With a maze of pure sanctions, applied sanctions, and countersanctions, global conflicts require industries and individual organizations to grapple with disruptions to global supply chains, commodities trading, the flow of transportation industry raw materials, the movement of data, and asset freezes. Our team helps companies address these challenges as well as other regulatory issues including export control laws and regulations, import restrictions, and related compliance matters and litigation.
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03/18/2024 -
What 2 Years Of Ukraine-Russia Conflict Can Teach Cos., Law360
In an expert analysis column for Law360 partners David Plotinsky, Vasilisa Strizh, and Vishnu Shankar discuss key legal lessons learned from the conflict in Ukraine. The column, which includes contributions from partners Shannon Donnelly, Daryl Landy, Paul Mesquitta, Sergio Oehninger, and Peter Sharp, delves into how companies can navigate sanctions and counter sanctions resulting from the conflict, and how the situation has affected contract disputes, insurance, cybersecurity, employees, and immigration.
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03/11/2024 -
Ukraine Conflict – Two Years Later: Key Legal Lessons for Businesses
It’s been two years since the escalation of the ongoing conflict in Ukraine, which has led many companies with business operations or personnel in Eastern Europe to adjust, restructure, or exit locations in Russia. Meanwhile, the global business community has adapted to trade restrictions and sanctions, settled contract disputes and force majeure issues, prepared for and responded to cybersecurity breaches, and navigated challenges to the supply chain.
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03/08/2024 -
European Council Issues Guidance on Recently Imposed ‘No Russia’ Clause for EU Exporters
EU-based aircraft owners and lessors, among other exporters, will soon have to incorporate a “No Russia” clause in their contracts with non-EU counterparties for the sale, supply, transfer, or export of aircraft and aircraft parts. The obligation to include the clause will vary depending on a contract’s date of conclusion, with the first implementation dates coming as soon as March 20, 2024. The European Council has released guidance and a template for the clause, part of a larger package of sanctions on Russia, to guide impacted EU exporters.
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02/28/2023 -
US Significantly Expands Export Sanctions on Russia and Belarus; Simultaneously Adds to Entity List and Tariffs
The US continues to increase economic sanctions on Russia and Belarus. February 27 saw multiple actions expanding sanctions, including restrictions on exports of a large swath of equipment and consumer goods, Office of Foreign Assets Control designations, and visa restrictions. The Bureau of Industry and Security, in particular, emphasized that its action is focused on “aligning” with controls previously imposed by allies and partners in Europe.
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01/20/2023 -
Update: New Decree Allows Certain Russian Companies to Remove Voting Rights of Minority Shareholders and Directors from Unfriendly States
Russian President Vladimir Putin adopted Decree No. 16 on January 17, allowing Russian companies to change their corporate decision-making so that minority shareholders from the so-called “unfriendly states” (or those controlled by persons from such states) and directors nominated by them lose their voting rights at the shareholder meetings in the boards of directors (supervisory boards) and management boards of affected Russian companies.
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10/28/2022 -
London Court of International Arbitration Is Granted Exemption from Russia and Belarus Sanctions
The United Kingdom’s Office of Financial Sanctions Implementation (OFSI) has granted the London Court of International Arbitration (LCIA) a General Licence allowing it to process payments from designated parties (DPs) who are subject to the United Kingdom’s recent financial sanctions against Russia and Belarus.
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10/07/2022 -
Update: EU Introduces Its 8th Wide-Ranging Sanctions Package Against Russia
The European Union adopted its 8th sanctions package of restrictive measures against Russia on 6 October 2022 in response to the ongoing conflict in Ukraine.
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05/31/2022 -
Update: New Russian Decree Restricts Ability of Foreign Rightsholders to Collect License Payments
Russian President Vladimir Putin signed Decree No. 322 “On Temporary Regime For Performance of Obligations Towards Certain Rightsholders” on May 27, prohibiting Russian residents from making license payments to foreign bank accounts of rightsholders residing in “unfriendly states” or otherwise supporting sanctions against Russia.
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05/06/2022 -
Update: New Russian Decree Introduces Blocking Measures, Authorizes Government to Determine Designated Persons
Russian President Vladimir Putin issued a decree listing several retaliatory special economic measures against legal entities and individuals, as well as organizations controlled by them, to be designated by the Russian government.
