BHL Bogen

BHL Bogen
BridgehouseLaw LLP - Your Business Law Firm

Thursday, April 24, 2025

Tariff-ied Yet? Here’s What Global Companies Can Do About the New Tariff Policies


If the latest wave of global tariffs has your company on edge, you’re not alone. From steel to semiconductors, tariffs are back in the spotlight as countries around the world tighten trade rules in response to shifting geopolitical landscapes, supply chain vulnerabilities, and economic recalibrations. While the headlines may feel daunting, this isn’t the time to panic—it’s time to plan.


What’s New in Tariff Land?

Governments across the globe are rolling out new tariff measures at a pace not seen in years. Recent moves include:

• The United States increasing tariffs on key imports from strategic competitors, including high-tech goods, electric vehicles, and critical minerals.

• The European Union responded with targeted duties of its own, particularly in the green energy and digital services sectors.

• China and other Asian economies reconfiguring their export strategies, resulting in shifts in regional trade agreements and preferential tariff schemes.


While these measures are framed as national security or economic sovereignty strategies, their effects ripple through global supply chains, impacting pricing, sourcing, and investment decisions for multinational companies.


Who’s Feeling the Pinch?

Industries feeling the impact range from tech and manufacturing to agriculture and consumer goods. Companies that rely heavily on cross-border supply chains are particularly vulnerable—especially those without diversified sourcing strategies or up-to-date compliance frameworks.


Even businesses that aren’t directly importing or exporting affected goods can feel the consequences through rising costs, delays, or the need to reconfigure vendor relationships.


What Can Companies Do?

The good news? There’s a lot you can do. Here are key steps companies should consider:

1. Audit Your Supply Chain

Start with a comprehensive audit of your current supply chain. Identify where your critical inputs originate, where tariffs apply, and which vendors might be most at risk. Mapping your exposure is essential before making strategic changes.

2. Plan for Strategic Reshoring or Nearshoring

Some companies are rethinking their global footprints entirely. While reshoring (bringing production back home) or nearshoring (moving operations to neighboring countries) is a long-term strategy, planning now can provide a competitive edge later.


The world of tariffs is changing fast, but you don’t have to face it alone. Whether you’re a manufacturer assessing exposure, a retailer looking to diversify sourcing, or a tech company navigating export controls, we’re here to help you navigate today’s trade terrain with confidence.


Zinyah Robinson, Law Clerk, BridgehouseLaw Charlotte

photo: iStock

Wednesday, April 23, 2025

U.S. Sanctions Compliance: What Italian Businesses Must Know

As part of our ongoing effort to support our international clients operating across borders, we’re highlighting a topic of growing importance: U.S. economic sanctions and their impact on Italian businesses.



As global commerce becomes increasingly interconnected, Italian businesses — whether in finance, manufacturing, energy, or tech — are more likely than ever to find themselves subject to the reach of U.S. sanctions. While many Italian companies assume that U.S. laws do not apply to their operations unless they have a physical presence in the United States, the long arm of U.S. sanctions law says otherwise.


Let's explore how U.S. sanctions can impact Italian companies and the legal steps international clients can take to ensure compliance and avoid costly enforcement actions.


     I.        Why U.S. Sanctions Matter to Italian Firms

The U.S. Treasury’s Office of Foreign Assets Control (OFAC), enforces economic and trade sanctions based on U.S. foreign policy and national security goals. These sanctions target countries (e.g., Russia, Iran, North Korea), individuals, entities, and even sectors (like energy or defense tech). The sanctions are enforced against a broad list of countries, individuals, and business sectors. Even if a transaction involves non-U.S. parties, Italian companies may still fall under OFAC jurisdiction if:

  • The transaction is in U.S. dollars;
  • A U.S. person or entity is involved (even indirectly);
  • The product includes U.S.-origin components, software, or IP;
  • Funds transit the U.S. financial system, even momentarily.

In short, proximity to the U.S. — not just physical presence — triggers legal risk.


Last, even without a U.S. branch or office, Italian companies can fall under U.S. jurisdiction — sometimes inadvertently.


   II.        Real-World Risk Scenarios

Several common international business scenarios have drawn OFAC’s scrutiny, including:

  • Exporting to a third country that resells to a sanctioned region (e.g., Russia, Iran);
  • Joint ventures or partnerships with U.S. investors or advisors;
  • International wire transfers that route through U.S. banks (especially in USD);
  • Use of cloud-based services or software developed in the U.S.


