.Disclosure of Domestic Notifications 284

4.Two Stage Premerger Notification 284

5.Time Limits 285

6.Notification Forms(Stage One) 285

7.Supplementary Requests for Information(Stage Two) 286

8.Information Sharing and Confidentiality 286

9.Interagency Communications 287

10.Enforcement Guidelines 288

11.Announcement of Filings and Decisions 288

12.Clearance and Authorizations 288

13.Critique/Comments 289

a.Pre-filing Consultations with Merging Parties 289

b.Pre-notifiable Transactions 290

c.Disclosure of Domestic Notifications 290

d.Concluding Remarks 290

I.Andre Fiebig 291

1.WTO Premerger Office 292

2.International Merger Control Regime 292

3.Drawbacks 293

4.Critique/Comments 293

8.INTERNATIONAL MERGER CONTROL REGIME 295

A.Implications of the Review of the Proposals 295

1.Procedural Elements 296

a.Premerger Filing Stages 296

b.Harmonized Premerger Notification Form 296

c.Requirement to Disclose other Agencies Involved 296

d.Waiting Period Before Consummation 297

e.Fixed Time Limits for Decision-Making 297

f.Disclosure of Confidential Information 297

g.Triggering Events 298

h.Notification Thresbolds 298

i.Nature of the Regimes(Voluntary/Compulsory) 299

j.Transparency and Merger Enforcement Guidelines 300

k.Foreign Nation's Interest/Global Impact 300

l.Central Filing System 301

m.Dispute Resolution Mechanism 301

n.Interagency Coordination 302

o.Pre-filing Consultation 302

p.Public Notification of Filing and Decisions 302

2.Model for an IMCR:Supranational Institution v.a Lead Jurisdiction 303

a.A Democratic Form of Governance 305

b.A Socially Responsible Form of Governance 305

c.An Organic Form of Governance 306

3.Substantive Law 306

B.A Draft IMCR 307

1.Draft Agreement on Competition Law 308

2.Draft Annex on Transnational Merger Review 310

C.Test Case for the IMCR 318

CONCLUSION 321

Bibliography 325

Annex:Summary of the Proposals Reviewed and the IMCR 351

Table of Cases 357

Name Index 361

Subject Index 363