FTC Increases Maximum Civil Penalties For Violations Of Competition Statutes

On June 30, 2016, the Federal Trade Commission ("FTC") announced increases to the maximum civil penalties issuable for violations of several key competition statutes.  The agency made these changes to comply with the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, which required the agency adjust penalty amounts for laws it enforces based on a methodology provided for by Congress.

Pursuant to the FTC's announcement:

• Section 5 of the FTC Act, 15 U.S.C. 45: Violations of cease and desist orders issued under 5(b) will have a maximum fine increase from $16,000 to $40,000.

• Section 7A(g)(1) of the Clayton Act, 15 U.S.C. 18a(g)(1): Violations of premerger reporting and waiting requirements, pursuant to the Hart-Scott-Rodino Antitrust Improvements Act of 1976 ("HSR"), will have a maximum fine increase from $16,000 to $40,000.