Continuing, other common scenarios that trigger risk:

  1. Using U.S. Dollars in Transactions
  2. Most global trade is denominated in U.S. dollars, and dollar transactions typically pass through U.S. banks. This alone can give OFAC jurisdiction over a deal between two non-U.S. entities.
  3. Supplying U.S.-Origin Goods to a Sanctioned Market
  4. Italian exporters who re-export goods or software that include U.S. content (like microchips, cloud services, or machinery) must comply with U.S. export controls. Even low percentages of U.S. tech in a product can trigger restrictions.
  5. Banking Exposure
  6. Italian financial institutions that process international wire transfers may be caught between European neutrality and U.S. restrictions. For instance, EU companies working with Iranian clients under INSTEX structures have still faced de-risking by U.S.-exposed banks.
  7. Joint Ventures with U.S. Entities
  8. Any cross-border venture that involves a U.S. shareholder, partner, or financier requires sanctions screening and compliance due diligence.

 

  III.        Enforcement is Real — and Expensive

In recent years, OFAC has pursued enforcement actions not only against American companies but against foreign firms as well. European banks, shipping companies, and logistics providers have all faced multimillion-dollar penalties for violating sanctions — sometimes due to a single transaction. Even when not fined, companies found to be in breach can be “blacklisted,” face frozen assets or lose access to U.S. financial services — a near-death sentence for many international businesses.


  IV.        What You Can Do Now

To protect your business and maintain compliance, we recommend the following proactive steps:

  1. Screen All Counterparties: Regularly check business partners — and their ownership structures — against OFAC’s Specially Designated Nationals (SDN) list.
  2. Understand Your Supply Chain: Determine whether any U.S. content or technology is embedded in your goods or software.
  3. Assess Financial Flows: Trace how payments move. Transactions in U.S. dollars or routed through the U.S. may trigger sanctions compliance obligations.
  4. Develop an Internal Compliance Program: Establish protocols, employee training, and documentation practices that align with OFAC expectations.
  5. Monitor Regulatory Changes/Stay Updated: Sanctions policies evolve rapidly, with legal counsel, monitoring changes related to especially politically sensitive areas like Russia, China, and the Middle East.
  6. Engage U.S. Legal Counsel Early: When in doubt, seek advice before entering into contracts or transactions with potential exposure.
  7. Know Your Customer (and Their Customers): Implement robust due diligence and screening for all counterparties, including subsidiaries and beneficial owners. This includes checking against OFAC’s SDN (Specially Designated Nationals) list.
  8. Stay Updated: Sanctions lists and rules change quickly, especially in times of geopolitical conflict.

 

   V.        Conclusion

Last, for Italian exporters and financial institutions, ignorance is no longer an excuse. U.S. sanctions law has a global reach — and the cost of noncompliance can be severe. With proper diligence, screening, and legal advice, Italian companies can stay protected while continuing to do business in a complex international landscape.


Final Thought

At BridgeHouseLaw Firm, we help Italian clients navigate the intersection of U.S. law and international trade with clarity, strategy, and confidence. If your business is involved in cross-border deals, exports, or investment transactions that may touch U.S. systems or laws, we encourage you to contact our International Compliance Team for a confidential consultation.


Salvatore internicola, Law Clerk, BridgehouseLaw LLP, Charlotte, NC

image: UK ETA app

Thursday, April 10, 2025

Environmental Law in South Africa: Protecting the Nation’s Natural Resources


Environmental law in South Africa plays a crucial role in safeguarding the country’s diverse ecosystems, ensuring sustainable development, and addressing the impacts of climate change. With its rich biodiversity, South Africa faces unique challenges in balancing economic growth with environmental conservation. The country’s legal framework is grounded in the Constitution, which enshrines the right to an environment that is not harmful to health and well-being.


The cornerstone of South Africa’s environmental law is the National Environmental Management Act (NEMA), which establishes principles for sustainable environmental management and guides the formulation of policies and regulations. NEMA emphasizes the need for integrated environmental management and public participation in decision-making processes, ensuring that environmental considerations are central to all development activities.


South Africa’s environmental law also includes a variety of other pieces of legislation aimed at protecting specific aspects of the environment. The Conservation of Agricultural Resources Act (CARA) focuses on land conservation and preventing the degradation of agricultural resources. The National Water Act governs the country’s water resources, aiming to ensure their sustainable use and equitable distribution, while the Biodiversity Act addresses the protection of South Africa's rich plant and animal species.


