This executive order directs the attorney general to review guidelines and policies governing investigations and enforcement actions under the Foreign Corrupt Practices Act (FCPA). During the review period the attorney general is to cease initiation of any new FCPA investigations or enforcement actions unless the attorney general determines that an exception should be made; review all existing FCPA investigations or enforcement actions and take appropriate action with respect to such matters to restore the proper bounds on FCPA enforcement; and issue updated guidelines or policies, as appropriate. After updated guidelines or policies are issued, FCPA investigations and enforcement actions shall be governed by those guidelines or policies and must be specifically authorized by the attorney general; and the attorney general shall determine whether other actions, including remedial measures with respect to past inappropriate FCPA investigations and enforcement, are warranted.

Despite this executive order, individuals and entities should comply with the provisions of the FCPA. The statute of limitations for the anti-bribery provisions of the FCPA is five years which would make acts done during the current administration subject to suit once a new administration comes into office. The same is true with respect to the six year statute of limitations for violations of the books and records and internal controls provisions of the FCPA. Additionally, the executive order does not affect the SEC’s ability to bring civil enforcement actions under the FCPA’s accounting provisions. Finally, companies with international operations should be aware that other countries have anti-corruption laws similar to the FCPA.