Series 79 practice questionmediumHart-Scott-Rodino Act
Which of the following actions would constitute “gun-jumping” under HSR regulations?
- AMaking a pre-merger public announcement
- BExercising operational control over the target prior to clearance✓ Correct answer
- CFiling HSR forms prior to executing a definitive agreement
- DDiscussing post-merger integration plans
Explanation
Why B — Exercising operational control over the target prior to clearance
Gun-jumping occurs when the buyer assumes control prematurely. The trap is confusing simple communication or planning with legally impermissible conduct.
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