Engaging in transactions that are otherwise prohibited by international sanctions regimes is a severe violation of the law. However, in very limited and specific circumstances, a government may grant formal permission to proceed. This authorization, known as a specific license, is granted on a case-by-case basis following a complex, evidence-based legal application to the relevant competent authority (such as the US Treasury's OFAC, the UK's OFSI, or an EU Member State). Legal Sandbox Georgia provides specialized legal representation to navigate this high-stakes process, from initial viability assessment to final regulator determination, ensuring your actions remain fully compliant.
Advising on License Applications and Exemptions
Before an application is filed, a formal legal assessment is essential to determine its viability. We conduct a deep analysis of your proposed transaction against the distinct and nuanced legal frameworks of the EU, UK (OFSI), and US (OFAC) regimes. We identify the precise, narrow legal basis or statutory exemption under which an application could be made—such as pre-existing contracts, humanitarian provisions, the provision of legal services, or divestment. We provide a formal legal opinion on the probability of success, managing expectations and ensuring that any application submitted is built on a sound, defensible legal foundation, thereby avoiding frivolous submissions that can damage corporate credibility.
Preparing and Submitting Applications for Specific and General Licenses
While general licenses are broad authorizations issued by a government to a class of persons, a specific license is a bespoke authorization for your entity alone. Preparing this application is a meticulous legal exercise. We manage the entire lifecycle of the submission, which involves gathering, organizing, and presenting all necessary supporting documentation (e.g., contracts, invoices, bank details, shipping manifests). We then draft the core legal argument, articulating with precision why the transaction meets the high statutory threshold for an exemption. We handle the formal submission through the correct government portals, ensuring every detail is accurate, as minor errors or omissions will result in significant delays or outright rejection.
Correspondence with Competent Authorities
Submitting the application is the first step in a protracted dialogue. Competent authorities like OFAC or OFSI will almost invariably respond with detailed supplemental questions or Requests for Information (RFIs). They will scrutinize your application and probe for further details on ownership, transactional flow, and the true parties in interest. Our role is to act as your formal legal counsel in all subsequent communications. We receive these inquiries, analyze their legal intent, assist you in gathering the responsive information, and draft the formal, precise legal replies required to satisfy the regulator and advance your case toward a final determination.
Guidance on Humanitarian Exemptions and Wind-Down Transactions
These are two of the most common, yet complex, areas of licensing. We provide specialized counsel on humanitarian exemptions, which have their own specific legal channels and require robust due diligence to ensure that authorized goods (like food or medicine) are not diverted and that the payment channels are fully compliant. For wind-down transactions, we assist clients who hold pre-existing, non-sanctioned contracts with an entity that has just been designated. We prepare license applications to authorize the limited, necessary transactions (such as receiving a final payment or completing a final delivery) required to exit the business relationship in an orderly and compliant manner within a specified timeframe.
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