The US District Court rejects a "failing firm" defence and blocks the merger of nuclear waste disposal companies (EnergySolutions / Waste Control Specialists)

Federal judge blocks merger of nuclear waste disposal companies rejecting "failing firm" defense* On June 21, 2017, US District Judge Sue L. Robinson blocked EnergySolutions, Inc.’s proposed acquisition of Waste Control Specialists LLC (WCS), applying a strict standard for the “failing firm” defense to a merger challenge. The parties compete in the disposal of low level radioactive waste (LLRW). WCS had argued that it would be forced to exit the market due to heavy operating losses if the transaction were not approved. Judge Robinson’s recently released opinion provides insights into how aggressively a putative failing firm must shop its assets to third parties before it can qualify for the failing firm defense to an otherwise anticompetitive merger. WHAT HAPPENED: The US Department of

Access to this article is restricted to subscribers

Already Subscribed? Sign-in

Access to this article is restricted to subscribers.

Read one article for free

Sign-up to read this article for free and discover our services.

 

PDF Version

Author

  • McDermott Will & Emery (Washington)

Quotation

Mary Strimel, The US District Court rejects a "failing firm" defence and blocks the merger of nuclear waste disposal companies (EnergySolutions / Waste Control Specialists), 21 June 2017, e-Competitions Bulletin June 2017, Art. N° 84425

Visites 54

All issues

  • Latest News issue 
  • All News issues
  • Latest Special issue 
  • All Special issues