The Swiss National Science Foundation issued a May 12, 2016, press release announcing that researchers from the National Research Program “Opportunities and Risks of Nanomaterials” have developed a new model to track the flow of the “most important nanomaterials in the environment.” To assess how man-made nanoparticles make their way into the air, earth, or water, researchers developed a computer model to determine the environmental accumulation of nanosilver, nanozinc, nano-titanium dioxide, and carbon nanotubes. The press release notes that knowing the degree of accumulation in the environment is only the first step in the risk assessment of nanomaterials. This data must be compared with ecotoxicological test results and the statutory thresholds. According to the press release, in the case of nanozinc, “its concentration in the environment is approaching the critical level.” The press release states that it “has to be given priority in future ecotoxicological studies — even though nanozinc is produced in smaller quantities than nano-titanium dioxide.” Furthermore, according to the press release, ecotoxicological tests have until now been carried out primarily with freshwater organisms. The researchers conclude that complementary investigations using soil-dwelling organisms are a priority.
Tag: Switzerland
Switzerland Is the First Country to Lift Some Sanctions on Iran
Certain US sanctions on Iran may be lifted mid to late 2016 or even later.
On August 13, Switzerland became the first country to formally lift certain sanctions on Iran, following the announcement of the Iran nuclear deal this past July. Switzerland is not a party to the Iran nuclear deal.
The Swiss Federal Council made the decision, which is a seven-member executive council that constitutes the federal government of Switzerland and serves as the Swiss collective head of government and state. This action nullifies a ban on precious metals transactions with Iranian governmental bodies and the requirement to report trade in Iranian petrochemical products to the Swiss government. It also eliminates an obligation to report to the Swiss government the transport of Iranian crude oil and petroleum products and certain rules on insurance and reinsurance policies linked to such transactions. In the financial sector, threshold values for reporting and licensing obligations in relation to money transfers from and to Iranian nationals were increased tenfold.
These Swiss measures had already been suspended since January 2014, but by lifting them on an apparently more formal or permanent basis, the Swiss government patently appears to be sending a far larger political message to sanctions compliance personnel. The Swiss government’s announcement stated, in part, the following:
Today’s decision by the Federal Council underlines its support for the ongoing process to implement the nuclear agreement, and its confidence in the constructive intentions of the negotiating parties. The Federal Council also wishes to signal that Switzerland’s positioning with respect to Iran, which was developed and maintained over a number of years, should be used to promote a broad political and economic exchange with Iran. In recent decades, Switzerland has pursued a consistent, neutral and balanced policy with regard to Iran . . . . Should implementation of the agreement fail, the Federal Council reserves the right to reintroduce the lifted measures.
It seems clear that the Swiss Federal Council is signaling that Switzerland is eager to resume normal business with Iran. Meanwhile, however, US Department of State spokesman Mark Toner said US sanctions continue to remain in place and penalties would still apply to any country or company that violates them. He told reporters that the United States wasn’t informed in advance of the Swiss move to drop its sanctions before Iran has taken the promised steps to curb its nuclear program and before the United States, European Union, and United Nations have removed their penalties.
It is also important to remember that for now, US secondary Iran sanctions will continue to remain in effect against foreign companies for probably the next 12 months or until the implementation day, no matter the consequence of this Swiss Federal Council action.
Moreover, “US Persons” are prohibited from entering into executory contracts for Iran-related transactions until US sanctions are lifted after implementation day. The US Department of State has recently suggested that that day may fall in summer or autumn of 2016, depending if and whether the International Atomic Energy Agency can certify that Iran has taken the required steps under the Iran nuclear deal.
“US persons” means US nationals, US permanent resident aliens (“Green Card holders”), entities incorporated in the United States, individuals or entities in the United States, or entities established or maintained outside the United States that are owned or controlled by a US person. For a US person to sign such an executory contract before implementation day would be a dealing in property or an interest in property involving Iran or a Specially Designated National, which is prohibited by current US regulations as applicable to US persons. The current Iran sanctions regulations expressly state that such executory contracts are property or an interest in property because they involve “contracts of any nature whatsoever, and any other property, real, personal, or mixed, tangible or intangible, or interest or interests therein, present, future, or contingent.”
