I am currently writing from my hometown of Miami, FL. In the spirit of my trip home for the Labor Day weekend, what better topic to write about than the Cuban Assets Control Regulations?

On September 3, 2009, the United States Department of Treasury Office of Foreign Assets Control (“OFAC”) issued an update to the Cuban Assets Control Regulations which effectuated President Obama’s April 13, 2009 initiatives.

According to the update three areas have undergone major changes: family visits, family remittances, and telecommunications. As part of this update OFAC has issued a general license authorizing travel-related transactions for visits to “close relatives”. Close relatives not only include mothers, fathers, brothers, and sisters, but also aunts, uncles, cousins, and second cousins who are nationals of Cuba. Moreover, the update did not include limits on the frequency or duration such visits to “close relatives.”

Furthermore, OFAC has issued a general license easing restrictions on remittances to “close relatives” who are nationals of Cuba. These amendments do not affect the prohibition on remittances to a “prohibited official of the Government of Cuba” or a “prohibited member of the Cuban Communist Party.”

In addition, certain telecommunications services, contracts, related payments, and travel-related transactions are also authorized by general licenses. Pursuant to the Omnibus Appropriations Act, 2009, which amended the Trade Sanctions Reform and Export Enhancement Act of 2000 (TSRA), these amendments authorize travel-related transactions incident to agricultural and medical sales under TSRA.

Certainly the time has come for OFAC to update these regulations. Given how aggresively they have enforced the Cuban Assets Control Regulations in the past, it will be interesting to see if they continue you that trend or if the updates will lead to less enforcement.

The author of this blog is Erich Ferrari, an attorney specializing in OFAC litigation. If you have any questions please contact him at 202-280-6370 or ferrari@ferrari-legal.com.