Last year, the Federal Trade Commission (FTC) and Department of Justice (DOJ) Antitrust Division released new guidelines, updating how the government evaluates proposed corporate mergers and acquisitions. The antitrust agencies guidelines now prioritize preserving meaningful competition in the American economy.

As part of the update, changes were made to a form that companies must file with the two agencies (the HSR Form). Companies provide details of their proposed transaction on this form so that the FTC and the Antitrust Division can determine whether a merger would comply with the Clayton Act, a law that bars mergers that “may substantially lessen competition or tend to create a monopoly.” The information is also shared with the Department of Defense so that the Pentagon can better track defense contractor ownership.

Accurate HSR data helps the government more quickly clear mergers that do not threaten competition, while identifying and blocking those that do. The form had not been modernized in a meaningful way since the 1970s, despite many innovations in business models and financing structures in the intervening years.

The FTC also created an online portal for the public to comment on proposed mergers and acquisitions that may be reviewed by the agency. This is consistent with the FTC’s ongoing effort to make its actions and review process more transparent to hear from the public. Similarly, the FTC under Chair Khan has held Open Commission Meetings that for the first time included written and verbal comments from the public.

This brief explains what the HSR form is, what the changes are, and why they are important. It also addresses common misconceptions about the previous HSR form and merger approval process.