HomeOFAC Lawyers
The Office of Foreign Assets Control (OFAC) can designate individuals, companies, and assets with little warning — freezing funds and cutting access to the global financial system. Our OFAC lawyers challenge designations, pursue SDN list removals, and defend clients before U.S. Treasury.
Our OFAC Legal Process
Our OFAC lawyers begin with a full assessment of the designation — reviewing the Federal Register notice, identifying the stated legal basis, and evaluating available grounds for administrative reconsideration under 31 C.F.R. § 501.807. We prepare a comprehensive administrative petition to OFAC’s Office of Global Targeting, supported by evidence and legal memoranda.
In parallel, we assess the viability of judicial review in the U.S. courts under the Administrative Procedure Act, and where applicable, advise on related EU, UK, or UN sanctions designations that may have been triggered by the OFAC listing. Many of our clients face simultaneous OFAC, EU, and UK sanctions — requiring a coordinated multi-jurisdictional strategy.
We serve clients from Russia, the UAE, Ukraine, Turkey, and Latin America facing OFAC designations under the Russia/Ukraine, Global Magnitsky, and Counter Narcotics programmes. Contact us at +357 96 447475 for an urgent assessment.
The OFAC SDN Removal Process: Step by Step
Removal from the OFAC Specially Designated Nationals (SDN) list is a formal administrative process that requires careful preparation and legal strategy. Our lawyers guide clients through every stage:
- Assessment — review of the designation rationale, supporting evidence and legal basis under the relevant Executive Order
- Administrative reconsideration — filing a formal reconsideration request with OFAC’s Office of Global Targeting, presenting new evidence and legal arguments
- Compliance programme — where appropriate, demonstrating changed circumstances, divestment from prohibited activities, or settlement of underlying violations
- Legal action (if required) — judicial review in federal court challenging the designation on procedural or constitutional grounds
- Licensing — pending delisting, applying for specific licences to unblock essential transactions
The average OFAC reconsideration process takes 6–18 months. Our lawyers have experience in expediting the process and in securing interim licences to allow essential transactions during the review. Contact us at +357 96 447475.
Secondary Sanctions: Protecting Third Parties and Business Partners
OFAC secondary sanctions do not require a direct nexus to the United States — non-US companies and individuals can be designated for transactions with primary sanctioned parties. Our lawyers advise on:
- Risk assessment for non-US entities — identifying exposure to secondary sanctions from business relationships with SDN-listed persons
- De-risking strategies — restructuring corporate arrangements to reduce secondary sanctions exposure
- Voluntary self-disclosure — where violations have already occurred, managing OFAC disclosure to mitigate penalties
- OFAC general and specific licences — applying for authorisations to continue legitimate transactions
We represent clients from Russia, Ukraine, Turkey, UAE and Latin America who face secondary sanctions risk. Free initial consultation: +357 96 447475.
OFAC Sanctions and Interpol: How They Interact
OFAC sanctions and Interpol Red Notices are distinct legal instruments, but they are frequently issued in parallel against the same individual. US law enforcement may request an Interpol Red Notice for a sanctioned person, creating a compound enforcement problem:
- OFAC designation freezes US-linked assets and cuts the individual off from the US financial system
- A parallel Interpol Red Notice restricts international travel and creates arrest risk in 196 member states
- Some countries have domestic legislation implementing both US sanctions and Interpol notices simultaneously
Intercollegium handles both OFAC and Interpol proceedings, offering coordinated legal strategy that addresses both sanctions removal and Red Notice challenge in parallel. Call us at +357 96 447475 for a comprehensive assessment.
The OFAC Delisting Process: Step by Step
Removing a name from the SDN list — known as delisting — requires a formal petition to OFAC demonstrating that the grounds for designation no longer apply. The process is demanding, detail-intensive, and typically requires experienced legal counsel:
- 1. File an administrative reconsideration request: Under 31 C.F.R. § 501.807, a designated person may petition OFAC for reconsideration. The petition must present new evidence, arguments, or changed circumstances that undermine the original designation basis.
- 2. Engage politically: For politically sensitive designations, it may be necessary to engage with the relevant US government department or congressional representatives in parallel with the legal process.
- 3. Address the underlying conduct: OFAC looks for genuine remediation — evidence that the designated party has severed relationships with sanctioned entities, reformed corporate structures, or otherwise addressed the conduct that led to designation.
- 4. Submit humanitarian and proportionality arguments: Where designation causes disproportionate harm — including to third parties, employees, or dependents — these arguments are formally addressed in the petition.
- 5. Judicial review: If the administrative reconsideration fails, federal court review is available. Our firm works with US co-counsel on federal court challenges to OFAC designations.
The average OFAC delisting process takes 12–36 months. Early and well-prepared legal action gives clients the best prospects for a successful outcome. Contact us for a free initial assessment: +357 96 447475.
Why Russian, Ukrainian and CIS Nationals Face OFAC Risk
Since 2014, and dramatically accelerating after February 2022, OFAC has designated thousands of Russian and Ukrainian nationals under programmes including RUSSIA, UKRAINE-EO13685, and PEESA. These designations affect not just direct Russian state actors but also businesspeople, shareholders, and family members connected to designated individuals.