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04/26/2022 -
Update: UK Finalizes Export Ban on Luxury Goods to Russia
The United Kingdom has finalized its ban on the delivery, sale, transit, and export of luxury goods to Russia, focusing on items that will impact Russian oligarchs and other members of the Russian elite.
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04/25/2022 -
Update: Russia Legalizes Parallel Import of Certain Goods
In light of trade restrictions and foreign companies discontinuing business in Russia, the Russian government resolved to remove legal protection of intellectual property (IP) rights embedded in certain goods and trademarks attached thereto, thus enabling parallel import of such goods to Russia without authorization of the relevant IP holder or authorized distributor.
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04/11/2022 -
Update: Extensive Sanctions on Russia Focus on Luxury Goods
The European Union, United Kingdom, and United States have introduced a number of extensive sanctions against Russia in relation to the delivery, sale, transit, and export of luxury goods, with the intention of focusing on items that will impact Russian oligarchs and other members of the Russian elite.
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04/11/2022 -
Update: Russian Draft Law to Criminally Prosecute Directors and Officers for Sanction Compliance
A draft law submitted for consideration to the State Duma—the lower chamber of the Russian parliament—would amend the Russian Criminal Code to make compliance with sanctions a criminal offense for directors and officers, punishable by severe penalties, including long-term imprisonment. If adopted, the law would significantly impact many individuals and businesses in Russia, and companies would need to adjust their strategies toward Russia accordingly.
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03/30/2022 -
Key Steps for Complying with Rapidly Escalating Sanctions, Export Compliance Manager
Partner Giovanna Cinelli was quoted in an Export Compliance Manager article highlighting key steps for companies complying with rapidly escalating sanctions.
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03/16/2022 -
Ukraine-Related Sanctions: Contract Disputes Under Business Agreements Governed by US Law
The conflict in Ukraine has resulted in the disruption of innumerable commercial agreements between and among financial, manufacturing, and other entities. The sanctions imposed by nations and international bodies on various Russian and Belarusian persons and entities as a result of the conflict (Ukraine-Related Sanctions) are in many ways exceptional in their coordination, breadth, and speed. Russia has imposed initial countermeasures in response to the Ukraine-Related Sanctions, which could also affect the performance of commercial agreements by parties across the globe. Many US businesses are considering whether (and if so, how) the operations in Ukraine or the Ukraine-Related Sanctions might impact their and their counterparties’ obligations under agreements that require performance by or with sanctioned entities.
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03/15/2022 -
US Announces New Restrictions on Export of Luxury Goods to Russia
President Joseph Biden issued Executive Order 14068 on March 11 expanding prohibitions on trade with Russia and announcing new restrictions on Russian imports, exports, and investments—including luxury goods. This executive order, implemented through regulations issued by the Department of Commerce’s Bureau of Industry and Security, directly impacts many retailers, as it effectively restricts US retailers and businesses from suppling any luxury items, as defined by the regulations and the customs tariff codes to Russia. This edition of Morgan Lewis Retail Did You Know? analyzes the executive order—the latest in a series of regulatory actions targeting Russia as a result of the crisis in Ukraine—the Department of Commerce’s implementing regulations under the executive order, and the practical impact both have for retailers.
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03/08/2022 -
Reviewing Risk Factor Disclosures Amid Russian Sanctions, Law360
In Law360, partners Erin Martin, Carl Valenstein, and Celia Soehner wrote that public companies should consider impacts of Ukraine conflict-related sanctions on Russia and the related supply chain issues when assessing risk factor disclosure.
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03/03/2022 -
Update: US Sanctions on Russia Have Extraterritorial Implications
In connection with recent Russia-related sanctions issued by the US government, organizations face a variety of issues when navigating the questions of who and what transactions may be subject to the reach of these sanctions. Economic sanctions administrated by the US Department of Treasury’s Office of Foreign Asset Control (OFAC) are often intended to have extraterritorial effect, and therefore can impose significant compliance costs and penalties on US subsidiaries as well as their non-US affiliates or parent entities.
