US - BOTH: ITAR Defense Trade Controls & EAR/OFAC Export Controls e-Seminar

Scott Gearity, President - ECTI, Inc.
Scott Gearity brings nearly 20 years of consulting, training, and corporate export compliance program management experience to bear for his clients.

Mr. Gearity has substantial experience in military, dual-use, and commercial export controls. His clients have ranged in size from small start-ups to some of the world’s largest companies, with a particular focus on the information technology, telecommunications, networking, and software industries.

Mr. Gearity joined ECTI from Microsoft Corporation, where he was based in Ireland and managed the company’s export compliance program for Europe, the Middle East, and Africa. He continues to advise many non-US companies affected by US export controls.

Mr. Gearity holds a Bachelor of Arts degree in international studies and economics from American University. He is a licensed US customs broker.

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Duration: 18 hours

ITAR Defense Trade Controls e-Seminar Modules (for US Companies)

Introduction to Defense Trade Controls

• Key Governing Agencies
• ITAR Compliance Resources

What Does the ITAR Control?

• ITAR Controlled Activities
• Release to Foreign Persons
• Defense Service Issues
• Easy To Forget Licensable Transactions

Jurisdiction: What is a "Defense Article"?

• Jurisdiction: EAR vs. ITAR
• The New US Munitions List
• How to Read New USML Categories
• ITAR "Specially Designed" Definition & Implications
• Special Classification Issues
• Commodity Jurisdiction Determinations

Registration and Empowered Official Issues

• How to Register with the DDTC
• Registration-Related Issues
• Considerations for Designating "Empowered Officials"

ITAR Special Restrictions

• Prohibited Countries
• Prohibited /Ineligible Parties
• SME "Significant Military Equipment"
• Highly Restricted Items
• Congressional Notification Issues
• Red Flags

ITAR License Exemptions

• What are Exemptions?
• Excluded Items & Countries
• Important ITAR 123-16 Exemptions
• The Canadian Exemptions
• UK & Australia Exemptions
• Foreign Military Sales (FMS) Exemption

ITAR Licenses

• Licenses vs. Agreements
• The Art of the License Application
• D-trade
• DSP-5 Applications
• Foreign Person Employee License
• Marketing Licenses

ITAR Agreements

• MLAs / TAAs / Warehouse & Distribution Agreements
• Agreement Application
• Agreement Guidelines
• Drafting the Technical Scope for Agreements
• Dual/Third Country National Employees
• Sublicenses
• Government Review Process & Checking License Status
• DDTC Authorizations Options Across Proram Phases

ITAR Administration, Documents & Shipping

• Shipping & Export Documentation
• Freight Forwarders & Customs Brokers
• Temporary Licenses
• AES
  -Filing Electronic Export Information (EEI)
  -Wait Times & AES Responses
• Schedule B & HTS Classification
• Certification Requirements
• Reporting Requirements
• Amendments

Special ITAR Issues

• Brokering: Requirements, Registration, Prior Approval & Reporting
• Political Contributions, Fees & Commissions
• Foreign Corrupt Practices Act

Technical Data

• Definition of Technical Data
• Exclusion for Basic Marketing Information
• Exclusion for General System Description
• Public Domain Issues
• Exemptions

ITAR Internal Control Programs

• Building an Effective Compliance Program
• Licensing vs. Compliance
• Who is Responsible?
• Written Programs & Procedures
• Record Keeping Requirements
• Hand Carried Shipments
• Customizing Procedures to Match Your Situation
• Special Issues for Tech Data & Software

ITAR Enforcement

• Enforcing Agencies: US Customs & Border Protection
• Enforcement Methods, Fines & Penalties
• What Constitutes an ITAR Violation?
• Personal Liability for Civil Penalties
• Responding to Subpoenas & Investigations
• If You Find a Violation...
• Voluntary Self-Disclosure Considerations
• Case Studies: Recent Enforcement & Audit Actions

EAR/OFAC Export Controls e-Seminar Modules (for US Companies)

Introduction to the EAR

• US Export Control Policy & Primary Regulations (ITAR/EAR/OFAC)
• Roadmap to Parts of the EAR

Controlled Activities

• Controlled Items / Activities: Commodities, Software, and Technology
• Exports, Reexports & In-country Transfers
• Non-US Origin Items Produced with US Origin Content or Technical Data
• Deemed Exports and Reexports
• Other Regulated Activities

Classification

• Jurisdiction: EAR vs. ITAR; Which Agency Has Authority?
• How to Classify an Item: Determining and Reading the ECCN
• The Commerce Control List: EAR99, 600-Series, and other ECCNs
• Order of Review
• "Specially Designed" Definition, Exclusions & Implications
• Requesting an Official Classification

Technology & Software Classifications

• Determining ECCN for Technology & Software
• Definition of "Export" for Technology and Software
• Items Not Subject to the EAR; "Publicly Available"
• Fundamental Research / Educational Information / Patent Applications

No License Required (NLR)

• NLR Determination
• Using the Commerce Country Chart

License Exceptions

• ECCN-based License Exceptions (STA, GBS, CIV, LVS, ENC)
• Situation-based License Exceptions (RPL, TMP, GOV)
• Restrictions on License Exceptions
• License Exceptions Issues for 600-Series and 9X515
• Technical Data & Software License Exceptions (TSU, TSR, ENC, TMP, CIV)
• Wassenaar Reporting

End-Use & End-User Controls

• Prohibited Parties / Embargoed Countries / Proliferation Activities
• Military End-Use/User (China, Russia, Venezuela)
• Red Flags, EAR General Prohibitions & Antiboycott

License Applications

• When and How to Make a License Application to BIS
• Special Support Documents & Requirements
• SNAP-R / Electronic Filing / License Review Process

Export Clearance

• Foreign Trade Regulations (FTR) & Automated Export System (AES)
• Harmonized Tariff Schedule & Schedule B
• Export Documents & Shipping
• Special Requirements for 600-Series and 9X515
• Destination Control Statement

Compliance Programs

• Effective Compliance Plans & EMCP Core Elements (BIS)
• Resources: Where Can I Go for Help?
• Export Compliance Transaction Checklists & Automation
• Developing a Classification Matrix
• Areas of Frequent Compliance Breakdown

Reexports: When Do US Rules Apply Outside of the US?

• General Guidelines & Who is Responsible for Reexport Compliance
• Special Rules for 600-Series and 9X515 US Content
• Foreign-made Items Incorporating US Parts or Technology

US Embargo Controls

• Embargoed Country Destinations:
  -Cuba
  -Iran
  -North Korea
  -Syria
• Sanctions on Sudan, Crimea
• Evolving Controls on Russia

EAR Export Enforcement

• Enforcement Fines, Penalties & Case Studies
• Subpoenas, Investigations & Voluntary Self Disclosures
• Preventing and Coping with Violations

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