U.S. export control laws and regulations are complex, spanning multiple and sometimes competing U.S. government agency jurisdictions. Less than strict export compliance can result in the imposition of severe civil, criminal and administrative penalties as well as adverse publicity that may significantly impact your company’s ability to profitably conduct business. In today’s increased enforcement environment, international companies must keep abreast of new legislative and regulatory developments that will affect their business operations.
As a recognized leader in international trade, Sandler, Travis & Rosenberg, P.A., has been providing innovative solutions and compliance guidance to exporters for over 30 years. ST&R’s attorneys and professionals have extensive experience in advising companies on the laws and regulations that govern the full range of export and re-export activities, including:
- trade in dual-use goods, software and technology subject to the Export Administration Regulations;
- trade in defense articles, defense services and technical data under the International Traffic in Arms Regulations;
- embargoes and sanctions programs administered by the Treasury Department’s Office of Foreign Assets Control; and
- filing electronic export information via the Automated Export System under the Census Bureau’s Foreign Trade Regulations.
ST&R provides advice and counsel on the import and export requirements of foreign countries as well. As a result, we offer seamless international transaction support for our clients, which includes small, mid-size and large companies, including many Fortune 500 corporations, in the following market sectors: medical devices and equipment; automotive; aerospace; energy; defense; semiconductors; computers and electronics; e-commerce; telecommunications; and freight forwarding.
ST&R’s attorneys and professionals can help you navigate the maze of export laws and regulations through the following services.
Commodity Jurisdiction. Depending on the technology, commodity or service in question, exports may fall under the purview of the Department of Commerce, the Treasury Department, the State Department or, in some instances more than one agency. ST&R will work with you to identify the agencies exercising jurisdiction over your export activities, including assistance in preparing and filing commodity jurisdiction requests where warranted.
Commodity Classification. Classification of commodities, software and technology is essential for determining licensing requirements and the applicability of any license exceptions or exemptions. ST&R can help you classify your products and technology, file commodity classification requests where warranted and create comprehensive classification databases to store information relating to classification, licensing requirements, license exceptions or exemptions and country of origin data.
ITAR Compliance. ST&R offers assistance in all aspects of ITAR compliance, including the ITAR registration process, determining licensing requirements and availability of license exemptions and preparing and monitoring manufacturing license agreements, technical assistance agreements and distribution agreements.
Export Licensing and Management. Depending on the nature of the product, the country of ultimate destination and the end use and end user, a license from the Commerce Department, State Department or Treasury Department may be required prior to the export or re-export of certain goods from the United States or the transfer of certain software and technology to foreign nationals in the United States. In some cases license exceptions or exemptions may apply. ST&R professionals work with you to determine licensing requirements and eligible license exceptions or exemptions and file license applications with appropriate government agencies. We can also assist in developing effective recordkeeping procedures for proper monitoring and tracking of existing export licenses for purposes of making timely license renewals or amendments or returning licenses to the U.S. government.
Re-export Compliance. A re-export is the shipment of an item from one foreign country to another or the release of technology or software in one foreign country to a national of another. U.S. export laws and regulations control re-exports of: U.S.-origin items and certain foreign-produced items that incorporate, are bundled with or are commingled with U.S.-origin goods, software and/or technology. In many cases a license may be required from the U.S. government to re-export goods or technology to foreign affiliates or foreign end-users. ST&R works with companies in determining re-export licensing requirements and eligible license exceptions or exemptions as well as filing license applications with appropriate government agencies.
Restricted Party List Screening. U.S. persons are prohibited from dealing with certain individuals and entities that have been designated on a number of constantly changing government watchlists. ST&R can help you create workable internal processes for ensuring that all new and potential customers, parties to export/re-export transactions, employment candidates and visitors are properly screened against these restricted party lists.
Embargoed and Sanctioned Country Screening. U.S. persons are prohibited from engaging in certain activities with countries that are subject to U.S. embargoes or sanctions programs. ST&R assists companies in understanding the various sanctions programs and ensuring that potential business activities, imports, exports, re-exports and technology transfers fully comport with such programs.
Encryption. The export and re-export of encryption hardware, software and technology is subject to stringent and complex requirements. ST&R provides advice and counsel on the encryption rules under the Export Administration Regulations and can help you determine the licensing requirements for your encryption products and prepare and submit required encryption review requests and license applications.
