BIS Issues Advisory Opinion concerning Transfers of Export Licenses

February 10, 2009

The Bureau of Industry and Security (BIS) has issued an advisory opinion reminding exporters that the transfer of an export license must be requested by the licensee.  Section 750.10 of the Export Administration Regulations (EAR) sets forth procedures concerning the transfer of export licenses when the ownership of the party/licensee changes due to mergers and acquisitions.  The notice reminds persons planning corporate mergers, transfers or acquisitions to consider whether any existing export licenses will need to be transferred.  Any request for transfer of an export license that is the result of a corporate transaction in which the licensee will cease to exist as a legal entity must be made prior to the licensee ceasing to exist.