Fried Frank provides counseling, compliance and enforcement advice on all aspects of anti-boycott rules and regulations. The Commerce Department’s Bureau of Industry and Security (BIS) and the Treasury Department’s Internal Revenue Service (IRS) administer separate regulatory regimes that discourage or prohibit cooperation with foreign economic boycotts that the United States does not support. The BIS regulations prohibit U.S. persons from participating in such boycotts, including providing information that might be used to further the boycott. While the IRS regulations do not prohibit any activity, they deny tax benefits for certain agreements in support of boycotts.
We advise companies on their anti-boycott obligations, especially related to activity by US companies and their foreign affiliates in the Middle East. Our counseling includes review of contracts, investments, and other commercial documents to ensure compliance with anti-boycott rules and reporting requirements.
The International Trade and Investment Practice works closely with our tax practice to provide effective counsel to a diverse group of clients.