clearly meet the requirements of an order as defined in § 372.6(a)(1) above, the Office of Export Administration will consider granting a waiver of the order requirement where the applicant is able to show that an exception is warranted. Some examples of reasons that, if fully substantiated, might warrant an exception are:

(i) An unusual expenditure of time, money or technical skill, in excess of ordinary sales expenses is necessary before negotiations for an order may be pursued and before a bid can be submitted or an order obtained.

(ii) The applicant is under an unusual obligation to export immediately the commodities or technical data covered because of a special trade or industry practice.

(iii) The export involves a sample, gift, relief, or charitable shipment, or other shipment where an order is not normally an element of the export transaction.

An applicant requesting such exception should submit with his application all required supporting documentation whenever possible and a statement explaining in full the reason(s) for the requested exception. If it is not possible to obtain the required documentation at the time the waiver request is submitted, these supporting documents shall be submitted as soon as they are obtainable. If the exception request is granted and the license is issued, certain conditions or limitations on the export may be imposed.

(2) Inquiry regarding prospects of obtaining license or other authorization. The Office of Export Administration gives a formal licensing decision only through the issuance of a license or other appropriate document. Such decisions are based upon the actual submission of a formal application or other formal request setting forth all the facts relevant to the export transaction and supported by all required documentation. However, if negotiations of the terms of an export order depend upon an indication of the prospects of obtaining an export license covering the transaction, the person proposing to export may submit an inquiry, before filing a license application. If at all possible, the Office of Export Administration will respond

with a preliminary opinion on the outlook for approval. The inquiry, of course, should describe the proposed transaction in full detail and explain why an advisory opinion is needed.

(d) Copies of documents. Section 387.11 defines the recordkeeping requirements of the Office of Export Administration, including the types of documents that must be kept. In the course of processing an application, the Office of Export Administration may request either the originals or copies of the documents constituting evidence of an order. The time and manner of submission will be made known to the applicant at the time the request for submission is made. In accordance with § 375.5, all documents submitted in connection with a license application must be identified clearly as a part of that application. All terms and abbreviations must be explained, and an English translation of documents in a foreig.. language must be attached.

(e) Changes in facts. Answers to all items on the application shall be deemed to be continuing representations of the existing facts or circumstances. Any material or substantive change in the terms of the order, or in the facts relating to the purchase transaction or other transaction, shall be promptly reported to the Office of Export Administration, whether a license has been granted or the application is still under consideration. If a license has been granted, such changes shall be reported immediately to the Office of Export Administration, in accordance with the provisions of § 372.7(b), even though shipments against the license may be partially or wholly completed. Change in intermediate consignee must be reported on the Shipper's Export Declaration, and in certain cases an amendment to the export license is required.

§§ 372.3(b)(3) and 372.11(e).)

(See

(Sec. 4 Pub. L. 91-184, 83 Stat. 842 (50 U.S.C. App. 2403), as amended: E.O. 12002, 42 FR 35623 (1977); Department organization order 10-3, dated December 4, 1977, 42 FR 64721(1977); and Industry and Trade Administration Organization and function order 45-1, dated December 4, 1977, 42 F.R. 64716 (1977))

[43 FR 47171, Oct. 13, 1978]

§ 372.7 Disclosure of prior action on the shipment.

Any license or amendment obtained without disclosure of the facts set forth in §§ 372.7 (a) and (b) below, where applicable, shall be deemed to have been obtained without disclosure of all facts material to the granting of the license or amendment, and the license and amendment so obtained shall be void.

(a) Detention of Commodities or Technical Data by Customs. Any person applying for an export license or requesting an amendment' to a license, who has reason to believe that the commodities or technical data covered by such license or amendment have been detained by the Office of Export Administration or by a Customs Office, shall disclose this fact to the Office of Export Administration at the time of application.

(b) Export Without a License. No license application or amendment request shall be submitted to the Office of Export Administration covering a shipment that is already laden aboard the exporting carrier or exported. If such export should not have been made without first securing a validated license authorizing the shipment, the exporter shall send an explanatory letter or telegram to the Compliance Division, Office of Export Administration (Room 2631), U.S. Department of Commerce, Washington, D.C. 20230. The explanation shall show why a validated license was not obtained and disclose all facts concerning the shipment that would normally have been disclosed on the license application or amendment request. The Office of Export Administration will inform the exporter of its action and furnish instructions to him by letter.

