If you are a business that deals in defense-related items and employs foreign workers, you must comply with International Traffic in Arms Regulations (ITAR). The regulation is designed to protect defense-related sensitive items, patents, and data to help safeguard the national security of the US. Therefore, understanding and following ITAR requirements for employees is crucial to prevent non-compliance and potential harm to the US.
Unlike most civilian goods and services regulated by the Department of Commerce, exports of military defense services, technical data and defense articles are subject to detailed licensing requirements on design, marketing and demonstration activities prior to the sale and permanent export. These requirements are found in the International Traffic in Arms Regulations (“ITAR”). Failure to comply with ITAR licensing requirements can result in self-disclosure to the Department of State, civil fines and even criminal enforcement actions.
Many presale activities involve the delivery of technical information. As a general rule, technical information will fall into one of the following three categories
Are you afraid to export goods that require a license? If so, you’re not alone. I’ve talked with exporters who are hesitant to export goods because they know the process would require an export license, and they don’t know how to begin to apply for one. The good news for them (and for all exporters... [Read More...]
This simple fact that some exporters ignore the truth came into focus for me at one of the two-day Bureau of Industry and Security (BIS) export control seminars held across the country. I heard a licensing officer tell an interesting story about “wishing it were so,” and I want to share a paraphrased versio... [Read More...]
The Destination Control Statement is a legal statement required by the Export Administration Regulations (EAR) and the International Traffic in Arms Regulations (ITAR) stating that the goods you are exporting are destined to the country indicated in all the shipping documents. It is a necessary legal boundary clar... [Read More...]
On December 26, 2019, the US State Department’s Directorate of Defense Trade Controls (“DDTC”) published a long-awaited Interim Final Rule (the “Interim Rule”) revising a number of definitions in the International Traffic in Arms Regulations (“ITAR”). While DDTC was a... [Read More...]
As a subscriber to Bureau of Industry and Security (BIS) email notifications, I received a letter about two entities being charged with attempt (conspiracy) to export carbon fiber. The letter is reproduced below. I would like to draw LawCustoms guests attention not to the penalty details, but... [Read More...]
ITAR Marketing and Pre-sale Activity Regulation Exportation of defense articles and related technical data is key to the furtherance of various national security and diplomatic objectives, and as such, the United States allows exporters to sell, transfer, and otherwise protected defense articles (subject to regulato... [Read More...]
Export Administration Regulations: License Determination Does my product require an export license? That's a question you should ask before every export. In order to find the answer, you first need to answer two preliminary questions: What is the Export Control Classification Number (ECCN) of the produc... [Read More...]
Understanding ITAR: The International Traffic in Arms Regulations A variety of U.S. laws and regulations exist to monitor and controls exports from the United States. These laws and regulations are designed to comply with trade agreements, embargoes, sanctions and other political measures the U.S. has with othe... [Read More...]