Legal Analysis: Export Controls, Sanctions, and Client Advice

This assignment is a legal memorandum analyzing export controls and sanctions, specifically addressing a scenario involving a client, Peter Clayent, and potential violations related to transactions with Russia, Ukraine, and the Crimea region. The memorandum identifies the primary issue as the application of U.S. sanctions, referencing Executive Orders 13662, 13682, and 13685, as well as directives from the Office of Foreign Assets Control (OFAC). It outlines the relevant rules, including the International Emergency Economic Powers Act (IEEPA) and the U.S. Constitution, and analyzes their application to the client's situation, considering his status as a permanent resident. The analysis discusses prohibitions on new debt, transactions, and property dealings, emphasizing the need for licenses and exemptions. The memorandum concludes by advising the client to ascertain whether they are exempt from these prohibitions or eligible for a license, emphasizing ethical trade practices and the importance of not engaging in deceptive practices that could harm U.S. national security. The document also includes a bibliography of relevant legal sources.

Export control and Sanctions

Table of Contents
Issue............................................................................................................................................3
Rule............................................................................................................................................3
Application.................................................................................................................................3
Conclusion..................................................................................................................................5
Bibliography...............................................................................................................................6

To
Mr. Peter Clayent
Address: Please Insert
Dear Peter
Issue
The primary issue involved in the matter implies the aspect pertaining to the sanctions
imposed by the United States of America with regard to the trading with counties such as
Ukraine and Russia along with the region of Crimea accordingly as far as the case of is
concerned as he has been questioned by the officials of the Homeland Security Investigations.
With regard to his background as an immigrant in the United States of America taking
account of his status as a Permanent Resident.
Rule
The Directives and Executive orders pertaining to the sanctions imposed with regard to
business pertaining financial transactions with countries such as Russia and Ukraine would be
taken into account accordingly. It would help in the determination of the aspects pertaining to
the conduction of business with countries such as Russia and Ukraine as far as the situation of
yours is concerned. The regulations issued by the Office of Foreign Asset Control would also
be taken in to account accordingly as far as the supplies from the United States of America to
countries such as Ukraine and Russia are concerned. The United States Code is also
applicable in this regard as far as Title 50 is concerned with regard to the functions of the
President of the United States of America to issue policies such as Executive Orders as far as
the situations pertaining to wars and the aspects of national security is concerned accordingly.
Such an aspect implies that penalties would be imposed on people with regard to carrying out
businesses and transactions connected to countries over which sanctions have been imposed
pursuant to the regulations issued by the Office of Foreign Asset Control.
Application
The new kinds of debts whose period of maturity is more than thirty days would be
prohibited as far as the financial services sector of the Russian Federation is concerned in
accordance with Directive 1 which has been amended under Executive Order 13662 taking

account of the situation in Ukraine as far as the business of yours is concerned. The exception
in this regard would be licensing or the extent of carrying out such kind of transaction being
provided by the law in force accordingly1. If it is established that you are licensed to carry out
such kinds of activities, then there would not be any kind of restriction under Directive 1
which has been amended under Executive Order 13662. As implied by Directive 2 which has
been amended under Executive Order 13662, there is a prohibition with regard to the carrying
out of transactions pertaining to debts whose maturity period is more than ninety days2.
However, like Directive 1, the extent pertaining should be provided by the law in force
pertaining to export financing or the person must hold a valid license with regard to the
carrying out of such kind of transactions as far as exemption from the prohibition is
concerned. It further implies that the license for the same must be obtained in a proper and
appropriate manner without any kinds of fraudulent or deceptive means with regard to the
exemption from such kind of prohibition.
As implied by the Executive Order 13685, there are prohibitions pertaining to transactions
and property as far as the Crimea region of Ukraine is concerned by any person in the United
States of America in the capacity of an immigrant, a permanent resident or a citizen 3. The
exceptions in this regard would by the defined extent as per the law applicable pertaining to
its territorial jurisdiction or the holding of a proper and appropriate license which is declared
to be valid by the authorities concerned accordingly. It implies that it is to be seen whether
the law allows you to be exempt from such kinds of prohibitions and as to what extent.
As implied by the Executive Order 13682, there are prohibitions and restrictions as far as the
operations pertaining to property transactions in the Russian Federation is concerned taking
account of the situation in Ukraine accordingly4. It applies to any person based in the United
States of America which includes both citizens and non-citizens. It primarily implies the
blocking pertaining to export and import accordingly. The sectors pertaining to the blocking
of such kinds of operations are to be identified and determined by the Secretary of Treasury
by the virtue of the consultation with the Secretary of the State. It is to be identified and
determined in the desired manner thereby implying that whether you are permitted by the law
with regard to the extent of being exempt from such kinds of blockings or whether you hold a
license with regard to the exemptions from such kinds of blockings accordingly.
1 Directive 1 of Executive Order 13662/2014 (US)
2 Directive 2 of Executive Order 13662/2014 (US)
3 Executive Order 13685/2014
4 Executive Order 13682/2014

In all these aspects, the situation pertaining to national security is to be taken into account
accordingly as far as the safety and security of the people of the United States of America in
general is concerned. If it is imperative that such sanctions are necessary with regard to the
aspect of national security, then the prohibitions have to be imposed upon. It is also
imperative as per Section 1701 of the International Emergency Economic Powers Act of
1977 that the President of the United States of America along with the Presidential authorities
can declare national emergency pertaining to extraordinary threat. As a result, kit is to be
taken into account the relations maintained by United States of America along with Russia
and Ukraine along with the region of Crimea accordingly. The transactions pertaining to
foreign exchange are to be regulated by the Presidential authorities in accordance with
Section 1702 of the International Emergency Economic Powers Act of 1977. The
Constitution of the United States of America also grants such kinds of powers to the
President of the United States of America accordingly as far as the declaration of such kind of
emergency is concerned with regard to any kind of war or armed conflict where national
security can be an issue with reference to Section 1701 of the International Emergency
Economic Powers Act of 19775. However, the aspect pertaining to fairness must be taken into
account with regard to the Constitution of the United States of America6. It further implies
that the aspect of national security should be of utmost importance as far as the issuing of
orders by the Presidential authorities with regard to emergency is concerned with reference to
the prohibitions and sanctions. As a result, the intensity of the armed conflict is to be taken
into account accordingly.
Conclusion
As you have no intentions to act in contravention of the law, it is to be seen whether you are
exempted from the prohibitions as aforesaid as far as the Directives and Executive orders are
concerned. As a result, the relevant laws applicable are to be taken into account accordingly
as far as the merits of the case is concerned which imply as to what extent these exemptions
apply to you with regard to the facts of your case along with the law in force with regard to
the exemptions in questions accordingly. Additionally, you also have the options for
obtaining the required license accordingly withy reference to being exempt from such kinds
of prohibitions and restrictions as far as the carrying out of transactions is concerned along
with export and import accordingly. The key thing in this regard would be fairness as far the
5 International Emergency Economic Powers Act 1977
6 United States Constitution 1787

carrying out of trade in an ethical manner is concerned without any kind of major misconduct
accordingly. You can also claim that you are not indulging into any kind of act pertaining to
deception which would ultimately lead to the detrimental effect as far as the security of the
United States of America at the national level is concerned.
Kind Regards,
XYZ

Bibliography
Directive 1 of Executive Order 13662/2014 (US)
Directive 2 of Executive Order 13662/2014 (US)
Executive Order 13682/2014
Executive Order 13685/2014
International Emergency Economic Powers Act 1977
United States Constitution 1787