On the other hand, it appears that non–US persons (as defined above) that have no US nexus (e.g., not incorporated in the United States or owned or controlled by a US person), that do not act in or through the United States or a US person and that otherwise are not generally subject to US jurisdiction may enter into executory contracts with Iran without risk of exposure of an Office of Foreign Assets Control (OFAC) enforcement case for so doing. Even in these cases, potential non–US person investors in Iran are well advised to seek clearance from the relevant regulators that these contracts do not violate United Nations, European Union, or other non–US sanctions.
At this time, it is unclear to what extent entities established or maintained outside the United States that are owned or controlled by a “US person” will be able to engage in trade with Iran after implementation day occurs. OFAC has indicated that it will resolve this question in due course, and at that time, it will issue appropriate guidance.
Copyright © 2015 by Morgan, Lewis & Bockius LLP. All Rights Reserved.
Michigan District Court Confirms $1.6 Million Judgment Against Former Spartan and Detroit Red Wing Hockey Player
In a 17-page opinion issued on June 5, 2014, the Honorable Gordon J. Quist of the United States District Court for the Western District of Michigan entered an order recognizing a judgment entered in Switzerland against former NHL hockey player Kevin Miller. The case is of particular local interest in that Miller was born and raised in Lansing, played college hockey for Michigan State University, and played professional hockey for a number of teams, including the Detroit Red Wings.
The underlying judgment against Miller arose out of an on-ice incident on October 31, 2010, between Miller and Andrew McKim during a Swiss hockey league game. Miller checked McKim from behind, hitting McKim in the head and neck and causing McKim to fall on the ice and hit his head. McKim suffered a concussion and other injuries and was hospitalized for several weeks. The Swiss hockey league determined that Miller’s check was intentional and suspended Miller for eight games.
In addition, McKim brought a civil lawsuit against Miller for injuries resulting from the incident. At the conclusion of the civil proceedings in Switzerland, judgment was ultimately entered in the amount of 1 million Swiss Francs against Miller, which, when converted to United States dollars, and adding interest, costs, and attorneys’ fees, resulted in a current judgment amount of approximately US $1.6 million.
Miller challenged recognition of the judgment under the Uniform Foreign Country Money Judgments Recognition Act (“FCMJRA”), which Michigan has adopted. Miller raised two arguments: (1) that the Swiss judgment was repugnant to public policy and violated due process because Miller was not allowed to cross-examine the independent expert who provided opinion testimony about Miller’s intent at the time he checked McKim; and (2) that it was repugnant to public policy and violated due process for the Swiss civil tribunal to consider as evidence the determination by the Swiss hockey league that Miller’s check of McKim was intentional.
The district court was not persuaded that either of these objections rose to the level of the Swiss judgment being repugnant to public policy. The court noted that the fact that Swiss law does not allow for cross-examination of expert witnesses “is a mere difference of procedure that does not trigger the public policy exception.” Op. at 11. The district court also noted that the civil tribunal’s consideration of the hockey tribunal’s disciplinary determination was not repugnant to Michigan public policy in that the hockey tribunal’s determination was only one of numerous sources of information, and the “Swiss civil court did not accord preclusive effect to the National League proceeding that determined that Miller intentionally injured McKim.” Id. at 12.
The district court also held that these concerns did not deny Miller due process in the Swiss civil proceedings. The district court clarified that foreign tribunals do not have to provide identical procedural safeguards as United States courts, but rather “must only be compatible in that they do not offend the notion of basic fairness.” Id. at 14. Although the court acknowledged that the procedures in the Swiss tribunal were not identical to those in the United States, particularly the restriction on Miller’s ability to cross-examine the independent expert, “the Court cannot say the Judgment presents a serious injustice or lacks basic fairness, such that nonrecognition is appropriate.” Id. at 15.
© 2014 Varnum LLP
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