Sec. 9502. Prohibition on assistance to governments that expropriate United States property
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/bill/113/hr/1793/ih/section-9502·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
No foreign assistance may be provided to a foreign government which the Secretary determines has— on or after January 1, 1962— nationalized or expropriated or seized ownership or control of property owned by any United States citizen or by any corporation, partnership, or association not less than 50 percent beneficially owned by United States citizens; taken steps to repudiate or nullify existing contracts or agreements with any United States citizen or any corporation, partnership, or association not less than 50 percent beneficially owned by United States citizens; or imposed or enforced discriminatory taxes or other exactions, or restrictive maintenance or operational conditions, or has taken other actions, which have the effect of nationalizing, expropriating, or otherwise seizing ownership or control of property so owned; and failed within a reasonable time to take appropriate steps, which may include arbitration, to— discharge its obligations under international law toward such citizen or entity, including speedy compensation for such property in convertible foreign exchange, equivalent to the full value thereof, as required by international law; or provide relief from such taxes, exactions, or conditions, as the case may be.
For the purposes of subsection (a)(2), the term reasonable time means— not more than six months after an action described in subsection (a)(1); or in the event of a referral to the Foreign Claims Settlement Commission of the United States, not more than twenty days after the report of the Commission is received. A determination of the Secretary under subsection
(a)shall remain in effect until rescinded. A determination of the Secretary under subsection
(a)with respect to a foreign government shall not be rescinded unless the President submits to the appropriate congressional committees a report certifying that the government has taken appropriate steps to— discharge its obligations under international law toward such citizen or entity; or provide relief from the taxes, exactions, or conditions, as the case may be. A determination made under subsection
(a)or a report submitted under subsection
(d)shall be published in the Federal Register and made available on the Internet website of the Department of State. The Secretary shall include in the annual report required by section 8302 (relating to congressional budget justification) a list of foreign governments for which determinations under subsection
(a)are currently in effect. Assistance prohibited by subsection
(a)may be provided to a foreign government described in that subsection if, at least 15 days before providing assistance, the President submits to the appropriate congressional committees— a certification that such a waiver is important to the national interests of the United States; and a report describing— the type and amount of assistance to be provided pursuant to the waiver; the justification for such waiver; and the time period for which such waiver will be effective. Upon request of the President (within 70 days after an action referred to in subsection (a)(1)), the Foreign Claims Settlement Commission of the United States (established pursuant to Reorganization Plan No. 1 of 1954, 68 Stat. 1279) is hereby authorized to evaluate expropriated property, determining the full value of any property nationalized, expropriated, or seized, or subject to discriminatory or other actions as aforesaid, for purposes of this section and to render an advisory report to the President within 90 days after such request. Unless authorized by the President, the Commission shall not publish its advisory report except to the citizen or entity owning such property. There is authorized to be appropriated such amounts, to remain available until expended, as may be necessary from time to time to enable the Commission to carry out expeditiously its functions under this subsection. Notwithstanding any other provision of law, no court in the United States shall decline on the ground of the Federal act of state doctrine to make a determination on the merits giving effect to the principles of international law in a case in which claim of title or other right to property is asserted by any party, including a foreign state (or a party claiming through such state), based upon (or traced through) a confiscation or other taking after January 1, 1959, by an act of that state in violation of the principles of international law, including the principles of compensation and the other standards set out in this section. This subsection shall not be applicable— in any case in which an act of a foreign state is not contrary to international law or with respect to a claim of title or other right to property acquired pursuant to an irrevocable letter of credit of not more than 180 days duration issued in good faith prior to the time of the confiscation or other taking; or in any case with respect to which the President determines that application of the act of state doctrine is required in that particular case by the foreign policy interests of the United States and a suggestion to this effect is filed on the President’s behalf in that case with the court.
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- 68 Stat. 1279
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Sec. 9502
Prohibition on assistance to governments that expropriate United States property
Stat.68 Stat. 1279
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