Common scenarios our clients face include:
- Shareholder or board member of a designated company: Even minority shareholders may face designation risk if the primary designation is based on company ownership or control
- Business partner of an SDN-listed person: Individuals who have conducted transactions with designated persons may face material support or facilitation designations
- Family members of senior officials: OFAC has increasingly designated family members of senior Russian government and military officials under EO 14024
- Dual-use export violations: Companies and individuals involved in supplying controlled technology or goods to Russia face parallel OFAC and BIS (Bureau of Industry and Security) designations
Intercollegium represents clients navigating OFAC risk from offices in Limassol, Cyprus — a jurisdiction with strong legal protections and significant expertise in Russian and CIS international legal matters. Call us at +357 96 447475.
The OFAC Delisting Process: What to Expect
Challenging an OFAC designation is a formal administrative process governed by 31 C.F.R. Part 501. The first step is a Petition for Reconsideration submitted directly to OFAC’s Office of Global Targeting. The petition must demonstrate that the legal and factual basis for designation is flawed — whether through insufficient evidence, procedural error, changed circumstances, or a misidentification of the petitioner.
OFAC is required to review the petition but is not bound by strict timelines. In complex cases, proceedings can take 12–36 months. However, parallel litigation before US federal courts — particularly under the Administrative Procedure Act (APA) — can compel OFAC to act more swiftly or create leverage for a negotiated settlement. Our lawyers pursue both tracks simultaneously where appropriate.
Successful delisting requires meticulous preparation: gathering evidence of dissociation from designated entities, demonstrating compliance with OFAC regulations, and, where applicable, entering an OFAC Settlement Agreement. Our team has managed OFAC matters across multiple jurisdictions and works alongside US-licensed counsel where federal court proceedings are required.
OFAC Sanctions and International Clients: UAE, Russia, Turkey
A significant portion of our OFAC clients are individuals with ties to the UAE, Russia, Turkey, and the broader CIS region. US Treasury’s Office of Foreign Assets Control has dramatically expanded its sanctions programmes in recent years, designating individuals connected to Russian oligarchs, Turkish financial networks, and Iranian trade routes — even where those individuals have no direct US nexus.
For clients in the UAE, OFAC designations often trigger parallel asset freezes under UAE Cabinet Resolution No. 74 of 2020 on the UAE’s own sanctions list. Challenging the OFAC designation therefore frequently unlocks relief at the UAE level as well. Our lawyers have experience coordinating OFAC delisting petitions with UAE sanctions challenges and advising on compliance obligations for UAE-based businesses operating in sanctioned sectors.
For Russian and CIS clients, OFAC designations under Executive Orders 13662, 14024, and related Ukraine-related programmes require careful analysis of the evidentiary basis and the client’s actual connections to sanctioned entities or sectors. Many designations in this space have been based on indirect ownership or family connections — grounds that are challengeable with properly assembled evidence.
Secondary Sanctions and Compliance Risk for Non-US Persons
OFAC secondary sanctions are one of the most misunderstood areas of international sanctions law. Unlike primary sanctions, secondary sanctions apply to non-US persons and non-US transactions — meaning that a company in the UAE, Turkey or Spain can face US penalties for doing business with a sanctioned party, even if the transaction has no US dollar element.
We advise clients on secondary sanctions exposure under OFAC’s Iran, Russia, Venezuela and North Korea programmes, and help structure business arrangements to minimise the risk of designation or penalty. For clients who have already received an OFAC Enforcement Notice or who are under OFAC investigation, we provide immediate crisis response, including voluntary self-disclosure where strategically appropriate.
Contact our sanctions team for a confidential assessment of your OFAC exposure: +357 96 447475.
Frequently Asked Questions
Can OFAC designate someone without any prior notice or hearing?
Yes. OFAC may designate a person or company without providing advance notice or holding a pre-designation hearing. This prevents assets from being transferred before sanctions take effect. After listing, the designated party may request administrative reconsideration and submit evidence supporting removal under 31 C.F.R. § 501.807.
How long does OFAC typically take to respond to a delisting petition?
OFAC does not guarantee a final decision within a fixed period. It aims to check a new petition for completeness within 7–10 business days, but the full review may take considerably longer. Timing depends on the facts of the case, the quality of the submission, requests for additional information, and consultations with other government agencies.
Will my non-U.S. bank unfreeze accounts if OFAC removes me from the SDN list?
Not necessarily. OFAC delisting removes the U.S. sanctions basis for blocking assets, and no separate OFAC licence is generally required to release property after removal from the SDN List. However, a non-U.S. bank may still conduct its own compliance review, check other sanctions lists, or request supporting documents before restoring access.
Can U.S. citizens or companies apply for a licence to transact with me while I remain designated?
Yes. A U.S. person or company may apply to OFAC for a specific license where a proposed transaction is otherwise prohibited and no applicable general license or exemption is available. Approval is discretionary and depends on the circumstances of the transaction. If a general license already covers the activity, a separate application is not required.
Does being designated by OFAC automatically trigger EU or UK sanctions?
No. An OFAC designation does not automatically place a person or company on an EU or UK sanctions list. Each jurisdiction applies its own legal framework and makes a separate listing decision.
EU and UK authorities may impose similar sanctions where the same conduct meets their designation criteria, but a separate legal act is still required.