In addition to national legislation, South Africa is a signatory to several international agreements, such as the Paris Agreement on climate change, which influences domestic environmental policies and actions. The country’s commitment to sustainable development is further evident in its participation in the United Nations Sustainable Development Goals(SDGs), particularly those related to environmental protection.


Despite these robust legal frameworks, challenges remain, including enforcement, illegal activities such as poaching and mining, and balancing economic interests with environmental preservation. However, South Africa continues to make strides toward creating a more sustainable and environmentally conscious
society.


Crystal McBride, Attorney, BridgehouseLaw LLP, Charlotte, NC

Tuesday, April 08, 2025

2025 UK ETA Requirements: What Travelers Need to Know

In 2025, the United Kingdom will fully implement the Electronic Travel Authorisation (ETA) system, a new travel authorization for visitors from visa-exempt countries. This system aims to streamline the entry process, enhance border security, and improve overall immigration management. The UK ETA will be required for all eligible travelers, making it a vital step for those planning to visit the UK.


The UK ETA is mandatory for citizens of countries that currently enjoy visa-free travel to the UK for short visits, typically up to six months. These travelers will need to apply for the ETA before their journey. The application process is entirely online and relatively simple: applicants must provide personal details, travel information, and answer a few questions regarding the purpose of their visit. The system is designed to approve most applications quickly, with decisions often made within minutes. However, travelers are encouraged to apply at least 72 hours in advance of their travel.



One key aspect of the 2025 UK ETA is its digital nature. There are no physical documents or stamps; the authorization is electronically linked to the traveler’s passport. It will be required for air, sea, and rail travelers, ensuring greater security and efficiency at UK border crossings.


Travelers must meet certain eligibility criteria to apply for the UK ETA. The application is available to individuals from countries such as the United States, Canada, Australia, and Japan, who do not need a full visa for short stays. However, the ETA is not for those planning to stay for work, study, or longer periods—those individuals will still need to apply for a specific visa.


As the UK ETA system rolls out, travelers planning visits in 2025 must ensure they comply with these new entry requirements to avoid complications at the border.


Travelers can find the UK ETA app in Google Play and Apple App Store.

 

Crystal McBride, Attorney, BridgehouseLaw LLP, Charlotte, NC

Tuesday, April 01, 2025

April Fools' Day in Crisis

 
april-fools-day-lettering-illustration_603843-1149 image

The origins of April Fools' Day can be traced back to the 16th century when France switched from the Julian to the Gregorian calendar in 1582. People who continued to use the old calendar and still celebrated the new year at the end of March or the beginning of April were mocked by those who had already adopted the new calendar. These “April fools” were tricked with pranks and jokes. This tradition has continued to this day, and April 1st has become a day where humorous pranks and surprises take center stage worldwide.


But while April Fools' Day used to be considered light-hearted fun, today it seems to be in crisis. The reason is that more and more people take pranks and jokes far too seriously and quickly feel offended. A harmless prank is no longer seen as a humorous surprise but as a personal insult or attack. 


The reasons for this are obvious: when misunderstandings and tensions are rife, people are often more susceptible to anything they perceive as unfavorable. April 1st, which initially stood for lightness and humor, is increasingly perceived as inappropriate, especially when the fun comes at the expense of others. Jokes that were once considered harmless can now be perceived as disrespectful or hurtful.


But this is precisely where the opportunity lies: April Fools' Day jokes should not force us into the victim role but encourage us to laugh at ourselves and not lose our sense of humor. After all, humor is an essential tool for dealing with life's stressful and difficult moments. If you can laugh at yourself, you don't take everyday life quite so seriously and can face difficult times with a smile.


It's perfectly fine not to find a joke funny, but it's just as important to find the humor in minor, harmless pranks. Instead of immediately feeling offended, we could learn to see the joke for what it is - a little break from the stresses of everyday life and an invitation not to take ourselves too seriously.


So, let's use April 1st to bring humor back to the forefront and not immediately get defensive. It's okay to fall for a harmless joke - sometimes, it helps to laugh at yourself and enjoy the moment because a bit of humor is good for all of us, especially in difficult times.


Moritz von Lengerke, Referendar, BridgehouseLaw Charlotte