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: 13 hours

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

Overview of the ITAR

• What are export controls?
• Agencies and their controls
• Other regulators

Regulated Activities

• Activities regulated by the ITAR
• Activities NOT regulated under the ITAR
• Prohibited countries
• Ineligibility to obtain approvals

Controlled Items

• Items subject to the ITAR
• The U.S. Munitions List (USML)
• The Order of Review
• Specially Designed
• Jurisdictional Issues
• Commodity Jurisdiction

Registration

• When does registration apply?
• 5 Step Registration process
• Recordkeeping
• Updating Registration
• Renewing registration

Exemptions

• What are exemptions?
• Excluded Items & Countries
• Ineligible exemptions
• The Canadian Exemptions
• UK & Australia Exemptions
• Foreign Military Sales (FMS) Exemption
• Documentation and record keeping

Licenses and Agreements

• Licenses vs. Agreements
• License Application
• DSP-5 Application
• Amendment process and expediting applications
• Agreements, types p of agreements and applying for approval
• Understanding parties in agreements
• The empowered official and certification
• How applications are processed

Export Clearance

• Export clearance requirements
• Automated Export System (AES)
• Commercial Invoice Requirements

Compliance Programs

• What is compliance?
• The importance of establishing an ITAR compliance program (ICP)
• The essential elements of an effective ICP
• What is required by the government
• How and why to document your ICP
• Key considerations, best practices and our tips for developing an effective ICP
• Compliance training

Brokering

• What is brokering in the ITAR?
• Brokering activity Exclusions
• Who must register as a broker?
• Brokering activities that require approval
• Brokering and prior approval process
• Brokering annual report

Enforcement

• What Constitutes an ITAR Violation?
• Civil vs. Criminal violation
• Criminal and civil penalties for violating the Arms Export Control Act
• Agencies that enforce the ITAR?
• What to do if you discover a potential violation
• Voluntary disclosures
• Where to find case studies and real-world examples

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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