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03/02/2022 -
Update: Russia Adopts Countermeasures to Support Its Financial Markets
Russian authorities are taking measures on several fronts to support financial markets and keep liquid assets in Russia, including a new set of countermeasures introduced by President Vladimir Putin. Russia’s Central Bank is also playing an important role in mitigating the effect of recent economic sanctions against Russia.
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03/01/2022 -
Update: European Union Agrees on Further Sanctions on Russia
The European Union’s 25 February wave of sanctions build on, and significantly expand, its existing sanctions on Russia, imposing wide-ranging restrictions on the Russian economy—including in respect of Russia’s access to financial and capital markets—and the oil refining, aviation, and space sectors. More sanctions from the European Union are expected in the coming days, along with announcements on the disconnection of certain Russian banks from the SWIFT system.
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02/28/2022 -
Update: United States Expands Sanctions, Export Controls in Response to Russian Operations in Ukraine
Based on the evolving military operations of the Russian Federation in Ukraine, the United States has imposed additional sanctions on the Russian Federation, Russian leadership, and various financial institutions and companies. These sanctions, imposed in close coordination with American allies and partners, target Russian banks as well as Russian state-owned and private entities thought to be involved in funding Russia’s actions.
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02/28/2022 -
Update: Russia Adopts Special Decree on Countermeasures
President Vladimir Putin issued a decree, “On Special Economic Measures in connection with the Unfriendly Actions of the United States of America and Other Foreign Countries” (Decree), on 28 February. This is the first decree addressing Russian economic measures to respond to the recent sanctions adopted by several countries in connection with the current geopolitical situation.
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02/24/2022 -
Update: US Department of Commerce Imposes Restrictions on Russia
The United States, in concert with Western allies, has imposed sweeping sanctions on Russia in response to President Vladimir Putin’s action in Ukraine. In addition to a full suite of sanctions administered by the US Department of Treasury/Office of Foreign Assets Controls (OFAC), the US Department of Commerce has issued amendments to the Export Administration Regulations (EAR) that impose new restrictions on exports, re-exports, and retransfers of items subject to the EAR to Russia (and releases in Russia), established policies of denial for license applications, and transferred military end users to the Entity List.
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02/23/2022 -
Ukraine: New US Sanctions (Also Relevant for European Companies), Beck-Blog
In Beck-Blog, special legal consultant Dr. Axel Spies provides an overview of the Russian sanctions authorized by US President Joseph Biden, noting more sanctions are being considered amid the Russian Federation’s recognition of Ukraine regions as independent states.
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02/23/2022 -
Sanctions Threaten U.K.’s Position as Playground for Russian Oligarchs, The Wall Street Journal
Partner Bruce Johnston spoke to The Wall Street Journal about the effects of the UK’s sanctions.
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02/23/2022 -
United States Issues New Economic Sanctions Against Russia
In response to the Russian Federation’s recognition of certain regions of Ukraine as independent states which followed an expansion of nearly 200,000 troops on the Ukrainian border, US President Joseph Biden authorized the imposition of additional sanctions against Russia and indicated that further sanctions were under consideration. This LawFlash summarizes these newly issued sanctions.
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02/11/2022 -
How Russian Sanctions Could Impact Aviation Sector, Cirium
Partner Bruce Johnston spoke to Cirium about the how Russian sanctions could impact the aviation sector.
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02/11/2022 -
UK Bolsters Sanctions Powers Against Russia
The United Kingdom on 10 February 2022 amended its Russian sanctions law to more easily add persons to its targeted sanctions regime, which enhances the UK’s ability to quickly impose sanctions against most parts of the Russian economy (and their operations worldwide).
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07/08/2021 -
US and EU Russia Sanctions Update—US/EU (& UK) Overview (and Russian Countersanctions)
The still evolving US sanctions (as well as the EU and now also separate UK sanctions) continue to challenge Russia-related business. The sanctions frameworks are complex, changing, and, at times, inconsistent as well as overlapping. Navigating this complex global framework is made even more difficult by the ongoing unpredictable and reactionary geopolitical environment as the Biden Administration gets underway.
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01/28/2021 -
Update: EU, UK, and US Sanctions Against Turkey
Recent sanctions imposed by the European Union, United Kingdom, and the United States on Turkey and certain Turkish persons will be of interest to European and American investors in Turkey’s defense and energy sectors. The following update contains a summary of each regime.