Summary of HJRES 39: Congressional Disapproval of FTC Merger Reporting Rule

Bill Overview

This House Joint Resolution (HJRES 39) aims to disapprove a recently enacted rule by the Federal Trade Commission (FTC) related to premerger notification and reporting requirements. The rule in question was submitted by the FTC and is subject to potential congressional review and disapproval under the Congressional Review Act.

Key Provisions

• Expresses congressional disapproval of the FTC's "Premerger Notification; Reporting and Waiting Period Requirements" rule.
• If passed, this resolution would nullify the FTC rule and prevent it from taking effect.
• The rule in question updated premerger notification thresholds and reporting requirements for mergers and acquisitions subject to FTC and Department of Justice review.

Potential Impact

• Businesses and companies planning mergers or acquisitions would not have to comply with the new FTC reporting requirements if this resolution is enacted.
• The FTC and DOJ would revert to using the previous premerger notification thresholds and reporting procedures for reviewing proposed transactions.
• Lawmakers are seeking to overturn the FTC rule, which they view as overly burdensome for businesses, before it can be fully implemented.

Procedural Considerations

• As a joint resolution of disapproval under the Congressional Review Act, HJRES 39 only requires a simple majority in both the House and Senate to pass.
• If approved by Congress and signed into law by the President, the FTC rule would be nullified and deemed to have "no force or effect."
• The deadline for Congress to review and potentially disapprove the FTC rule is 60 legislative days after it was submitted, per the Congressional Review Act timeline.

In summary, this resolution represents an effort by Congress to overturn a recent FTC rule that updated merger reporting requirements, which some lawmakers view as overly burdensome for businesses. Its passage would prevent the new FTC rule from taking effect.