International Trade: President Obama Sets Out Substantial Changes in Export Control System

On August 30, the White House issued a statement reporting that on August 31, President Obama would announce "a major step forward in the Administration’s efforts to fundamentally reform the export control system and will outline the foundation of our new export control system." According to the statement, the Administration's planned changes would address four areas:
(1) Export Control Lists. "[A]gencies will apply new criteria for determining what items need to be controlled and a common set of policies for determining when an export license is required," and the existing two control lists will be split into three tiers based on the extent to which the items provide a military or intelligence advantage to the United States and the availability of those items.
(2) Licensing Policies. Once a controlled item is placed into one of the three tiers, "a corresponding licensing policy will be assigned to it to focus agency reviews on the most sensitive items."
(3) Export Enforcement. The announcement states that plans to strengthen export enforcement will include the President's signing of an Executive Order today "establishing an Export Enforcement Coordination Center that will coordinate and strengthen the U.S. Government’s enforcement efforts – and eliminate gaps and duplication – across all relevant departments and agencies."
(4) Information Technology Systems. The statement noted that "the U.S. Government is transitioning to a single information technology (IT) system to administer its export control system."
The statement added that "[t]he Administration’s goal is to begin issuing proposed revisions to the control lists and licensing policies later this year."

Trade Regulation: ABA Files D.C. Circuit Brief on "Red Flags" Rule

On August 20, the American Bar Association filed its brief in the D.C. Court of Appeals in ABA v. Federal Trade Commission, No. 10-5057. The ABA, as appellee in the case, successfully challenged at the district court level the application of the FTC's so-called "red flags rule," which the brief states "imposes substantial obligations [on various entities] to detect, combat, and report signs of identity theft," to attorneys.

The D.C. Circuit 's briefing schedule set September 7 as the deadline for amicus curiae for the ABA's brief, and September 21 as the deadline for the FTC's reply brief. Oral argument has not yet been scheduled.

Veterans Benefits: VA Secretary Shinseki Announces Changes to Regulations for Agent Orange Claims

On August 30, Veterans Administration (VA) Eric Shinseki announced on the White House Blog that the VA is issuing a new regulation creating presumptions that there is a service connection between exposure to Agent Orange and three diseases: Parkinson’s disease, hairy cell and other chronic B-cell leukemia, and ischemic heart disease. In the announcement, Secretary Shinseki stated that Congress, the VA, and the Institute of Medicine had previously validated "some 12 diseases, which, to date, have been granted presumption of service connection for those exposed to Agent Orange." The new regulation stemmed from the Secretary's October 2009 determination, based on the requirements of the Agent Orange Act of 1991 and the Institute of Medicine’s report, “Veterans and Agent Orange: Update 2008,” "that the evidence provided was sufficient to support presumptions of service connection" for these three additional diseases.

The Secretary also stated that "[a]s many as 150,000 Veterans may submit Agent Orange claims in the next 12 to 18 months," and that the VA "will review approximately 90,000 previously denied claims from Vietnam Veterans for service connection for these three new diseases."

International Trade/Export: Commerce Secretary Announces 14 Proposals to Strengthen U.S. Trade Law Enforcement

On August 26, U.S. Secretary of Commerce Gary Locke announced 14 proposed measures – especially focused on illegal import practices from non-market economies - that, according to the Secretary, "will strengthen trade enforcement and help keep U.S companies competitive." The 14 measures, summarized in the release, are intended to help strengthen the administration of U.S. antidumping and countervailing duty laws.

Dispute Resolution/Environment: Gulf Coast Claims Facility Begins Receiving Claims Applications

On August 23, the Gulf Coast Claims Facility (GCCF), the independent fund administered by Kenneth Feinberg to handle the $20 billion being placed in escrow by BP PLC to address claims arising from the Deepwater Horizon oil spill, began to receive claims applications at its 35 facilities across the Gulf Coast. The GCCF website contains details about the application process, including eligibility to participate and instructions for filing online, by mail, or in person.

Antitrust/International Law: U.K. Office of Fair Trading Issues Draft Guidelines on Antitrust Investigative Process

On August 20, the United Kingdom Office of Fair Trading (OFT) issued a proposed guide to its antitrust investigation procedures under the Competition Act 1988 as a consultation paper. The OFT webpage on the paper states that the guide "is intended to give interested parties the opportunity to provide views and comments on the proposed new guidance." The OFT will accept responses to the paper by mail or email until November 12, 2010.

International Trade: U.S. Treasury Issues Iranian Financial Sanctions Regulations

On August 16, the U.S. Department of the Treasury issued the Iranian Financial Sanctions Regulations (IFSR) to implement subsections 104(c) and 104(d) of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (CISADA). According to Treasury, "CISADA requires the Secretary of the Treasury to issue regulations that prohibit, or impose strict conditions on, the opening or maintaining of a U.S. correspondent account or payable-through account for a foreign financial institution that the Secretary of the Treasury finds knowingly engages in the following activities:
"Facilitating the efforts of the Government of Iran (GOI) to acquire or develop weapons of mass destruction (WMD) or delivery systems for WMD or to provide support for terrorist organizations or acts of international terrorism;
"Facilitating the activities of a person subject to financial sanctions pursuant to United Nations Security Council Resolutions 1737, 1747, 1803, or 1929, or any other Security Council Resolution that imposes sanctions with respect to Iran;
"Engaging in money laundering, or facilitating efforts by the Central Bank of Iran or any other Iranian financial institution, to carry out either of the above; or
"Facilitating a significant transaction or transactions or providing significant financial services for Iran's Islamic Revolutionary Guard Corps (IRGC) or any of its agents or affiliates whose property or interests in property are blocked pursuant to the International Emergency Economic Powers Act (IEEPA) or a financial institution whose property or interests in property are blocked pursuant to IEEPA in connection with the GOI's proliferation of WMD or support for international terrorism."