[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5534 Introduced in House (IH)]







106th CONGRESS
  2d Session
                                H. R. 5534

     Providing that State and local laws prohibiting or otherwise 
restricting economic activity with foreign countries are null and void.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 24, 2000

  Mr. Oxley introduced the following bill; which was referred to the 
                  Committee on International Relations

_______________________________________________________________________

                                 A BILL


 
     Providing that State and local laws prohibiting or otherwise 
restricting economic activity with foreign countries are null and void.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Uniform Trade Sanctions Act''.

SEC. 2. FINDINGS.

    The Congress makes the following findings:
            (1) Article VI of the United States Constitution provides 
        that the laws and treaties of the United States are ``the 
        Supreme Law of the Land'' and the judges in every State shall 
        be bound thereby.
            (2) Article I, section 8, clause 3 of the Constitution 
        authorizes the Congress to regulate commerce with foreign 
        nations, among the several States, and among Indian tribes. 
        This clause by implication prohibits States from unreasonably 
        burdening or discriminating against such commerce unless 
        Congress has authorized States to do so.
            (3) The Supreme Court has also consistently recognized in 
        numerous decisions that the Federal Government has complete and 
        exclusive power over the foreign affairs of the United States. 
        The United States District Court for the District of 
        Massachusetts recently reiterated this exclusive foreign 
        affairs power in striking down the Massachusetts law imposing 
        sanctions on Burma.

SEC. 3. INEFFECTIVENESS OF STATE AND LOCAL LAWS REGULATING ECONOMIC 
              ACTIVITY WITH FOREIGN COUNTRIES.

    (a) General Rule.--Any law of a State or local unit of government 
that imposes any restriction or condition on economic activity with 
respect to a specified foreign country, or with a foreign country or 
nationals or entities of a foreign country by reason of specified 
conduct by such foreign country, nationals, or entities, shall have no 
force or effect.
    (b) Specific Measures Described.--For purposes of subsection (a), a 
restriction or condition on economic activity with respect to a foreign 
country, national, or entity includes, but is not limited to, the 
following:
            (1) The suspension, restriction, or prohibition of exports 
        or imports of any product, technology, or service to or from 
        that foreign country, national, or entity.
            (2) The suspension of, or any restriction or prohibition 
        on, providing goods or services to, or engaging in any 
        financial transaction with, the government of that foreign 
        country, national, or entity.
            (3) Any restriction or prohibition on having a place of 
        business in that foreign country or with that foreign national 
        or entity.
            (4) Any restriction or prohibition on being a business 
        entity that is owned or controlled by another entity that 
        engages in any of the activities suspended, restricted, or 
        prohibited as described in paragraph (1), (2), or (3).
            (5) Any restriction or prohibition on acquiring or having 
        an ownership interest in an entity that provides goods or 
        services as described in paragraph (2), in an entity that has a 
        place of business described in paragraph (3), or in a business 
        entity described in paragraph (4).
            (6) A measure imposing any prohibition, restriction, or 
        condition on economic activity on any foreign government, 
        national, or entity on the ground that such government, 
        national, or entity provides goods or services to, or engages 
        in any financial transaction with, the government of the 
        foreign country, national, or entity referred to in the matter 
        preceding paragraph (1).
            (7) A measure imposing any prohibition, restriction, or 
        condition on economic activity on any person that is a national 
        of a foreign country, or on any government or other entity of a 
        foreign country, on the ground that the government of that 
        country has not taken measures in cooperation with, or similar 
        to, sanctions imposed by the applicable State or local unit of 
        government on the foreign country, national, or entity referred 
        to in the matter preceding paragraph (1).
            (8) A measure that imposes taxes on economic activity with 
        the foreign country, national, or entity referred to in the 
        matter preceding paragraph (1).

SEC. 4. ENFORCEMENT.

    (a) Suits by the Attorney General.--The Attorney General, on behalf 
of the United States is authorized to bring suit to declare invalid or 
enjoin enforcement of any State or local restriction or condition to 
which this Act applies on the ground that it has not force or effect.
    (b) Remedy Non-Exclusive; Preservation of other Remedies.--Nothing 
in this Act shall be construed to preclude or otherwise affect any suit 
by any person to declare invalid or to enjoin any State or local law on 
the ground that it is unconstitutional or on the ground that it is 
inconsistent with a Federal law or regulation.

SEC. 5. DEFINITIONS.

    For purposes of this Act:
            (1) The term ``financial transaction'' has the meaning 
        given that term in section 1956(c) of title 18, United States 
        Code.
            (2) The term ``State'' includes the District of Columbia 
        and any commonwealth, territory, or possession of the United 
        States.
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