Developing a Compliance Program

Developing an Export/Import Compliance Program

Things to Think About!

  • Registration – are you registered with the applicable U.S. government agency as an exporter or importer; confirm all information is accurate, up-to-date, same officers are listed, USML categories, etc.  ITAR has time requirements to report updates.
  • Don’t forget compliance activities surrounding a merger or acquisition – do your due diligence prior to the sale or purchase!
  • Are you screening all parties to the transaction against the various U.S. government lists prior to any activities?  Do you really know the end-user and the end-use of your product or services you plan to provide?
  • Do you know which export or import authorization is the best and correct one to obtain for your activities?
  • Review Log or Database of Export Licenses/TAAs/Proviso – is it accurate, up-to-date, expired licenses have been returned and you have proof in the files, etc.  Keep the information current. 
  • Review log of exports (tech data, defense services, hardware).  Make sure records of exports are accurate and the values of exports are also tracked.  Do Not Exceed Values of your authorizations.
  • Training Records – specific to training sessions provided to employees at Company.  Who has/has not received export compliance training?  Are you training all new hires?
  • Do you hire Foreign Persons?  Do you know the definition of a Foreign Person?
  • Training Records – specific for the Empowered Office and any staff that assists with export compliance – such as attending an outside conference like Society for International Affairs, etc.
  • Export Compliance Procedures – make sure procedures are up-to-date and on your website for all employees to see.  Recommend a separate Export Compliance Manual! 
  • Sr. Management commitment is mandatory to developing a robust compliance program.
  • Have you reviewed the various exemptions or exceptions which can be invoked . . . if you can certify you meet the requirements.