SAP Compliance Office Releases Letter to Partners on Guidelines Related to Doing Business with Iran
The SAP Compliance Office has officially released a letter providing guidelines to SAP partners on the topic of doing business with Iran.
The letter serves as a reminder to partners who are contemplating entering to do business with Iran in light of several restrictions that are still in place after certain EU and US sanctions were lifted starting January 16, 2016.
The letter goes on to state that severe penalties can be imposed to individuals and companies that do not adhere to the restrictions. The letter also references the SAP Partner Code of Conduct, which provides guidelines for acceptable SAP Partner conduct in the world economy.
Dear SAP Partners,
As you know, SAP is a global software enterprise company with significant presence in the United States and Europe. Integrity and transparency constitute a cornerstone for the way in which SAP does business worldwide. SAP has always maintained a strong commitment to ethics and compliance, including compliance with all applicable export control laws and regulations.
Pursuant to those applicable laws and the SAP Partner Code of Conduct, Partners may be prohibited from supplying, distributing or committing to supply, whether directly or indirectly, any SAP Product or parts thereof to any Iranian person, business, company or organization or to any customers which are considered an Iranian person. Moreover, SAP Partners may be prohibited from facilitating any business relationship with third parties related to business in Iran. The penalties for violating export control laws are severe and could be imposed on all companies and individuals involved.
On January 16, 2016, certain EU and U.S. sanctions against Iran were partially lifted in accordance with implementation of the Joint Comprehensive Plan of Action (“JCPOA”) agreed between Iran and the EU, U.S., UK, Germany, France, China and Russia. Notwithstanding these efforts, several restrictions on U.S. persons and the export or re-export of goods subject to U.S. jurisdiction remain in place.
In the light of the changes brought about by the JCPOA, as well as the renewed focus by many businesses to enter Iran and the risks associated with such entry, we would like to remind you of the following contractual obligations under your SAP Partnership Agreement:
- SAP Software and related Technical Information are subject to U.S., EU, Germany, and/or other applicable export control laws, which may prohibit their delivery to certain countries, including Iran;
- Partners must adhere to applicable export control laws and regulations of the United States regarding any (re-)export of SAP Software and/or Technology;
- Partners will not export or re-export SAP Software and/or Technology in violation of the export control regulations of the U.S., EU, Germany, or any other export control laws in the Territory in which the Partners operate;
- Prior to any (re-)export of SAP Software and/or Technology Partners will obtain the required export control licenses where necessary;
- SAP may refuse the fulfillment of its obligations under the Partnership Agreement if, and for as long as, such fulfillment violates U.S., EU, German, or other export control laws, or any other export control law in the Territory;
- Partners are not allowed to sell any licenses into Iran, without the required licenses and approvals from the authorities or to provide support to any prospects/companies in Iran who are using unauthorized SAP software. If you are aware of any such cases you should immediately inform SAP Global Compliance at email@example.com
The above mentioned points are also captured in the SAP Partner Code of Conduct that was earlier shared with you and which you can access here for your ease of reference.
SAP encourages you to obtain independent legal advice where necessary, to be vigilant at all times regarding business transactions, and to implement appropriate policies and procedures in your organization to ensure that you remain compliant with all applicable laws and regulations, as well as all obligations under the SAP Partnership Agreement and the SAP Partner Code of Conduct.
If you have questions about this notice or to report any suspected violations, please contact SAP Global Compliance at firstname.lastname@example.org.