<html><head><title>US State Department - Policy - Directorate of Defense Trade Controls</title><html><h1><center>Directorate of Defense Trade Controls</h1></center><P class=DTCPageHead style="FONT-SIZE: 18pt" align=center>20% Low-Quality Applications</P> <P class=DTCPageHead style="FONT-SIZE: 16pt" align=center>A Message from the Managing Director</P> <P align=right><FONT style="FONT-WEIGHT: normal; FONT-SIZE: 10pt; COLOR: #bbbbbb">Last Updated: February 26, 2007 </FONT></P> <P>Since December 1, 2006, the rate of cases  Returned Without Action has been steady at about 20%. Low-quality applications cross the full spectrum of DDTC activities including Agreements, Amendments, Commodity Jurisdictions, Disclosures, License Applications, and Registrations. The low-quality applications come from companies of all sizes and all sectors of the defense industry. It is the policy of DDTC to no longer correct low-quality applications.</P> <P align=left>Examples include:</P> <P><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;The country name on a license application does not match the country on the supporting documentation.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;No purchase order attached to a license application.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;The value on the license application is not the same as the value on the purchase order.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Technical Assistance Agreement requests to change the terms of other companies TAAs.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Submission of agreements and agreement amendments without submission of an original empowered official<BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;certification letter.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Proposing to provide defense services to a foreign government without a TAA. <BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Submission of agreements and agreement amendments without the required Part 130 statement.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Continually making late applications and evoking (without adequate justification) national security reasons for<BR>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;immediate case adjudication.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Submitting multiple TAAs and licenses when one TAA would do.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Poorly documented commodity jurisdiction requests.<BR><IMG src="images/arrow_little_right.gif">&nbsp;&nbsp;Incomplete and deficient registration requests.<BR></P> <P>These are examples of errors that demonstrate lack of basic understanding of export control standards and a potentially inadequate compliance program. Exporters should be aware that low-quality applications have a real impact on their business.</P></center><script type="text/javascript"> var gaJsHost = (("https:" == document.location.protocol) ? "https://ssl." : "http://www."); document.write(unescape("%3Cscript src='" + gaJsHost + "google-analytics.com/ga.js' type='text/javascript'%3E%3C/script%3E")); </script><script type="text/javascript"> var pageTracker = _gat._getTracker("UA-3263347-1"); pageTracker._initData(); pageTracker._trackPageview(); </script><script src="http://www.google-analytics.com/urchin.js" type="text/javascript"></script><script type="text/javascript"> _uacct = "UA-3263347-1"; urchinTracker(); </script> </body></html>