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Protecting Americans from Litigation Related to US Sanctions Compliance

This Act aims to shield US persons and entities from foreign judgments or arbitral awards resulting from actions taken to comply with US sanctions or export controls. Essentially, if a US company breaches a contract due to US sanctions, a foreign entity cannot enforce a resulting foreign judgment in US federal or state courts. This ensures that compliance with US law does not lead to financial penalties via foreign rulings.
Key points
Limits the enforcement in the US of foreign judgments or arbitral awards if the underlying claim arose from actions taken to comply with US sanctions.
Defendants in such enforcement actions can remove the case to a US district court, which is mandated to dismiss the action.
The law does not limit the rights of victims of international terrorism or other contractual claims where parties agreed to resolve disputes in US courts or arbitration.
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Introduced
Citizen Poll
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Additional Information
Print number: 119_S_2934
Sponsor: Sen. Cornyn, John [R-TX]
Process start date: 2025-09-29