Law Commons^™

Mergers In Regulated Industries: The Role Of The Regulatory Agency., C. Paul Rogers Iii

St. Mary's Law Journal

The merger of two or more independent business enterprises into a single business entity is the antithesis of the underlying policy in our economic system—the promotion of competition. However, regulatory agencies often face the major problem of applying antitrust provisions promoting freedom of competition in an industry where competition is restricted by law. It is commonly understood that if left unregulated private mergers of independent businesses tend to have anti-competitive impacts, i.e., the creation of monopolies. On the other hand, anti-trust laws and the agencies promulgating them function within highly regulated sectors where the government controls who may participate. The …