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U.S. SANCTIONS ON RUSSIA

by | May 19, 2022 | Blog

The United States has imposed sanctions on certain Russian individuals, companies and banks which prohibit U.S. persons from conducting business with them; placed an embargo on the Donetsk People’s Republic and Luhansk People’s Republic; restricted certain debt and equity transactions; and, imposed various export controls.  Marks & Sokolov attorneys are well positioned to provide advice and guidance regarding sanction issues.

  • Specially Designated Nationals and Blocked Persons (SDN): The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has designated numerous Russian individuals, companies and banks as SDNs. Under U.S. sanctions, U.S. persons are prohibited from engaging in any transactions with an SDN. Marks & Sokolov attorneys can advise regarding the scope of sanctions; what is not subject to U.S. sanctions; and potential removal of an SDN designation. 
  • Blocked Russian Banks: Russian banks such as VTB Bank PJSC, State Corporation Bank for Development and Foreign Economic Affairs Vnesheconombank, Promsvyazbank PJSC and affiliates; PJSC Bank Financial Corporation Otkritie and subsidiaries; Sovcombank OJSC and subsidiaries; and JSNovikombank have been added to the SDN list. OFAC has issued certain general licenses regarding continued dealings by U.S. persons with these entities.  Certain restrictions have also been placed upon Sberbank. 
  • Cancellation and Unwinding of Contracts: S. companies have cancelled numerous contracts with Russian companies. Marks & Sokolov attorneys are highly experienced regarding international contract termination and breach of contract issues. 
  • Dispute Resolution Under Sanction Restrictions: Disputes between sanctioned entities and western entities may proceed under certain circumstances. Marks & Sokolov attorneys have previously obtained OFAC licenses in order to represent sanctioned entities in litigation matters. 
  • Compliance: Marks & Sokolov attorneys can provide compliance checks and advice to Russian companies. 
  • 28 U.S.C. §1782 Discovery: The U.S. allows participants in pending and future foreign proceedings to obtain documents and testimony from sources located in the U.S., for use in their home proceedings. Our attorneys are very experienced in obtaining and defending against discovery for use in foreign proceedings.

Thomas C. Sullivan is an attorney in the Philadelphia office of Marks & Sokolov LLC. Mr. Sullivan represents Western, Russian and Ukrainian clients in complex commercial disputes including civil RICO, securities fraud, Foreign Corrupt Practices Act, Convention on the International Sale of Goods and ICC Arbitration matters.  He has litigated numerous Section 1782 discovery matters throughout the United States and was recently published in Obtaining U.S. Discovery For Use In Non-U.S. Tribunals Pursuant To 28 U.S.C. § 1782 (Chapter 7), Juris Publishing, LLC, 2020.

 

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Marks & Sokolov, LLC                                            OOO Marks & Sokolov
1835 Market Street, 17th Fl.                                   21/5 Kuznetsky Most, Entrance 1, Suite 612
Philadelphia, PA,19103                                           Moscow, 107996, Russia
Phone: (215) 569-8901                                           Tel: +7 (495) 626-0606
Tsullivan@mslegal.com