regulated as a straight export. If the exporter would need to modify or otherwise work with the exported data, however, that would still be a technical service requiring a Technical Assistance Agreement. ï‚· The rulemakings would define what is meant by "peculiarly responsible" where that term is used as part of a technical data export classification. ï‚· The changes would clarify the requirement that, prior to disseminating ITAR-controlled technical data into the public domain, there is an absolute requirement to receive authorization from the government. This codifies existing practice. However, State has clarified that the dissemination of ITAR-controlled technical data already in the public domain is not a violation, unless the party had actual knowledge that the data is not properly in the public domain. ï‚· The Commerce Department is proposing to codify its 2013 published policy, which corresponds to existing provisions of the ITAR, to exclude from re-export controls transfers of technology to third-country nationals working outside the United States, if certain criteria are met.

The Commerce Department also would include a definition of "substantive contacts" with the same meaning as it already has under the ITAR, when evaluating the third-country national's ties to his or her country of origin. ï‚· Both Departments are accepting comments until August 3, 2015, and have specifically requested industry comments regarding: 1) how adequately the proposed regulations address the technical aspects of data transmission and storage; 2) whether the proposed regulations mitigate unintended or unauthorized access to transmitted or stored data; 3) whether the proposed regulations would impose an undue financial or compliance burden. For further information, please contact: F. Amanda DeBusk, Partner +1 (202) 721-4790 amanda.debusk@hugheshubbard.com Melissa Duffy, Partner +1 (202) 721-4689 melissa.duffy@hugheshubbard.com Alan Kashdan, Counsel +1 (202) 721-4630 alan.kashdan@hugheshubbard.com International Trade and Customs Practice Group June 2015 Hughes Hubbard & Reed LLP One Battery Park Plaza | New York, New York 10004-1482 | +1 212-837-6000 Attorney advertising. Readers are advised that prior results do not guarantee a similar outcome. © 2015 Hughes Hubbard & Reed LLP .