... or I'll Take My Toys and Go Home: The Iran and Libya Sanctions Act of 1996

By McGee, Shane M. | Houston Journal of International Law, Fall 1997 | Go to article overview

... or I'll Take My Toys and Go Home: The Iran and Libya Sanctions Act of 1996


McGee, Shane M., Houston Journal of International Law


I. BACKGROUND

A. The History of the ILSA

B. The GAYT

1. History and Structure

2. The WTO

C. Economic Coercion & International Law

D. Secondary Boycott

II. U.S. OBLIGATIONS UNDER THE WTO AND THE GATT

III. ECONOMIC COERCION AND INTERNATIONAL LAw

A. Economic Coercion Under the Charter of the United

Nations

B. Economic Coercion under the U.N. Resolutions

IV. SECONDARY BOYCOTTS.

V. CONCLUSION & RECOMMENDATIONS

"Congress has the authority to enforce its laws beyond the territorial boundaries of the United States."(1) Extraterritorial legislation by its very nature applies to the territory or citizenry of another nation.(2) Thus, the recent increase in legislation aimed at foreign entities has given rise to an international outcry.(3) The United States has been accused by a number of nations of violating international law, national sovereignty, and self-imposed conventional-law obligations.(4)

The most recent conflict arising out of this type of legislation surrounds the Iran and Libya Sanctions Act of 1996 (ILSA).(5) This Act, signed by President Clinton on August 5, 1996,(6) provides for sanctions against foreign companies investing in Iran or Libya.(7) The international response to the ILSA has been profoundly negative.(8) Not only are the cries of foul much louder than usual, but they are coming primarily from U.S. allies in the European Community and beyond.(9)

In Part 1, this Article introduces the ILSA and the different legal principles and provisions under which it may be scrutinized. Part 11 analyzes the ILSA in light of the provisions of the World Trade Organization and the General Agreement on Tariffs and Trade. Part III examines economic coercion and its acceptance under international law. Part IV examines the incongruity between the ILSA and traditional U.S. policy towards secondary boycotts. Finally, this Article concludes that the ILSA is a violation of international law and a violation of U.S. international obligations as well as a departure from traditional U.S. policy.

I. BACKGROUND

A. The History of the ILSA

House Bill 3107 was introduced on March 19, 1996, as the Iran Oil Sanctions Act of 1996.(10) As the scope of the bill grew, so did its title.(11) Five days before the House of Representatives passed the bill, H.R. 3107 was renamed the Iran and Libya Sanctions Act of 1996.(12)

The goal of the ILSA was twofold: to deter Iran and Libya from aiding international terrorism or obtaining weapons of mass destruction and to influence the President to pursue negotiations to form a multilateral sanctions regime concerning Iran.(13) To achieve these goals, the ILSA requires the President to impose two or more specified sanctions(14) on persons who engage in conduct prohibited by the bill.(15)

The ILSA prohibits two types of conduct.(16) Foremost, it imposes sanctions on persons investing in or contributing to the ability of Iran or Libya to develop their petroleum resources.(17) Additionally, the ILSA imposes mandatory sanctions on persons exporting certain items that enhance Libya's weapons or aviation capabilities.(18) The requirement that all sanctions with respect to Libya be mandatory was a late addition to the bill.(19) In its original form, the bill gave the President discretion on whether to impose sanctions on parties contributing to the development of Libya's petroleum resources.(20)

The President is responsible for determining whether a party has violated the ILSA's prohibitions.(21) Once that determination has been made, the President must either impose sanctions(22) or exercise a waiver.(23) The President's power of waiver may be used to exempt any offending party from sanctions.(24) The President may also waive sanctions with respect to all nationals of any country that has agreed to undertake substantial measures to inhibit Iran's efforts to support international terrorism or acquire weapons of mass destruction. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

... or I'll Take My Toys and Go Home: The Iran and Libya Sanctions Act of 1996
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.