On Monday, March 23, it was reported that the U.S. Department of Justice (DOJ) and Federal Trade Commission (FTC) were preparing to announce a streamlined procedure through which companies seeking to collaborate on a response to the coronavirus pandemic may obtain an expedited review and approval of their contemplated venture. (https://www.bloomberg.com/news/articles/2020-03-23/u-s-to-speed-antitrust-reviews-for-firms-teaming-up-on-virus). Specifically, the DOJ and FTC are expected to jointly commit to processing and completing reviews of coronavirus-targeted collaborations in one week or less. The agencies may roll out the details as early as Monday.
Ordinarily, the time required for the agencies to review proposed collaborations for antitrust compliance can span months. However, as the coronavirus pandemic has escalated, the agencies have reportedly been inundated with urgent requests from companies for guidance on collaborations under contemplation. Through this accelerated process, the FTC and DOJ can bolster the efforts of government to address critical shortages in medical supplies and facilitate the development of technology and strategies for treatment, vaccination, and prevention.
Sheppard Mullin will update readers as more information becomes available.
Sheppard Mullin has been closely monitoring the effects of COVID-19 on various aspect of our clients’ businesses, and has created a multi-disciplinary taskforce to advise clients on the multitude of legal issues that will arise as the situation progresses.
As you are aware, things are changing quickly and there is no clear-cut authority or bright line rules. This is not an unequivocal statement of the law, but instead represents our best interpretation of where things currently stand. This article does not address the potential impacts of the numerous other local, state and federal orders that have been issued in response to the Covid-19 pandemic, including, without limitation, potential liability should an employee become ill, requirements regarding family leave, sick pay and other issues.
