Common use of OFAC Compliance Clause in Contracts

OFAC Compliance. The Office of Foreign Assets Control (OFAC) prohibits US persons from entering into transactions with individuals, groups, and entities, such as terrorists, narcotics traffickers and those engage in activities related to the proliferation of weapons of mass destruction, collectively referred to as Specially Designated Nationals (“SDN”). If the name of Vendor or any individual in a management position with Vendor is discovered on the SDN list, published by OFAC, such discovery shall constitute a material breach of this Contract. Contracting Party shall promptly notify Vendor, which shall have three (3) days in which to provide to Contracting Party clear and convincing evidence that (a) neither Vendor nor any individual in a management position with Vendor is an SDN, (b) the transaction is authorized by OFAC or (c) a statutory exemption exists that permits Contracting Party to do business with Vendor. Should Vendor fail to do so, then Contracting Party shall terminate this Contract for cause without further notice or grace period.

OFAC Compliance. The Office of Foreign Assets Control (OFAC) prohibits US persons from entering into transactions with individuals, groups, and entities, such as terrorists, narcotics traffickers and those engage in activities related to the proliferation of weapons of mass destruction, collectively referred to as Specially Designated Nationals (“SDN”). If the name of Vendor Contractor or any individual in a management position with Vendor Contractor is discovered on the SDN SND list, published by OFAC, such discovery shall constitute a material breach of this Contract. Contracting Party shall promptly notify VendorContractor, which shall have three (3) days in which to provide to Contracting Party clear and convincing evidence that (a) neither Vendor Contractor nor any individual in a management position with Vendor Contractor is an SDNSND, (b) the transaction is authorized by OFAC or (c) a statutory exemption exists that permits Contracting Party to do business with VendorContractor. Should Vendor Contractor fail to do so, then Contracting Party shall terminate this Contract for cause without further notice or grace period.

OFAC Compliance. The Office of Foreign Assets Control (OFAC) prohibits US persons from entering into transactions with individuals, groups, and entities, such as terrorists, narcotics traffickers and those engage in activities related to the proliferation of weapons of mass destruction, collectively referred to as Specially Designated Nationals (“SDN”). If the name of Vendor the Consultant or any individual in a management position with Vendor Consultant is discovered on the SDN SND list, published by OFAC, such discovery shall constitute a material breach of this Contract. Contracting Party shall promptly notify VendorConsultant, which shall have three (3) days in which to provide to Contracting Party clear and convincing evidence that (a) neither Vendor Consultant nor any individual in a management position with Vendor Consultant is an SDNSND, (b) the transaction is authorized by OFAC or (c) a statutory exemption exists that permits Contracting Party to do business with Vendor. Should Vendor fail to do so, then Contracting Party shall terminate this Contract for cause without further notice or grace period. Consultant shall include this provision in any subcontracts or subordinate agreements it enters into with respect to this Agreement.