An Overview of the Joint Comprehensive Plan of Action

On July 14, 2015, after more than 20 months of negotiations on Iran’s nuclear program, the P5+1 (China, France, Germany, Russia, the United Kingdom, and the United States), the European Union and Iran reached an agreement on the Joint Comprehensive Plan of Action (JCPOA). On January 16, 2016, a milestone referred to as “Implementation Day,” Iran received far-reaching economic and financial sanctions relief after meeting key nuclear commitments set out in the JCPOA. This sanctions relief is likely to have profound implications for the global economy, potentially releasing billions of dollars of assets and permitting Iranian oil to be sold on the international market. However, certain important U.S. and EU restrictions remain. For instance, the overwhelming majority of U.S. primary sanctions are still in force following Implementation Day and, until October 2023, U.S. suspended sanctions against Iran will remain on the books ready to be re-imposed quickly through the so-called “snapback” mechanism. Moreover, Iran remains an indeterminate environment for foreign investors, entailing certain legal and political risks and uncertainties, especially as Iran’s legal system has largely been untested by foreign investors. These limitations will lead to a number of challenges for sanctions compliance and business operations as investors and businesses seek opportunities related to Iran.

Join Anahita Thoms for a discussion of these issues. Anahita Thoms is a counsel in Freshfields Bruckhaus Deringer’s dispute resolution practice and a Group Leader for its Global Sanctions and Trade Team. After serving for three consecutive terms as a Vice-Chair of the Export Controls and Economic Sanctions Committee of the ABA (Section of International Law), Anahita was appointed Chair in 2016.

Learning Objectives:

1. Gain a comprehensive understanding of the Iran sanctions landscape following the agreement on the Joint Comprehensive Plan of Action, with emphasis on the U.S. and EU sanctions regimes
2. Identify key compliance issues when considering business opportunities in Iran under the remaining U.S. and EU sanctions regimes and learn strategies for risk mitigation
3. Identify non-sanctions related challenges when investing in the Iranian market, including how to approach uncertainties vis-à-vis the Iranian legal system, which has largely not been tested by foreign investors
4. Forecast milestones related to JCPOA implementation, including potential obstacles to implementation and their consequences