The Kroger Co. (NYSE:KR) filed a motion for a preliminary injunction in the U.S. District Court, Southern District of Ohio, against the FTC’s administrative proceeding challenging its merger with Albertsons Companies, Inc. (NYSE:ACI).
The company argues that the FTC’s use of both its administrative tribunal and a federal court action violates Constitutional protections.
Kroger’s motion states that the FTC’s proceeding violates the Constitution by breaching Article II, as its judge isn’t removable by the President, and Article III, by resolving private contract rights through the Executive Branch instead of the Judicial Branch.
The company claims the FTC is unfairly splitting its challenge into two tribunals for multiple chances to litigate. While pushing Kroger into an unconstitutional administrative process, the FTC also seeks to block the merger in federal court.
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