Export Administration Regulations (EAR)

Export Administration Regulations (EAR) are the Commerce Department rules, now issued under the Export Control Reform Act of 2018, that control exports, reexports and transfers of commercial and dual-use items, software and technology.

1979, under ECRA since 2018 US federal Enforced by BIS 15 CFR parts 730 to 774

What it requires

Exporters must classify items on the Commerce Control List or as EAR99, check destinations, end users and end uses, screen parties against the Entity List and other lists, and obtain licenses where required. Electronic Export Information must be filed in AES for most shipments over $2,500 per Schedule B number and for all licensed exports. Civil penalties can exceed $370,000 per violation or twice the transaction value, and criminal penalties reach $1 million and 20 years in prison.

Why it matters

Export controls apply to fulfillment operators shipping abroad, not just manufacturers, because shipping an item to a restricted party is a violation even when the 3PL only processed a client's order. An online seller of drones, thermal cameras or some encryption products can need a license for certain destinations, and shipments to embargoed regions such as Crimea are prohibited. Operators should screen every international order against restricted party lists and keep export records for five years.

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Not legal advice.