Introduction

• Pages: 1-5

CHAPTER I

INTRODUCTION

Joint ventures, which often take the form of “competitor

collaborations,” have become increasingly popular business structures

both domestically and abroad.1 In recognition of the importance of joint

ventures, federal statutes and regulations acknowledge, encourage, and,

in some cases, provide limited antitrust immunity for competitor

collaborations.2

In April 2000 the Department of Justice (DOJ) and Federal Trade

Commission (FTC) issued the Antitrust Guidelines for Collaborations

Among Competitors (the Competitor Collaboration Guidelines or the

Guidelines),3 which, similar to the Horizontal Merger Guidelines, have

provided guidance for an area of law that otherwise lacked clarity. But

nearly two decades have passed since the publication of the Competitor

Collaboration Guidelines, and the treatment of joint ventures continues

to be one of the most hotly debated topics in the antitrust community and

presents some of the most challenging issues for counselors.

The agencies promulgated the Competitor Collaboration Guidelines,

intending to “clarify the law and not depart radically from established

1. Although “joint venture” and “competitor collaboration” are often used

interchangeably, they describe distinct concepts. A joint venture is a form

of business organization among two or more firms that does not

necessarily include direct competitors. A competitor collaboration refers

to one of several arrangements by which competitors can cooperate. A

competitor collaboration could include anything from a fully integrated

joint venture that is equivalent to a merger, to a trade association, an

information exchange, or any of several other forms of cooperation

described in this book.

2. See generally Chapter III.

3. U.S. DEP’T OF JUSTICE & FEDERAL TRADE COMM’N, ANTITRUST

GUIDELINES FOR COLLABORATIONS AMONG CO MPETITORS (2000),

reprinted in 4 Trade Reg. Rep. (CCH) ¶ 13,161, available at

http://www.ftc.gov/ os/2000/04/ftcdojguidelines.pdf [hereinafter

Competitor Collaboration Guidelines].