Deemed Exports. Under the deemed export rule a license may be required before controlled software or technology may be transferred to a foreign national in the United States. This rule applies not only to foreign nationals working as employees in the United States but also to those visiting U.S. facilities. ST&R will work with you to identify potential breaches of the deemed export rule and establish adequate safeguards to prevent the unauthorized disclosure of software and technology through a Technology Control Plan. As part of this process we assist in preparing and submitting any necessary license applications.
Export Compliance for the e-Commerce Industry. Electronic commerce may be subject to U.S. export laws and regulations in the same manner as more traditional transactions. U.S. export laws apply to orders processed via the Internet with tangible delivery of goods, intangible downloads and releases of technology and software, various services performed during transactions, and the transfer of funds to certain entities. ST&R professionals work with e-commerce companies in developing robust export compliance programs tailored to their unique operations, determining licensing requirements and eligible license exceptions or exemptions, and filing license applications with the appropriate government agencies.
Foreign Boycott Reporting. U.S. companies are prohibited from furthering or supporting foreign boycotts that are not sanctioned by the United States. The primary foreign boycott in existence today is the Arab League boycott of Israel. ST&R provides advice and counsel on complying with U.S. antiboycott requirements, including training personnel to identify foreign boycott requests and the timely filing of reportable boycott requests to the Department of Commerce and the Internal Revenue Service.
Representation during Enforcement Actions. When a potential export violation is discovered or a government agency commences a formal investigation of your activities, a trusted and experienced advisor can be a vital asset. ST&R’s experienced attorneys and professionals can assist you in responding to government inquiries, provide support during government visits or audits and prepare voluntary self-disclosures when appropriate. ST&R represents clients through all stages of formal agency investigations, from disputing charges and mitigating penalties to implementing corrective actions.
Export Management Systems. Developing and implementing a comprehensive export management system that takes into consideration all key aspects and departments are essential, particularly if your operations include overseas locations or numerous kinds of products or technologies. ST&R has extensive experience in helping companies establish state-of-the-art automated systems that can increase overall efficiencies in addition to export compliance.
Internal Audit and Validation. Keeping export management systems current requires constant review and adjustment. ST&R’s audit services can provide you with a review of how your systems are working and where new or revised measures may need to be implemented to eliminate any potential compliance gaps.
Export Due Diligence in Mergers or Acquisitions. Under the principle of successor liability you may be held liable for export violations committed by businesses you acquire. ST&R can offer you support and guidance during mergers and acquisitions, ensuring that due diligence investigations include thorough assessments of potential export liability.
Foreign Law Compliance. ST&R has the experience and know-how to help open new doors to your goods and services. Between our in-house attorneys and professionals and our worldwide network of offices and affiliates we offer effective advice on foreign laws affecting exports, re-exports, customs clearance, sales and distribution, value-added tax, product standards and the establishment of overseas presences.
Sales and Distribution. Each overseas market can present unique challenges in structuring sales and distribution arrangements. Knowing beforehand what to expect and how to make the system work to your advantage can be crucial to the success of your export operations. ST&R’s international staff can provide advice on structuring agent, distributor and dealer networks and can help draft appropriate agreements that will inform customers of U.S. re-export controls and end-use/end-user prohibitions. We also offer guidance on ensuring that e-commerce activities comport with U.S. export requirements. ST&R’s professionals also have years of experience helping companies take advantage of the growing number of bilateral and regional free trade agreements and preferential trade programs to lower their duty and transaction costs.
Logistics. Transporting goods from factory to buyer is often overlooked but can be a potentially costly aspect of doing business overseas. ST&R has in-depth experience in all facets of the logistics process and can help you determine what method of shipment best suits your needs.
Staffing and Training. An important part of an export management system is training. ST&R will assist you in determining the organizational structure and staff qualifications that best suit your needs. We can conduct in-depth training for new and existing personnel on export licensing and control requirements, develop a training syllabus for your internal use and provide training to remote installations or foreign-controlled entities or companies. We can create Web-based e-learning training modules with corresponding testing components for companies who wish to provide outreach to a greater number of employees and automate their training initiatives.
Monitoring and Tracking Regulatory and Legislative Developments. ST&R can keep you up to date on new regulations or laws affecting the industry, commodities or countries of export and provide interpretations and guidance as to how these developments will likely affect you. Clients also have access to our regularly published client advisories and our daily WorldTrade/INTERACTIVE news service via the Internet.
Export Professionals