Justia Regulation Tracker

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[Federal Register: August 8, 2008 (Volume 73, Number 154)]
[Notices]               
[Page 46335]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr08au08-93]                         

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DEPARTMENT OF JUSTICE

Antitrust Division

 
Federal Register Notice

    Notice is hereby given pursuant to the Defense Production Act of 
1950, 50 U.S.C. App. Sec.  2158 (``DPA'') that the Attorney General 
finds that the purpose of a Voluntary Tanker Agreement (``VTA'') 
proposed by the Maritime Administration (``MarAd'') may not reasonably 
be achieved through a voluntary agreement or plan of action having less 
anticompetitive effects or without any voluntary agreement of plan of 
action. The text of the proposed VTA was published in Volume 72 of the 
Federal Register at pages 41099-41103 (July 26, 2007).
    Under the DPA, MarAd may enter into agreements with representatives 
of private industry for the purpose of improving the efficiency with 
which private firms contribute to the national defense when conditions 
exist that may pose a direct threat to the national defense or its 
preparedness. Such arrangements are generally known as ``voluntary 
agreements.'' A defense to actions brought under the antitrust laws is 
available to each participant acting within the scope of a voluntary 
agreement that has come into force under the DPA.
    The DPA requires that each proposed voluntary agreement be reviewed 
by the Attorney General prior to becoming effective. If, after 
consulting with the Chairman of the Federal Trade Commission, the 
Attorney General finds that the purpose of the DPA ``may not be 
reasonably achieved through a voluntary agreement having less 
anticompetitive effects or without any voluntary agreement or plan of 
action,'' the agreement may become effective. 50 U.S.C. App. Sec.  
2158(f)(1)(B). The Attorney General's authority is delegated to the 
Assistant Attorney General for the Antitrust Division by 28 CFR 
0.40(e).
    The purpose of the proposed VTA is to support Department of Defense 
(``DoD'') contingency requirements to provide tanker capacity during 
times of crisis through procedures agreed in advance. The proposed VTA 
establishes the terms, conditions and procedures under which 
participants agree voluntarily to make tankers available to the DoD. 
MarAd has certified that the proposed VTA is necessary to carry out its 
purpose.
    MarAd requested that the Antitrust Division issue a finding that 
the proposed VTA satisfies the statutory criteria set forth in 50 
U.S.C. App. Sec.  21 58(f)(1)(B). The Antitrust Division reviewed the 
proposed agreement, attended an open meeting of interested persons 
pursuant to the requirements of 44 CFR 332.2, and consulted with the 
Chairman of the Federal Trade Commission as to the competitive effect 
of the proposed agreement. On July 23, 2008, by letter to Sean T. 
Connaughton, Maritime Administrator for MarAd, Thomas O. Barnett, 
Assistant Attorney General for the Antitrust Division, issued a finding 
that the proposed agreement satisfies the statutory criteria.

J. Robert Kramer II,
Director of Operations, Antitrust Division.
[FR Doc. E8-17996 Filed 8-7-08; 8:45 am]

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