Replies

https://www.bis.doc.gov/index.php/enforcement/oac

Office of Antiboycott Compliance (OAC)

Print
The Bureau is charged with administering and enforcing the Antiboycott Laws under the Export Administration Act. Those laws discourage, and in some circumstances, prohibit U.S. companies from furthering or supporting the boycott of Israel sponsored by the Arab League, and certain other countries, including complying with certain requests for information designed to verify compliance with the boycott. Compliance with such requests may be prohibited by the Export Administration Regulations (EAR) and may be reportable to the Bureau.

What do the Laws Prohibit?

Conduct that may be penalized under the TRA and/or prohibited under the EAR includes:

Agreements to refuse or actual refusal to do business with or in Israel or with blacklisted companies.
Agreements to discriminate or actual discrimination against other persons based on race, religion, sex, national origin or nationality.
Agreements to furnish or actual furnishing of information about business relationships with or in Israel or with blacklisted companies.
Agreements to furnish or actual furnishing of information about the race, religion, sex, or national origin of another person.
Implementing letters of credit containing prohibited boycott terms or conditions.

The TRA does not “prohibit” conduct, but denies tax benefits (”penalizes”) for certain types of boycott-related agreements.

https://www.bis.doc.gov/index.php/enforcement/oac/7-enforcement/578-examples-of-boycott-requests

Examples of Boycott Requests

Print
Following are recent examples of boycott requests that have been reported to the Office of Antiboycott Compliance. These examples are illustrative and not exhaustive. Companies should call our advice line (202) 482-2381 with questions concerning these or any request to comply with restrictive trade practices or boycotts...

Reportable boycott condition in an importer’s purchase order:

“Goods of Israeli origin not acceptable.”

Prohibited Condition in a Contract

“The Contractor shall comply in all respects with the requirements of the laws of the State of Bahrain relating to the boycott of Israel. Goods manufactured by companies blacklisted by the Arab Boycott of Israel Office may not be imported into the State of Bahrain and must not be supplied against this Contract. For information concerning the Boycott List, the Contractor can approach the nearest Arab Consulate.”

Prohibited Boycott Condition in a Questionnaire

“1. Do you have or ever have had a branch or main company, factory or assembly plant in Israel or have sold to an Israeli?”

“2. Do you have or ever have had general agencies or offices in Israel for your Middle Eastern or international operations?”

“3. Have you ever granted the right of using your name, trademarks royalty, patent, copyright or that of any of your subsidiaries to Israeli persons or firms?”

“4. Do you participate or ever participated or owned shares in an Israeli firm or business?”

“5. Do you render now or ever have rendered any consultative service or technical assistance to any Israeli firm or business?”

“6. Do you represent now or ever have represented any Israeli firm or business or abroad?”

“7. What companies in whose capital are your shareholders?” Please state the name and nationality of each company and the percentage of share of their total capital.”

“8. What companies or shareholders in your capital? Please state the name and nationality of each company and the percentage of share of their total capital.”

“N.B. The above questions should be answered on behalf of the company itself and all of its branch companies, if any.”

Prohibited Condition in a Contract

“Certificate issued by the manufacturer or exporter stating that the goods are not of Israeli origin, have not been exported from Israel, and do not contain any Israeli materials.”