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Fifth Circuit Stay Keeps FTC’s Expanded HSR Filing Rule in Effect

The temporary stay preserves the expanded filing obligations during expedited appellate review.

Overview

  • A three-judge Fifth Circuit panel granted an administrative stay "until further order," keeping the 2024/2025 HSR rule operative while it considers a stay pending appeal.
  • On February 12, Judge Jeremy D. Kernodle vacated the rule as arbitrary and beyond the FTC’s authority and stayed his judgment for seven days to allow an appeal.
  • Briefing on the FTC’s stay motion is expedited and concludes by February 26, with a decision expected soon after that could either extend the stay through the appeal or allow the vacatur to take effect.
  • The FTC’s Premerger Notification Office advises filers to continue using the new form, and the litigation does not change HSR jurisdictional thresholds or filing fees.
  • The overhaul added separate acquiring and acquired entity forms and about 20 new information categories, and the FTC estimated preparation time would roughly triple.