Question
From: (redacted)
Sent: Friday, June 24, 2005 1:32 PM
To: Verne, B. Michael
Subject: HSR Compliance Question
Mike,
Ihave a compliance question regarding amended 16 C.F.R. Section 801.1(b)(2). Itprovides that control means "Having the contractual power presently todesignate 50 percent or more of the directors of a for-profit or not-for-profitcorporation, or in the case of trusts described in paragraphs (c) (3) through(5) of this section, the trustees of such a trust." (Italics are foremphasis.)
I'msomewhat unclear regarding the types of trusts brought into the purview of thisrule by virtue of the reference to paragraphs (c)(3) through (5) of 16 C.F.R.Section 801.1. Those sections variously refer to collective investment funds,revocable trusts, irrevocable trusts in which the settlor has a reversionaryinterests, and other trusts, i.e., essentially all trusts. Are all such trustsdeemed to be controlled by another entity under 16 C.F.R. Section 801.1(b)(2)if that entity has the present right to appoint 50% of more of its trustees?Thank you for any clarification that you can provide.