dcsimg Export Controls

Export Controls

Corporations operate in an increasingly global economy, with markets for and vendors of key technologies outside the United States offering huge opportunities and incentives for those willing to pursue international business and establish an international supply chain. U.S. companies with international operations and/or sales, and the companies that work with them, operate in a regulatory environment that is largely self-regulated with regard to export controls, yet subject to stiff penalties when violations go unreported.

Companies in a variety of industries can be impacted by export controls; however, a renewed focus on export controls by federal regulators and law enforcement has caught many companies off guard — companies that in some instances did not even realize that their international sales or supply chain activities were subject to export controls.

The U.S. government places various rules and restrictions on U.S. and foreign companies that fall within its jurisdiction. Export regulations are primarily administered by the Department of Commerce under the Export Administration Regulations (EAR), the Department of State under the International Traffic in Arms Regulations (ITAR), and the Nuclear Regulatory Commission and Department of Energy under the Atomic Energy Act (AEA). Economic sanctions and embargoes are administered by the Department of Treasury’s Office of Foreign Assets Controls (OFAC) under various country-specific and subject-based regulations.

Since the events of Sept. 11, 2001, these regulators and their law enforcement partners have been increasingly vigilant in enforcing export control laws and regulations. This has resulted in significant and high-profile fines for some companies in recent years. In 2007, the DOJ’s National Security Division announced an initiative to step up enforcement of export controls intended to prevent foreign nations and terrorist organizations from acquiring restricted military and dual-use technology. Because of this ongoing initiative, the number of criminal export prosecutions has grown nationwide.

CONTACTS

J. Patrick Rowan Partner T: +1 202 857 1758
William J. Cook Partner T: +1 312 750 2750
Results 1-8 of 8

RESULTS DEPEND ON A VARIETY OF FACTORS UNIQUE TO EACH CASE. PRIOR RESULTS DO NOT GUARANTEE OR PREDICT A SIMILAR OUTCOME.

Representative Matter

Global manufacturing company

Conducted two import and two export compliance audits for a U.S.-based global manufacturing company.
Representative Matter

Fortune 500 industrial company

Defense of a Fortune 500 industrial client in a criminal investigation of alleged export control violations resulting in the most significant export control settlement to date ($100 million fine, five-year deferred prosecution agreement and extensive independent monitoring, auditing and compliance reorganization requirements). Ongoing counsel from McGuireWoods included a three-year audit cycle covering all of its business units across six continents with on-site audit activities at facilities in roughly two dozen countries.
Representative Matter

Multibillion-dollar corporation

Conducted worldwide export compliance audit relating to a voluntary self-disclosure by a multibillion-dollar corporation to BIS, OFAC, NRC and the DDTC.
Representative Matter

Fortune 100 company

Provided risk assessment counseling to a Fortune 100 client considering sales implicating OFAC sanctions.
Representative Matter

Foreign and domestic companies

Provided export compliance counseling for foreign and domestic companies, including developing compliance programs and assistance with enforcement and penalty issues.
Representative Matter

President of private defense services company

Representation of president of a private defense services  company during investigations by the Departments of Justice, State and Commerce.
Representative Matter

Owner of a small business

Representation of an owner of a small business charged with violation of OFAC sanctions targeting Iran.
Representative Matter

Fortune 500 energy company

Representation of a Fortune 500 energy company on its foreign sourcing of fuels policies and procedures, including revising policies, procedures, contractual provisions and screening tools with regard to trade restrictions, export controls and FCPA/anticorruption concerns.
Results 1-8 of 8
Vassilis Akritidis
Partner
rue des Colonies 56 - box 3
1000 Brussels

T: +32 2 629 42 53
F: +32 2 629 42 22
vCard
Alex J Brackett Alex J. Brackett
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 4749
F: +1 804 698 2089
vCard
Vincent Jodard Vincent Jodard
Associate
rue des Colonies 56 - box 3
1000 Brussels

T: +32 2 629 42 63
F: + 32 2 629 42 22
vCard
Brian J Kelly Brian J. Kelly
Partner
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

T: +1 410 659 4465
F: +1 410 659 4480
vCard
Yves Melin Yves Melin
Partner
rue des Colonies 56 - box 3
1000 Brussels

T: +32 2 629 42 26
F: +32 2 629 42 22
vCard
John D Padgett John D. Padgett
Partner
World Trade Center
101 West Main Street
Suite 9000
Norfolk, VA 23510-1655

T: +1 757 640 3779
F: +1 757 640 3968
vCard
J. Patrick Rowan J. Patrick Rowan
Partner
2001 K Street N.W.
Suite 400
Washington, DC 20006-1040

T: +1 202 857 1758
F: +1 202 828 3304
vCard
Results 1-1 of 1
Legal Alert

Violations of the ITAR, EAR or OFAC Regulations: Mistake or Willful Act?

Subject to Inquiry
April 22, 2014
Results 1-1 of 1