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Further Guidance on Deemed Export License Applications

Wednesday, August 20, 2014
Sandler, Travis & Rosenberg Trade Report

The Bureau of Industry and Security has made available (see link below) further guidance for exporters preparing and submitting license applications for foreign nationals pursuant to the deemed export rule.

Releases of technology or software to a foreign national are deemed to be exports to the home country of the foreign national. Licenses for such releases are required if a license would be required for the export of the items involved to the home country, and BIS reviews applications for deemed export licenses under the licensing policies that apply to actual exports to the home country.

BIS notes that the deemed export rule is most often encountered in the employment context and that these guidelines are designed for the employment situation and may not be fully applicable in other contexts. BIS also notes that the deemed export rule does not apply to releases to persons lawfully admitted for permanent residence in the United States or persons who are protected individuals under the Immigration and Naturalization Act.

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