The Unverified List and UVL statements

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1. What the Unverified List does

The Unverified List (UVL), supplement no. 6 to part 744 of the Export Administration Regulations (EAR), names, with their addresses, foreign persons subject to end-user controls based on criteria in section 744.15 (15 CFR 744.15(a)). Exports, reexports and in-country transfers subject to the EAR involving listed parties must follow the UVL statement rules. Those rules apply in addition to the rest of the EAR.

Other requirements also apply, including any license requirements, the record filing requirement in section 758.1(b)(8) and the license exception restrictions in section 740.2(a)(17) (15 CFR 744.15(a)). Under section 758.1(b)(8), Electronic Export Information (EEI) must be filed for all exports of tangible items where a listed person is a party, regardless of value or destination (15 CFR 758.1(b)(8)). For that rule the relevant parties are the intermediate consignee, ultimate consignee and end user, as section 748.5 defines them (15 CFR 748.5(d)-(f)). The Bureau of Industry and Security (BIS) will also consider a party to the export transaction being on the UVL as a ground for denying postdeparture EEI filing status (15 CFR 758.2(b)(2)). Under section 740.2(a)(17), license exceptions are restricted where a party to the transaction is on the UVL (15 CFR 740.2(a)(17)).

2. When a UVL statement is needed

Before any transaction subject to the EAR that needs no license and involves a UVL party, the exporter, reexporter or transferor must obtain a UVL statement from that party (15 CFR 744.15(b)). Party here means a party described in section 748.5. The statement must be kept under the recordkeeping rules in part 762, covered in keeping and producing export records.

One statement may be used for several transactions of the same items between the same parties, if the party names, item descriptions and Export Control Classification Numbers (ECCNs) are correct (15 CFR 744.15(b)(1)). In that case a log or other record must identify each transaction and the statement associated with it. That log must also be kept under part 762.

3. What the statement says

The statement must be in writing, signed and dated by an individual with authority to legally bind the UVL party (15 CFR 744.15(b)(2)). It gives the party’s name and complete physical address, including shipping, corporate and end-user addresses if they differ (15 CFR 744.15(b)(2)(i)). A post office box alone is not enough. It also gives telephone and fax numbers, email address, any website, and the name and title of the signer.

The party agrees not to use the items for any use the EAR prohibit, and not to reexport or transfer them to any prohibited destination, use or user (15 CFR 744.15(b)(2)(ii)). It declares the end use, end user and country of ultimate destination (15 CFR 744.15(b)(2)(iii)).

It agrees to cooperate with end-use checks, including a post-shipment verification, by or for BIS (15 CFR 744.15(b)(2)(iv)). That covers any item subject to the EAR in transactions it was a party to in the last five years. Cooperation includes helping a check take place on time and giving full and accurate information on what happened to the items.

The party agrees to provide copies of the statement and all other records required under part 762 (15 CFR 744.15(b)(2)(v)). The signer certifies having authority to legally bind the party (15 CFR 744.15(b)(2)(vi)).

4. How a party is added

Foreign persons who are parties to a transaction subject to the EAR may be added if BIS, or federal officials acting for it, cannot verify their bona fides (15 CFR 744.15(c)(1)). Bona fides means legitimacy and reliability relating to the end use and end user. A person may be listed when an end-use check, such as a pre-license check (PLC) or post-shipment verification (PSV), cannot be completed satisfactorily for reasons outside the U.S. Government’s control.

The rule gives three illustrative circumstances. In the first, the subject of a check cannot show what happened to items subject to the EAR (15 CFR 744.15(c)(1)(i)). In the second, the existence or authenticity of the subject cannot be verified, for example because it cannot be located or contacted (15 CFR 744.15(c)(1)(ii)). In the third, lack of cooperation by the host government prevents a check (15 CFR 744.15(c)(1)(iii)).

5. How a party is removed

BIS removes a person from the UVL when it can verify the person’s bona fides as an end user, consignee or other party by completing a PLC or PSV (15 CFR 744.15(c)(2)). Where a check cannot be completed because the host government will not cooperate, BIS may accept an alternative way of verifying bona fides. A decision to remove a person from the UVL is separate from any Entity List decision under section 744.11(b). It must be requested through the removal procedure.

6. Requesting removal or amendment

Any listed person may ask for its listing to be amended or removed (15 CFR 744.15(d)). The request must be in writing, give reasons, and include information that verifies the person’s legitimacy and reliability as a party (15 CFR 744.15(d)(1)). It goes to the Director of the Office of Enforcement Analysis at BIS, by mail, fax or email to the address the rule gives.

The Deputy Assistant Secretary for Export Enforcement reviews the request and gives the decision in writing, based on an assessment of the person’s bona fides (15 CFR 744.15(d)(2)). That decision is the final agency action on the request.

7. How the UVL relates to the Entity List

A sustained lack of host government cooperation with checks on UVL entities can also support adding them to the Entity List (15 CFR 744.11(b)(4)(ii)). That happens where the End-User Review Committee believes prior review of transactions, and possible license conditions or denial, would help BIS prevent violations. The Entity List rules are covered in the Entity List and how entities are added.

Key terms

UVL	The Unverified List, supplement no. 6 to part 744.
UVL statement	The signed undertaking a listed party gives before a license-free transaction.
Bona fides	Legitimacy and reliability relating to end use and end user.
PLC	A pre-license check, one form of end-use check.
PSV	A post-shipment verification, another form of end-use check.

Every statement above links to the document behind it. The full source list for this piece is on the sources page.

This page describes public United States government programs for general information. It is not legal, regulatory or procurement advice, and it does not address the facts of any particular case.

How Sentfore supports this

Unverified parties call for extra paperwork before shipment. Sentfore works at the delivery end of defense programs in difficult environments, providing secure movement, protective security, facilities and life support. Requirements can be sent through the contact page.