ABSTRACT
UN sanctions lack their own enforcement apparatus and therefore have to rely on UN member states and the private sector to ensure implementation and compliance. This chapter argues that the corporations have become a critical vehicle for UN sanctions implementation through (i) internal steps to ensure compliance with UN sanctions and (ii) requiring compliance with UN sanctions from their contractual counterparties. This effort is primarily led by financial institutions, setting the “gold standard” of sanctions compliance. Based on author’s private practice experience, this chapter therefore focuses on various internal and external measures adopted by the corporate sector to effectively implement UN sanctions, including due diligence of counterparties and contractual clauses aimed at minimizing sanctions risks and exposure. The chapter therefore identifies best practices and provides recommendations for common definitions and contractual clauses to ensure UN sanctions compliance and implementation by the corporate sector and concludes with the vision that such compliance and implementation will continue to strengthen, thus ensuring better UN sanctions effectiveness and global outreach.
