Judge Sets Hearing on Injunction to Block Voting Machine Merger

Tuesday, 29 September 2009 03:01

Post on The BLT: The Blog of LegalTimes

Judge Robert Kugler of the U.S. District Court for the District of New Jersey didn't immediately rule on a request for an injunction that would block the merger of two large voting machine manufacturers, instead setting a hearing for Nov. 12.

 

Jonathan Rubin, a Washington-based Patton Boggs partner who represents Hart InterCivic Inc., a Texas-based voting-machine manufacturer, had requested a temporary restraining order to stop the merger of the voting division of Ohio-based Diebold, Inc. and Election Systems & Software, Inc.

Sen. Charles Schumer has asked the Justice Department to review the merger, which was completed on Sept. 2 and announced by Diebold and ESS on Sept. 3. Hart says the deal would give ESS 68 percent of the voting-machine market.

ESS is represented by Hogan & Hartson partners Mark Gately and Lauren Colton of the firm's Baltimore office. Diebold is represented by John Majoras of Jones Day's Columbus and Washington offices. Majoras said the company is arguing that Hart hasn't "met the burden that one needs for a preliminary injunction. They don’t have standing to raise the complaint, and they’re unable to sustain the antitrust claim."

Gately said ESS is "extremely happy with the hearing today." Gately also said he and others on the Hogan team have had "some correspondence" and conversations with the Justice Department regarding the merger.

"We made it absolutely clear...that we’d be happy to meet with them," Gately said.

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