CSS Licensing & Exemptions Flashcards
6 cards from real CSS practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CSS Licensing & Exemptions flashcards as text
Under the Cuba sanctions program, which general license authorizes certain travel-related transactions by U.S. persons?
Answer: Category-based travel general licenses (e.g., journalism, educational, family visits)
OFAC's Cuba regulations authorize travel-related transactions only for persons qualifying under specific licensed categories (e.g., family visits, journalism, academic research) — pure tourism is not authorized.
When a specific OFAC license is obtained, the licensee's obligations include:
Answer: Complying with all conditions and recordkeeping requirements specified in the license
Specific OFAC licenses contain conditions and recordkeeping requirements that the licensee must comply with, and OFAC may audit or inspect records to verify compliance.
An OFAC 'authorizing statute' for a sanctions program refers to:
Answer: The enabling legislation (e.g., IEEPA, Trading with the Enemy Act) that grants the President authority to impose sanctions
Each OFAC sanctions program rests on one or more authorizing statutes — typically IEEPA, TWEA, or other legislation — that grant the executive branch legal authority to impose economic restrictions.
Which of the following is generally NOT exempt from OFAC sanctions without a license?
Answer: Commercial sale of luxury goods to a comprehensively sanctioned country
Commercial sales of luxury goods to comprehensively sanctioned countries are not automatically exempt and typically require an OFAC license, unlike personal communications or informational materials.
A company discovers that a vendor it has been paying for 6 months is actually an SDN. Under OFAC guidance, the company's first step should be:
Answer: Immediately cease payments, block any property interest, and consult OFAC guidance on voluntary self-disclosure
Upon discovering a prohibited transaction with an SDN, the immediate steps are to stop further dealing, block any property subject to OFAC's blocking requirements, and consider filing a voluntary self-disclosure with OFAC.
Under OFAC's 'overpayment' guidance, when a U.S. person receives funds from a blocked account in error, they must:
Answer: Block the funds received and report the blocking to OFAC
Funds received by a U.S. person that are attributable to a blocked account must themselves be blocked, held in a blocked account, and reported to OFAC — good faith receipt does not excuse the blocking obligation.