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“…the FTC requests that this Court…enter final judgment against Facebook…ordering…divestiture or reconstruction of businesses (including, but not limited to, Instagram and/or WhatsApp)…”

Like so many other technology giants over the past few years, Facebook is facing legal action claiming that its behaviors are those of an anti-competitive monopolist in violation of United States antitrust and fair trade laws.

But while Facebook and the rest of Big Tech have taken many actions which legislators have rightly considered regulating, is the case presented by the Federal Trade Commission (FTC) and 46(!) states really all that strong? And what of the failure of the FTC to prevent the acquisitions when presented with them a half decade plus ago?

This is a big one. Let’s dive in.

Facebook’s got a fight for its future on its hands…in Virtual Legality.

#Facebook #FTC #Lawsuit

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Discussed in this episode:

“Facebook hit with antitrust lawsuit from FTC and 48 state attorneys general”
ABC News – December 9, 2020 – Catherine Throbecke

FTC vs Facebook
Filed – December 9, 2020

“False advertisements; injunctions and restraining orders”
15 USC 53

“Unfair methods of competition unlawful; prevention by Commission”
15 USC 45

“Monopolizing trade a felony; penalty”
15 USC 2

“SINGLE-FIRM CONDUCT AND SECTION 2 OF THE SHERMAN ACT: AN OVERVIEW”
Department of Justice Antitrust Division Webpage

“Merger Review”
FTC Website

“FTC clears Facebook’s acquisition of Instagram”
Reuters – August 22, 2012 – Alexei Oreskovic

“Facebook says WhatsApp deal cleared by FTC”
Reuters – April 10, 2014 – Alexei Oreskovic

“Premerger notification and waiting period”
15 USC 18a

“Acquisition by one corporation of stock of another”
15 USC 18

“48 States v Facebook”
Filed December 9, 2020

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“Virtual Legality” is a continuing series discussing the law, video games, software, and everything digital, hosted by Richard Hoeg, of the Hoeg Law Business Law Firm (Hoeg Law).

CHECK OUT THE REST OF VIRTUAL LEGALITY HERE:

DISCUSSION IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND IS NOT TO BE CONSTRUED AS LEGAL ADVICE. INDIVIDUALS INTERESTED IN THE LEGAL TOPICS DISCUSSED IN THIS VIDEO SHOULD CONSULT WITH THEIR OWN COUNSEL.

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Twitter: @hoeglaw
Web: hoeglaw.com
Blog: hoeglaw.wordpress.com
STORE:

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DESIGN WORK
Joe Ellis (Logo Design)
Chris Leroux (Motion Graphics)
For more information: contact Chris at @Chrisleroux on Twitter.

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