We recently authored an article regarding U.S. sanctions compliance best practices. The article addresses:

  • Who is subject to U.S. sanctions;
  • Who is targeted by U.S. sanctions;
  • What actions are prohibited with sanctioned parties;
  • How to apply for authorization to perform prohibited activities;
  • The penalties that can be imposed for U.S. sanctions violations; and
  • Best practices for complying with U.S. sanctions.

The full article, “Understanding and Complying with OFAC Regulations,” was published by Lexis Practice Advisor®.

Government contractors are learning the hard way that agencies need to be kept apprised of major changes within the company during the entire period of bid evaluations. Most recently, the Government Accountability Office (GAO) made an example of Lockheed Martin Integrated Systems, Inc. (LMIS), which was excluded from awards for failure to disclose its spin-off agreement with Leidos.

Continue Reading Buyer Beware: Lessons of Disclosure Learned the Hard Way

  • U.S. oilfield services company pays $25 million for violations involving senior managers.
  • Aggressive enforcement continues even though restrictions have been eased.
  • It can take a long time to settle violations of U.S. sanctions and export issues.

Lest U.S. companies think that Cuba and Iran are entirely open for business, a U.S. government settlement announced earlier this month with National Oilwell Varco, Inc. (NOV), a U.S. oilfield services company, will serve as a stark reminder both of existing restrictions and – especially – the U.S. government’s intent to enforce those restrictions aggressively.  (Even if doing so takes a long, long time.)

Continue Reading Still Serious About Sanctions: OFAC Settles Violations Involving Cuba and Iran

I will be co-hosting a webinar on Tuesday, November 29 on compliance challenges under the Export Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR). Key topics that will be covered in this webinar include ITAR and EAR amendments and new rules; jurisdiction and classification; licensing, agreements, and exceptions; effective compliance practices; recent enforcement; and identifying risks and pitfalls. The webinar is being hosted by The Knowledge Group and will be held from 10 – 11:30 a.m. EST.

According to the Federal Acquisition Service (FAS) Commissioner, Tom Sharpe, the General Services Administration (GSA) remains committed to a smooth transition in implementing the final rule governing transactional data reporting, released on June 23, 2016. As we previously reported, the final rule significantly changes reporting requirements for the Federal Supply Schedules (FSS) program – requiring vendors to electronically submit monthly reports providing 11 transactional data elements, and in turn, eliminate Commercial Sales Practices (CSP) disclosures and the Price Reduction Clause (PRC).

Continue Reading GSA Remains Confident in the Benefits of the Transactional Data Reporting Rule

Key points:

  • The Trump Administration could dramatically alter U.S. sanctions against Iran, Cuba and Russia.
  • Sanctions against Iran and Cuba could snap back, rendering illegal some transactions that are currently permitted.
  • Sanctions against Russia could be scaled back or rescinded entirely.
  • Until the smoke clears, companies should approach these markets with caution.

Introduction.  With the results in from the U.S. presidential election, companies should begin to consider the potential impact of a Trump presidency on their international business.  U.S. economic sanctions were among the hot-button issues debated this election cycle, and changes under a Trump Administration could restrict opportunities for companies conducting or hoping to engage in business involving Iran or Cuba.  On the other hand, Trump has vowed to improve relations with Russia, which could signal the impending revocation of U.S. sanctions against that country.

Continue Reading Post-Election Sanctions Hangover

I provided comments for an article outlining the potential impact that President-elect Donald Trump’s administration may have within the defense industry. As I point out in the article, “[m]any companies have chosen to exit the government market because of the [recent] regulatory burdens. The compliance obligations have piled on. An enormous amount of regulation has been thrust upon defense contractors, particularly in the labor employment space, fair pay, executive orders on sick leave and all that sort of stuff. This is especially concerning to service companies that may have a small federal footprint and are saying ‘this isn’t worth it.'”

The full article, “How Trump Might Reform Defense Business,” was published by National Defense Magazine on November 16, 2016, and is available online.

I will be Nashville on Thursday, November 17 speaking at a program organized by The University of Tennessee Procurement Technical Assistance Center. I will speak on the topic of “Mentor Protégé Training – Challenges and Solutions” from 8 a.m. – 11 a.m. CST at Bass, Berry & Sims. I will provide an overview of the Small Business Administration’s new mentor protégé program, discuss key solutions to address program challenges and offer insights into how small businesses of all types can take advantage of the program. Additional program information is available here.

Over the past year, the big news for companies doing or considering business in Iran has been the scaling back of U.S. and EU economic sanctions. Many global businesses are now permitted to operate in this once prohibited market. Before we celebrate too enthusiastically, however, let’s stop for a moment to consider a potential challenge for some companies trying to capitalize on this new opportunity.

This time, we are focusing on a conundrum specific to companies that contract with the U.S. government.

Continue Reading Iran on Your Mind? The FAR Should Be, Too.

On October 24, 2016, U.S. District Judge Marcia Crone granted a preliminary injunction to halt the implementation of the “Fair Pay and Safe Workplaces” Executive Order 13673 (EO 13673), implementing provisions of the Federal Acquisition Regulation (FAR) in the final rule, and Department of Labor (DOL) guidance that impose new reporting requirements on contractors regarding labor law violations.

Continue Reading Fair Pay and Safe Workplaces Not “Fair” to Contractors, According to Texas Judge

From the Bass, Berry & Sims Blog Network
From the Bass, Berry & Sims Blog Network

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