Sec. 4. Addressing information and communications technology products and services holdings that pose undue or unacceptable risk
501 words·~2 min read·
/bill/118/s/686/is/section-4·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Secretary shall identify and refer to the President any covered holding that the Secretary determines, in consultation with the relevant executive department and agency heads, poses an undue or unacceptable risk to the national security of the United States or the security and safety of United States persons. The Secretary shall, by regulation, establish procedures by which the Secretary, in consultation with the relevant executive department and agency heads, shall— conduct reviews of holdings to determine if such holdings constitute covered holdings that pose an undue or unacceptable risk under subsection (a); and refer to the President covered holdings that are determined under subsection
(a)to pose an undue or unacceptable risk. At any time preceding the issuance of regulations or establishment of procedures under subparagraph (1), the Secretary may identify and refer to the President a holding determined to be a covered holding under subsection
(a)for action by the President pursuant to subsection
(c)if the Secretary, in the sole and unreviewable discretion of the Secretary, determines that such referral would be in the interest of national security. Subchapter II of chapter 5, and chapter 7, of title 5, United States Code (commonly known as the Administrative Procedure Act ) shall not apply to any referral by the Secretary to the President of a covered holding. Subject to section 13, with respect to any covered holding referred to the President under subsection (a), if the President determines that the covered holding poses an undue or unacceptable risk to the national security of the United States or the security and safety of United States persons, the President may take such action as the President considers appropriate to compel divestment of, or otherwise mitigate the risk associated with, such covered holding to the full extent the covered holding is subject to the jurisdiction of the United States, with respect to— the United States operations, assets, or property of the entity in which the covered holding is held, or of any products or services owned, controlled, designed, developed, manufactured, or supplied by the entity are used in the United States; any tangible or intangible assets, wherever located, are used to support or enable use of the product or software of the entity in the United States; and any data obtained or derived from use of the product or software of the entity in the United States. The authority to compel divestment of a covered holding under paragraph
(1)may only be exercised by the President and may not be delegated to any other individual, except as described in paragraph (4). If the President determines that action is required pursuant to paragraph (1), the President shall announce the decision not later than 30 days after the date on which the Secretary refers the covered holding to the President pursuant to subsection (a). The President may direct the Attorney General to seek appropriate relief, including divestment relief, in the district courts of the United States in order to implement and enforce this subsection.