Legal Definitions - deemed export license

A deemed export license is a specific authorization from the U.S. government that permits the sharing of controlled technology or technical data with a foreign national who is physically located within the United States.

To understand this, it's important to first grasp the concept of a "deemed export." Under U.S. export control laws, an "export" typically refers to goods or information physically leaving the country. However, a deemed export occurs when sensitive technology, technical data, or source code is released to a foreign national (someone who is not a U.S. citizen or permanent resident) while they are *inside* the United States. The law "deems" or considers this release to be an export to the foreign national's home country, even though the information never physically left U.S. soil.

This regulation exists primarily due to national security concerns. If the technology or information is sensitive (e.g., related to defense, nuclear, or advanced computing), and the foreign national's home country is subject to U.S. export controls or sanctions, then providing access to that individual in the U.S. is treated as if the technology was directly shipped to their home country. A deemed export license is therefore required to legally provide such access, preventing unauthorized transfer of critical U.S. technology.

Here are some examples illustrating when a deemed export license might be necessary:

• Scenario 1: Advanced Materials Research at a Private Company
  

  A U.S. company specializing in advanced composite materials for aerospace applications hires a brilliant research scientist from a country with which the U.S. has restricted technology transfer policies. The scientist, legally residing and working in the company's U.S. laboratory, needs access to proprietary formulas and manufacturing processes for a new, high-strength alloy. Because this technology is considered sensitive and the scientist is a foreign national from a restricted country, providing them with this information within the U.S. is considered a "deemed export" to their home country. The company would likely need a deemed export license to allow the scientist to work on this specific project.

• Scenario 2: Software Development for Secure Communications
  

  A U.S. software firm is developing highly sophisticated encryption software designed for secure government communications. They bring on board a software engineer from a country identified by the U.S. government as a proliferation risk. Even though the engineer is working in the company's U.S. office, granting them access to the source code, algorithms, and technical specifications of this controlled encryption technology would be considered a "deemed export" to their home country. To comply with export control regulations, the company would need to apply for a deemed export license before allowing the engineer to work on the sensitive aspects of the project.

• Scenario 3: University Research in Biotechnology
  

  A U.S. university's biology department receives a grant to develop a new vaccine production method that utilizes advanced genetic engineering techniques, classified as dual-use technology (having both civilian and potential military applications). A postdoctoral researcher from a country subject to U.S. technology export restrictions is part of the research team. If this researcher needs to access the detailed protocols, genetic sequences, or specialized equipment operation manuals related to the controlled aspects of the vaccine production, this access would be considered a "deemed export" to their home country. The university would likely be required to obtain a deemed export license to allow the researcher to participate in these specific parts of the project.