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FTC v. Staples, Inc. and Office Depot, Inc. | 190 F. Supp. 3d 100 (2016)
Horizontal mergers are evaluated by the Federal Trade Commission, or F T C, using their merger guidelines. In F T C versus Staples and Office Depot, a court reviewed the F T C’s challenge to a proposed merger.
In twenty fifteen, Staples and Office Depot announced their intent to merge. The F T C commenced an action in the United States District Court for the District of Columbia to enjoin the merger under Section Seven of the Clayton Act.
The F T C argued that the merger would reduce competition in the relevant market. The F T C narrowly defined the relevant market as large companies that purchased more than five hundred thousand dollars of consumable office supplies annually from one vendor, known as business-to-business customers. Staples and Office Depot countered that the F T C’s definition was too narrow and cherry-picked certain products and customers.
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