US Commerce Department Implements Inflationary Adjustments to Civil Monetary Penalties
Pursuant to the Federal Civil Penalties Inflation Adjustment Act of 1990, as amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, the US Commerce Department announced its annual inflationary adjustments to the maximum civil monetary penalties under its jurisdiction. These include, among others, civil monetary penalties issued under the Export Administration Regulations (EAR), enforced under the International Emergency Economic Powers Act (IEEPA), the Census Bureau’s Collection of Foreign Trade Statistics law and the International Trade Administration’s Foreign Trade Zone law. Effective 15 January 2018, violations of the EAR are subject to a maximum civil monetary penalty of US$295,141, up from US$289,238. The new maximum civil monetary penalty amounts apply only to penalties assessed by the US Department of Commerce after 15 January 2018, including where the associated violation predates the adjustment.