2011 US Code
Title 22 - Foreign Relations and Intercourse
Chapter 92 - COMPREHENSIVE IRAN SANCTIONS, ACCOUNTABILITY, AND DIVESTMENT (§§ 8501 - 8551)
Subchapter II - DIVESTMENT FROM CERTAIN COMPANIES THAT INVEST IN IRAN (§§ 8531 - 8532)
Section 8532 - Authority of State and local governments to divest from certain companies that invest in Iran
View MetadataPublication Title | United States Code, 2006 Edition, Supplement 5, Title 22 - FOREIGN RELATIONS AND INTERCOURSE |
Category | Bills and Statutes |
Collection | United States Code |
SuDoc Class Number | Y 1.2/5: |
Contained Within | Title 22 - FOREIGN RELATIONS AND INTERCOURSE CHAPTER 92 - COMPREHENSIVE IRAN SANCTIONS, ACCOUNTABILITY, AND DIVESTMENT SUBCHAPTER II - DIVESTMENT FROM CERTAIN COMPANIES THAT INVEST IN IRAN Sec. 8532 - Authority of State and local governments to divest from certain companies that invest in Iran |
Contains | section 8532 |
Date | 2011 |
Laws in Effect as of Date | January 3, 2012 |
Positive Law | No |
Disposition | standard |
Source Credit | Pub. L. 111-195, title II, §202, July 1, 2010, 124 Stat. 1342. |
Statutes at Large References | 88 Stat. 829 124 Stat. 1342 |
Public Law References | Public Law 93-406, Public Law 111-195 |
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It is the sense of Congress that the United States should support the decision of any State or local government that for moral, prudential, or reputational reasons divests from, or prohibits the investment of assets of the State or local government in, a person that engages in investment activities in the energy sector of Iran, as long as Iran is subject to economic sanctions imposed by the United States.
(b) Authority to divestNotwithstanding any other provision of law, a State or local government may adopt and enforce measures that meet the requirements of subsection (d) to divest the assets of the State or local government from, or prohibit investment of the assets of the State or local government in, any person that the State or local government determines, using credible information available to the public, engages in investment activities in Iran described in subsection (c).
(c) Investment activities describedA person engages in investment activities in Iran described in this subsection if the person—
(1) has an investment of $20,000,000 or more in the energy sector of Iran, including in a person that provides oil or liquified natural gas tankers, or products used to construct or maintain pipelines used to transport oil or liquified natural gas, for the energy sector of Iran; or
(2) is a financial institution that extends $20,000,000 or more in credit to another person, for 45 days or more, if that person will use the credit for investment in the energy sector of Iran.
(d) RequirementsAny measure taken by a State or local government under subsection (b) shall meet the following requirements:
(1) NoticeThe State or local government shall provide written notice to each person to which a measure is to be applied.
(2) TimingThe measure shall apply to a person not earlier than the date that is 90 days after the date on which written notice is provided to the person under paragraph (1).
(3) Opportunity for hearingThe State or local government shall provide an opportunity to comment in writing to each person to which a measure is to be applied. If the person demonstrates to the State or local government that the person does not engage in investment activities in Iran described in subsection (c), the measure shall not apply to the person.
(4) Sense of Congress on avoiding erroneous targetingIt is the sense of Congress that a State or local government should not adopt a measure under subsection (b) with respect to a person unless the State or local government has made every effort to avoid erroneously targeting the person and has verified that the person engages in investment activities in Iran described in subsection (c).
(e) Notice to Department of JusticeNot later than 30 days after adopting a measure pursuant to subsection (b), a State or local government shall submit written notice to the Attorney General describing the measure.
(f) NonpreemptionA measure of a State or local government authorized under subsection (b) or (i) is not preempted by any Federal law or regulation.
(g) DefinitionsIn this section:
(1) Assets (A) In generalExcept as provided in subparagraph (B), the term “assets” refers to public monies and includes any pension, retirement, annuity, or endowment fund, or similar instrument, that is controlled by a State or local government.
(B) ExceptionThe term “assets” does not include employee benefit plans covered by title I of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1001 et seq.).
(2) InvestmentThe “investment” includes—
(A) a commitment or contribution of funds or property;
(B) a loan or other extension of credit; and
(C) the entry into or renewal of a contract for goods or services.
(h) Effective date (1) In generalExcept as provided in paragraph (2) or subsection (i), this section applies to measures adopted by a State or local government before, on, or after July 1, 2010.
(2) Notice requirementsExcept as provided in subsection (i), subsections (d) and (e) apply to measures adopted by a State or local government on or after July 1, 2010.
(i) Authorization for prior enacted measures (1) In generalNotwithstanding any other provision of this section or any other provision of law, a State or local government may enforce a measure (without regard to the requirements of subsection (d), except as provided in paragraph (2)) adopted by the State or local government before July 1, 2010, that provides for the divestment of assets of the State or local government from, or prohibits the investment of the assets of the State or local government in, any person that the State or local government determines, using credible information available to the public, engages in investment activities in Iran (determined without regard to subsection (c)) or other business activities in Iran that are identified in the measure.
(2) Application of notice requirementsA measure described in paragraph (1) shall be subject to the requirements of paragraphs (1) and (2) and the first sentence of paragraph (3) of subsection (d) on and after the date that is 2 years after July 1, 2010.
(Pub. L. 111–195, title II, §202, July 1, 2010, 124 Stat. 1342.)
Termination of SectionFor termination of section, see section 8551(a) of this title.
References in TextThe Employee Retirement Income Security Act of 1974, referred to in subsec. (g)(1)(B), is Pub. L. 93–406, Sept. 2, 1974, 88 Stat. 829. Title I of the Act is classified generally to subchapter I (§1001 et seq.) of chapter 18 of Title 29, Labor. For complete classification of this Act to the Code, see Short Title note set out under section 1001 of Title 29 and Tables.
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