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<DIV><FONT face=Arial>1.<SPAN style="mso-spacerun: yes"> </SPAN>What are
the export controls to which the above clause refers, and where can I find
details of them</FONT><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002> <FONT face=Arial color=#000000
size=3>?</FONT></SPAN></FONT></DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002></SPAN></FONT> </DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN class=545524614-07032002>As a
general matter the following may serve as an initial
pointer:</SPAN></FONT></DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002></SPAN></FONT> </DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN class=545524614-07032002>There
are several agencies that administer export-licensing/control programs.
Depending on the products and the intended countries of export, generally the
two most relevant agencies are the Office of Foreign Assets Control (“OFAC”), a
unit of the U.S. Treasury Department and the Bureau of Export Administration
(“BXA”), a unit of the U.S. Commerce Department.</SPAN></FONT></DIV><FONT><SPAN
class=545524614-07032002>
<DIV><BR><FONT face=Tahoma><FONT color=#0000ff><FONT size=2>OFAC enforces a
series of embargoes (codified at 31 C.F.R. Part 500 et seq.) that prohibit or
limit business activities in several countries, including Iran, Cuba, North
Korea, Libya, Iraq, Sierra Leone, Burma (Myanmar), Taliban (in Afganistan),
Sudan, Federal Republic of Yugoslavia (Serbia and Montenegro), and UNITA
(Angola). This list can and does change from time to time, based on U.S.
foreign policy considerations.<SPAN
class=545524614-07032002> </SPAN></FONT></FONT></FONT></DIV>
<DIV><FONT face=Tahoma><FONT color=#0000ff><FONT size=2><SPAN
class=545524614-07032002> </SPAN><SPAN
class=545524614-07032002> </SPAN></FONT></FONT></FONT><FONT
face=Tahoma><FONT color=#0000ff><FONT size=2><SPAN
class=545524614-07032002> </SPAN><BR>BXA administers the export control
rules contained in the Export Administration Regulations (“EAR”) (codified at 15
C.F.R. §§730-774). Under the EAR, an “export” of software or technical
data – actual or “deemed” – may sometimes require an export license from the
BXA. That legal determination usually revolves around two central
factors: (a) the nature or sensitivity of the software or technical data
and (b) the nationality of the recipient. The EAR may also bar exports to
certain parties based on the likely or actual end use (e.g., for development of
weapons of mass destruction) or to certain designated persons (e.g., terrorists,
narcotics traffickers, etc.).</FONT></FONT></FONT></SPAN></FONT></DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002></SPAN></FONT> </DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN class=545524614-07032002>A
word of warning - these are often very technical regulations and may require
significant review. However, it really depends on the type of software and
the recepient whether there is cause for concern.</SPAN></FONT></DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002></SPAN></FONT> </DIV>
<DIV><FONT face=Tahoma color=#0000ff size=2><SPAN
class=545524614-07032002>Mattias Hallendorff</SPAN></FONT></DIV></BODY></HTML>