The Committee on Foreign Investment in the United States (CFIUS or Committee) reviews foreign direct investment transactions in a U.S. company to determine domestic security risks. This examination focuses on the risk that the technology or intellectual property may be transferred as a result of investments made by a foreign company outside the United States. CfIUS has been granted broad and modern powers under the Foreign Investment Risk Review Modernization Act 2018¹ (FIRRMA or the Act). It expanded CFIUS oversight and nearly doubled the list of national security factors that CFIUS should consider in its risk audits. As a result, U.S. companies investing in foreign companies and foreign companies willing to invest in the U.S. should prepare for a major CFIUS review process. On 10 A pilot program was set up on November 27, 2018, in which the codes, industries and technologies of the North American Industry Classification System (NAICS) were specified for certain transactions involving critical technologies. The pilot program does not address critical infrastructure or personal information collected. Overall, CFIUS` annual submissions are expected to multiply from hundreds to more than a thousand in 2019.

In addition to the 27 sectors mentioned in the pilot program of the law, many other companies could be concerned: negotiating the network security agreements necessary for the cfIUS authorization of investments in the telecommunications sector after September 11. Helping a European telecommunications company buy a US internet service provider without having to conclude a national security agreement, thus avoiding the terms of the acquisition. FIRRMA and its implementing rules instruct CFIUS to focus on sectors and sectors that, until now, do not pose any national security risk in cross-border operations. The United States is among the types of U.S. companies that have been identified for enhanced CFIUS review, known as “TID U.S. Businesses”[3] – the United States. Companies that collect or retain certain types of sensitive personal data about U.S. individuals. Explicitly included in the definition of “sensitive personal data”: CFIUS has the power to negotiate, enter into or enforce and enforce agreements or conditions with a party, in order to reduce any national security risk resulting from a covered transaction or a covered real estate transaction if other legal provisions do not provide appropriate authority to manage the risk.

These include circumstances in which a party has voluntarily chosen to abandon a transaction and mitigation measures are necessary to accomplish such a task and address the associated risk arising from the transaction. CFIUS may enter into a mitigation agreement or impose a condition after it has been established that such an agreement or condition resolves the national security risk resulting from the transaction and is reasonably calculated as effective, verifiable and verifiable in the long term. . . .

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