Foreign trade law and investment control

Foreign trade law plays a crucial role in global trade, particularly in light of increasing geopolitical tensions and the resulting tightening of national and international regulations. As a result, many of our clients face challenges in cross-border transactions. We provide practical advice on foreign trade and customs law, taking into account both legal and political factors. We can also draw on a global network of international cooperation partners.

Export Control, Embargoes, and Sanctions

Certain goods, technologies and services are subject to general export restrictions (e.g. licensing requirements or export bans) for security reasons. Such restrictions may also result specifically from embargoes and sanctions (e.g. against Russia, Belarus and Iran). In addition, there are financial sanctions directed specifically at individuals, companies or other economic actors. We advise our clients on all aspects of export control, embargo and sanctions law, including:

Import and export bans (e.g. for goods and technologies)
Existing embargoes (e.g. Russia embargo)
Licensing requirements (e.g. for dual-use goods)
Supply bans (e.g. for services)
Checking against sanctions lists
Drafting contracts in compliance with export control and sanctions laws

Customs law also plays a central role in this context. Customs controls, regulates and monitors the global flow of goods to ensure compliance with national and international trade regulations. Our team of experienced lawyers and tax advisors covers all aspects of this area.

Reporting requirements for capital and payment transactions

Foreign trade law contains a large number of reporting requirements for capital and payment transactions with a foreign connection, which must be fulfilled regularly to the Deutsche Bundesbank. In particular, we advise on:

Foreign trade inventory reports (e.g. K3 report)
Foreign trade payment notifications (e.g. Z4 notification)
the preparation of process manuals and company guidelines
Optimisation of internal reporting processes

Foreign trade law compliance

A robust compliance structure is indispensable in foreign trade law in order to avoid violations. We advise our clients on all foreign trade law issues relating to compliance systems, in particular:

on foreign trade law risk analysis
on the introduction of new compliance systems under foreign trade law
on the review of existing foreign trade compliance systems
on the preparation of process manuals, company guidelines and guidelines

Official proceedings and foreign trade criminal law

Breaches of foreign trade law can result in significant penalties, including fines and imprisonment. In such cases, we are available to assist our clients in dealing with the offences. We also represent our clients in regulatory proceedings, drawing on our network of experienced criminal defence lawyers. In the area of foreign economic offences, we advise in particular on:

penalty proceedings (e.g. before the main customs office)
administrative proceedings (e.g. before the BAFA)
Foreign trade audits
Voluntary declarations of immunity from prosecution and disclosure of criminal offences
to avoid personal sanctions (e.g. concerning the management)
Avoidance of company sanctions (e.g. entry in the central commercial register, refusal of foreign trade/customs licences)

Investment control and corporate transactions

With the increase in strategic takeovers by foreign investors, the number of investment control procedures has also risen sharply. Investment control itself has also been repeatedly tightened in recent years. We advise international companies in all sectors on investment control and corporate transactions, in particular:

on the requirement to conduct investment control proceedings
on reporting obligations under investment control law
applying for clearance certificates from the Ministry of Economic Affairs
applying for approvals from the Ministry of Economic Affairs
for representation and communication with the Ministry of Economic Affairs
for due diligence under foreign trade law

Drafting foreign trade contracts

Contractual agreements in the context of foreign trade must take foreign trade law risks into account. In some cases, companies are even obliged to agree contractual regulations with their business partners. Contractual safeguards are therefore essential in order to fulfil their own due diligence obligations. We advise companies on the drafting of foreign trade law contracts, in particular:

on export control clauses
on the contractual protection of embargoes and sanctions
on general terms and conditions and AEB under foreign trade law
on declarations of commitment under foreign trade law
on confirmations under foreign trade law