OFAC Requirements Clause

Summary

This Office of Foreign Assets Control (OFAC) requirements clause is for use in an international sale of goods contract wherein the buyer represents that it will not transfer products or technology in violation of U.S. export or sanctions laws, and that the transaction itself is not in violation of U.S. export or sanctions laws. This template includes practical guidance and drafting notes. OFAC regulations are set forth in Chapter V of Title 31 of the Code of Federal Regulations (at 31 C.F.R. § 501.101 et seq.). The sanctions programs target specific countries, groups, individuals, and activities. In this clause, the buyer ensures compliance with the regulations. For a full listing of related contract clauses, see General Commercial Contract Clause Resource Kit. For additional information on OFAC regulations, see OFAC Regulations Fundamentals, OFAC Violation Responses, and OFAC Violation Response Checklist.