alerts & publications
President Obama Lifts 20-Year Sudan Embargo一月 18, 2017
On January 13, 2017, the Obama Administration signed Executive Order 13761, ending the 20-year embargo on Sudan. Citing “Sudan’s positive actions over the past 6 months,” the executive order provides for revocation of the previous executive orders which prohibited most transactions in Sudan by July 12, 2017, provided that the administration determines that the Sudanese government has sustained its positive actions. This action follows in the wake of the easing of the Cuba embargo, the lifting of sanctions on Burma, and last year’s easing of nuclear sanctions on Iran.
To implement the executive order, the Treasury Department’s Office of Foreign Assets Control (OFAC) will amend the Sudanese Sanctions Regulations to authorize most transactions that were previously prohibited. This amendment will take effect upon publication in the Federal Register. As a result, US companies will generally be authorized to transact with individuals and entities in Sudan, including Sudan’s petroleum and petrochemical industries. All blocked property and interests in property of the Government of Sudan will be unblocked.
There are still some restrictions on US companies doing business with Sudan. Some Sudanese individuals and entities continue to be subject to targeted sanctions and remain on OFAC’s Specially Designated Nationals and Blocked Persons List. Transactions with listed persons remain prohibited, and US companies accordingly should continue to screen their customers against that list. As well, Sudan continues to be designated a state sponsor of terrorism and is subject to stricter export control measures as a result. US companies exporting US-origin goods to Sudan will also need to ensure compliance with the Export Administration Regulations.
To date, the President-elect has not made any public statements about the lifting of Sudan-related sanctions, and it is thus unclear whether the new Administration will act consistently with President Obama’s recent action. The permanent lifting of the Sudan sanctions is contingent on the Government of Sudan continuing its positive actions, and under the terms of the new executive order, a decision on a permanent lifting of the sanctions will be made by the Trump Administration on July 12, 2017.
This memorandum is a summary for general information and discussion only and may be considered an advertisement for certain purposes. It is not a full analysis of the matters presented, may not be relied upon as legal advice, and does not purport to represent the views of our clients or the Firm. Greta Lichtenbaum, an O'Melveny partner licensed to practice law in the District of Columbia, and McAllister Jimbo, an O’Melveny associate licensed to practice law in the District of Columbia and California, contributed to the content of this newsletter. The views expressed in this newsletter are the views of the authors except as otherwise noted.
Portions of this communication may contain attorney advertising. Prior results do not guarantee a similar outcome. Please direct all inquiries regarding New York's Rules of Professional Conduct to O’Melveny & Myers LLP, Times Square Tower, 7 Times Square, New York, NY, 10036, Phone:+1-212-326-2000. © 2017 O'Melveny & Myers LLP. All Rights Reserved.
Thank you for your interest. Before you communicate with one of our attorneys, please note: Any comments our attorneys share with you are general information and not legal advice. No attorney-client relationship will exist between you or your business and O’Melveny or any of its attorneys unless conflicts have been cleared, our management has given its approval, and an engagement letter has been signed. Meanwhile, you agree: we have no duty to advise you or provide you with legal assistance; you will not divulge any confidences or send any confidential or sensitive information to our attorneys (we are not in a position to keep it confidential and might be required to convey it to our clients); and, you may not use this contact to attempt to disqualify O’Melveny from representing other clients adverse to you or your business. By clicking "accept" you acknowledge receipt and agree to all of the terms of this paragraph and our Disclaimer.