Jurisdiction Basics

ITAR (International Traffic in Arms Regulations) controls defense articles and services listed on the United States Munitions List (USML). Items with military end-use or specifically designed for military application fall here. DDTC administers ITAR.

EAR (Export Administration Regulations) controls dual-use items and technologies on the Commerce Control List (CCL). BIS administers EAR. Items not on USML default to EAR unless specifically excluded.

When Each Applies

If the item or technical data appears on the USML categories (I-XXI), ITAR governs. If it is on the CCL or designated EAR99 (not listed), EAR governs. Many contractors assume anything defense-related is ITAR. That assumption fails frequently with electronics, software, or sensors that have civil applications.

The Deemed Export Problem

ITAR section 120.50 defines export to include release of technical data or defense services to a foreign person inside the United States. This is the deemed export rule. A foreign national employee (even green card holder) accessing controlled technical data without license constitutes an export violation.

EAR has a similar deemed export rule under 15 CFR 734.13, but the scope is narrower and licensing thresholds differ. HR teams rarely understand this distinction. They treat all foreign nationals the same and miss ITAR-specific restrictions.

Basic Screening Workflow Without Full-Time Counsel

  1. Determine jurisdiction first: USML or CCL/EAR99.
  2. For USML items, screen all employees and visitors against nationality using visa status and country of birth/origin.
  3. Restrict access to technical data until license or exemption is confirmed.
  4. Document access logs and training on export controls for covered personnel.
  5. Flag any new foreign national hires or transfers immediately for compliance review.

Implement this workflow before the first foreign engineer walks in the door. One missed deemed export can cost millions in fines and lost contracts.