US Sectoral Sanctions
EU Sectoral Sanctions (cont'd)
Loans - for Energy (and Military) Companies and Banks (cont'd)
And note art. 5.4 (introduced by Dec. 2014 clarification) - carving out from the general
prohibition new drawdowns / disbursements under pre-12 Sept. loan/ credit contracts
If
"all the terms and conditions" were agreed pre-12 Sept. 2014 and haven't been modified since then; and
before 12 Sept. 2014 "a contractual maturity date has been fixed for the repayment in full
of all funds made available ..."
Possible issues re
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whether "all" terms and conditions really mean all (ref. FAQ 30 by analogy?)
treatment of typical carry-type loans - re the "repayment in full" aspect (in case no commercial
discovery)
Again, see the various EU Guidance Note FAQ clarifications
Note - here again, there have been many such license applications / approvals to date
(experience varying by member state)
Also note a UK law granting power to impose fine of £1 million or 50% of deal value,
for EU financial sanctions breaches as of April 2017
Morgan Lewis
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