FTC Announces Huge Increase in Fines for Rules, Orders and HSR Violations
By: Bernard (Barry) A. Nigro Jr., Nathaniel L. Asker, Aleksandr B. Livshits
The Federal Trade Commission yesterday announced a 150 percent increase in the maximum civil penalty for violations of the Hart-Scott-Rodino Act and FTC orders, from $16,000 to $40,000 per day. The FTC also increased maximum civil penalties for violations of 14 other statutes. The FTC deems each day in which a party is not in compliance with its rules, orders or the HSR Act as a separate violation, meaning that fines can quickly amount to millions of dollars. The new maximum fines will apply to civil penalties assessed after August 1, 2016, and will cover violations that predate the effective date. $40,000 per day will be the maximum civil penalty for HSR Act and FTC order violations, although the FTC will continue to consider on a case-by-case basis whether the fine imposed should be lower.
