Antitrust Guidance - Hurricanes Harvey and Irma

U NITED S TATES OF AMERICA
FEDERAL T RADE COMMISSION
W ASHINGTON, DC 20580
DEPARTMENT OF J USTICE
ANTITRUST D IVISION
W ASHINGTON, DC 20530
ANTITRUST GUIDANCE — HURRICANES HARVEY AND IRMA
In the wake of the damage resulting from Hurricanes Harvey and Irma, cooperation among
federal, state, and local governments, private organizations, and businesses will be necessary to rebuild
the communities and economies affected by the hurricanes. While natural disasters often bring out the
best in human compassion and spirit, they can also lead to unscrupulous individuals and organizations
taking advantage of those in need.
The Antitrust Division of the Department of Justice and the Federal Trade Commission (the
“Agencies”) will hold accountable those who seek to illegally subvert competition and prey on those
affected by Hurricanes Harvey and Irma. The Antitrust Division of the Department of Justice will
criminally prosecute businesses involved in naked price-fixing, bid-rigging, or market-allocation
agreements. Both Agencies will investigate and take action against civil violations of the antitrust laws. In
addition, the Federal Trade Commission will investigate and take action against companies and
individuals that violate the consumer protection laws. The Agencies also are members of a multi-
jurisdictional working group of federal and state law enforcement agencies established to investigate and
prosecute hurricane-related illegal activity including, but not limited to: impersonation of federal law
enforcement officials, identity theft, fraudulent activity related to solicitation for donations and charitable
giving, and theft, see https://www.justice.gov/opa/pr/authorities-announce-formation-working-group-
fight-hurricane-harvey-related-illegal-activity. For advice on avoiding disaster recovery scams and
helping hurricane victims, see https://www.ftc.gov/news-events/press-releases/2017/08/ftc-advice-
helping-hurricane-harvey-victims.
The federal antitrust laws are designed to protect consumers from illegal activity and are
sufficiently flexible and resilient to accommodate beneficial collaborations that produce net
procompetitive benefits for consumers. See Antitrust Guidelines for Collaborations Among Competitors,
available at: https://www.ftc.gov/sites/default/files/documents/public events/joint-venture-hearings-
antitrust-guidelines-collaboration-among-competitors/ftcdojguidelines-2.pdf. Joint ventures and other
collaborative arrangements can benefit consumers by enabling businesses to bring goods or services to
market faster or at lower cost, or for participants to make products or services available they could not
otherwise provide on their own.
Hurricanes Harvey and Irma disrupted or destroyed many vital production and distribution
facilities as well as numerous other business sectors, including telecommunications, health care, housing,
and retail. The recovery from Hurricanes Harvey and Irma may require a range of collaborative efforts
among competing firms — including joint ventures, joint licensing, and other similar contractual
arrangements. Such collaborative efforts are subject to review under the antitrust laws, however, joint
efforts of limited duration by businesses to restore these services more effectively and to assist the
affected communities in recovering from the devastation may be beneficial and should not generally raise

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antitrust concerns. For example, hospitals or other health care facilities temporarily may need to combine
certain resources or services to meet the health care needs of affected communities. Similarly, two or
more firms might combine their distribution networks to better or more quickly bring needed products or
services to their customers. These collaborations can be accomplished in a manner consistent with the
antitrust laws rather than in conflict with them. Antitrust analysis of these collaborative arrangements can
— and will — take into account the changes in market conditions as a result of the hurricanes.
The Agencies are committed to reasonable and responsible application of the antitrust laws and
will work closely with other federal agencies, state and local governments, and the business community
involved in the recovery efforts from Hurricanes Harvey and Irma.
Anyone with information on price-fixing, bid-rigging, market-allocation agreements, or other
anticompetitive conduct should call the Antitrust Division’s Citizen Complaint Center at 888-647-3258,
or visit http://www.justice.gov/atr/report-violations. Consumers or businesses with concerns about
fraudulent activity can call the Disaster Fraud Hotline at 1-866-720-5721 or visit
https://www.justice.gov/disaster-fraud/how-report-disaster-related-fraud.
September 12, 2017