Exemptions from the Registration Requirement

There are numerous provisions in the ITAR that carve out exemptions for specific persons and entities to reduce the administrative burden of having to register as a broker (and subsequently obtain an approval for brokering activities).   US Connection Predecessor to Registration Broker registration requirements require substantial links to the United States.  They apply only […]

ITAR Brokering Registration Regulations and Compliance

Under the International Traffic in Arms Regulations (ITAR) implemented and enforced by the Directorate of Defense Trade Controls (DDTC) of the Department of State, “brokers” of defense articles and defense services are required to register with and obtain the approval of the DDTC prior to engaging in the business of brokering.   If you are […]

Effects of the New DCS Rules

Effects of the New Rules   The BIS and State Department intend for these DCS revisions to have significant positive effects on exporters, and on export regulation generally.  Specifically, their hope is that the final rule revisions will help minimize the compliance burden for exporters, and the complexity of the export control process overall.  Recipient […]

Changes Made to Harmonize the DCS provisions

The final rules issued by the BIS and State Department – and effective as of November 2016 – alter the text of the existing EAR and ITAR regulations to better harmonize their separate DCS requirements.   Commercial invoice only. The new rules no longer require a DCS on several different export control documents.  Instead, under […]

How is the pre-existing DCS paradigm frustrating for exporters?

How is the pre-existing DCS paradigm frustrating for exporters?   The purpose of a DCS is to notify international parties as to the compliance of the exported defense article with applicable EAR and ITAR regulation, and to ensure that the relevant parties are further notified as to the illegality of diverting the exported article.   […]

New Revisions to the EAR and ITAR to Harmonize Destination Control Statements

New Revisions to the EAR and ITAR to Harmonize Destination Control Statements   On August 17, 2016, as part of the President’s Export Control Reform initiative, the Bureau of Industry and Security (BIS) and the US Department of State issued final rules revising the destination control statement (DCS) requirements in the Export Administration Regulations (EAR) […]

Failure to Comply – Civil and Criminal Penalties

The State Department works with various other agencies (e.g., US Customs, Department of Defense) and with foreign governments and their agencies to ensure compliance, both before and after shipment, through extensive monitoring programs. If there is an ITAR violation – for example, if the arms export is transferred to a prohibited end-user – then you […]

Licensing and Registration

Under ITAR section 122.1(a), an arms exporter must first register with the DDTC and receive State Department approval of their license application. Registration is a pre-requisite for licensing, and approval of the license application entitles the would-be arms exporter to important export privileges. Additional registration requirements and exemptions Under ITAR section 120.25, an arms exporter-applicant […]

Exporting Arms and other Defense Articles – an Introduction to ITAR Compliance

What are the basic rights and obligations of arms exporters under current federal law? US-based arms exporters are legally entitled to sell, transfer, and export arms and other defense articles to foreign recipients – though these transfers may be subject to numerous regulatory controls. Exportation of defense articles is seen as a crucial component in […]

5 year maintaining practice on export records

January 16, 2014 Federal Register notice. The BIS is allotting until March 17, 2014 for both the general public and Federal agencies to address the 5 year maintaining practice on export records regarding “memoranda, correspondence, contracts, invitations to bid, books of account, financial records, restrictive trade practice or boycott documents and reports.” The BIS is […]