UNILATERAL SANCTIONS REFORM LEGISLATION PROPOSED
By:
Preston Brown
David Baron
Washington, D.C.
Legislation has been introduced in Congress that is targeted at slowing the imposition of unilateral sanctions by the United States against other countries. The "Enhancement of Trade, Security, and Human Rights through Sanctions Reform Act" was introduced by Rep. Lee Hamilton (D.-Ind.) in the House of Representatives and by Sen. Richard Lugar (R-Ind.) in the Senate. The bill would establish guidelines to be considered before the imposition of unilateral sanctions. These guidelines are only suggested for legislatively imposed sanctions but would be mandatory for any future sanctions to be imposed by the executive branch, after the effective date of the legislation. The bill has been referred to relevant committees but no committee hearings have yet been scheduled.
The guidelines require greater consultation between the executive and legislative branches, increased reporting requirements, public hearings, provide for a 2-year sunset period for any new sanctions (subject to renewal), would exempt existing contracts or licenses from the reach of new sanctions and would compensate agricultural producers of commodities that would be significantly affected by the imposition of the sanctions program. Implementation of any new executive branch sanctions would automatically be delayed by 60 days. The President would have the ability to waive these requirements in the case of a national emergency.
The increased reporting requirements would include analyses of the potential impacts on humanitarian activities, relations with U.S. allies, the likely domestic and foreign economic affects of the proposed sanctions, whether similar multilateral measures have been or are likely to be adopted, U.S. obligations under international treaties or trade agreements, the likelihood that the proposed sanction will lead to retaliation against the U.S. and whether achievement of the objectives of the proposed sanction out-weighs any likely costs.
The bill defines a "unilateral economic sanction" as "any restriction or condition on foreign economic activity that is imposed by the United States for reasons of foreign policy or national security." The bill would not apply to (i) existing U.S. sanctions; (ii) multilateral export control regimes; (iii) measures taken against unfair foreign trade practices; (iv) the U.S. Munitions list; and (v) multilateral sanctions where U.S. allies have agreed to adopt "substantially equivalent measures." It is unclear whether the bill will apply to the renewal of existing U.S. sanctions programs.