§ 372.8 Special types of individual license applications.

(a) Intransit Shipments-(1) Information required on application. A license application for commodities moving intransit through the United States that may not be exported under the provisions of General License

'See § 372.11 with respect to amendments to licenses and extensions of their validity periods.

GIT2 shall include the following information in the "Additional Information" item of the application or on an attachment:

(i) The name and address of the foreign consignor who shipped the goods to the United States;

(ii) A statement that the shipment is wholly of foreign origin; and

(iii) The notation "INTRANSIT SHIPMENT."

(2) Evidence of foreign government approval. The applicant should submit any available evidence showing the approval or acquiescence of the exporting country (or the country of which the exporter is a resident) with respect to the proposed ultimate destination of the shipment. Such evidence may be in the form of a Transit Authorization Certificate or other document.

(3) Applicability of special provisions. Except for a shipment originating in Canada, the application must be accompanied by the document applicable to the country of ultimate destination; e.g., an Import Certificate, a Consignee/Purchaser Statement, a Swiss Blue Import Certificate, or a Yugoslav End-Use Certificate, as appropriate (see Part 375 for details on these documents).

(4) Limitation on use of license. A license issued under this Section will be valid only for the export of an intransit shipment wholly of foreign origin and for which a Transportation and Exportation (T. & E.) customs entry

or

an Immediate Exportation (I.E.) customs entry is outstanding.

(5) Destination Control Statement. A shipment of foreign-origin commodities moving in transit through the United States under a validated license must comply with the destination control provisions of § 386.5. Under these provisions the destination control statement must be shown on all bills of lading or air waybills and commercial invoices in the possession of, or sent to the ultimate consignee or purchaser by, the shipper, exporter, carrier, and agent in the United States.

2For intransit shipments under General License GIT, see § 371.4; and for special clearance procedures applicable to intransit shipments, see § 386.3(p).

(b) Commodities Transiting Country Group Y or Z En Route to any Other Destination—(1) Information required on applications. A license application to export any commodity that will be unladen from a vessel or aircraft in Country Group Y or Z (or which will move in transit through Country Group Y or Z en route to Canada or a destination in Country Group Q, S, T, V or W) shall be submitted on Form DIB-622P. The application shall be prepared in accordance with the instructions contained in Supplement No. 1 to Part 372, except that where the intermediate consignee in the Group Y or Z country of unlading or transit is unknown at the time of filing the license application, the Group Y or Z country of unlading or transit shall be shown in the "Additional Information" item of the application or on an attachment by a statement such as:

To be transshipped at (name of transshipment point) and destined to (name of country); or, To be shipped to (name of country of destination) via (name of country).

(2) Designation of intermediate consignee. Except as set forth below, a validated license issued under the provisions of this § 372.8(b) will name the intermediate consignee in the Group Y or Z country of unlading or transit approved by the Office of Export Administration. (Transshipment authority does not relieve any person from complying with foreign laws. See § 374.9.)

(3) Intermediate consignee unknown. Where the license application indicates that the intermediate consignee in the Group Y or Z country of unlading or transit is unknown, the license will name the Group Y or Z country of unlading or transit approved by the Office of Export Administration. However, the exporter is obliged to obtain an amendment of the export license before shipment is made in those instances where the license does not include the name of the intermediate consignee in the Group Y or Z country of unlading or tiansit. (c) Temporary Exports—(1) Applications. General License GTE (see § 371.22) authorizes the temporary export of commodities under certain conditions. The provisions of this

§ 372.8(c) apply to the temporary export of a commodity not exportable under General License GTE or any other general license. An application for a license covering a temporary export does not require the usual supporting documentation issued by either the consignee or the country of ultimate destination. Instead, the application shall include the following statement in the space entitled "Additional Information" or on an attachment thereto:

The commodities described on this application are to be temporarily exported for (state purpose of export; e.g., demonstration, testing, exhibition, etc.) and returned promptly to the United States after their use abroad as authorized, unless other disposition has been specifically requested and authorized in writing by the Office of Export Administration.

In addition, since the applicant retains title to the commodities, he shall be shown on the application as the ultimate consignee, in care of the person who will have custody of the commodities abroad.

(2) Return of commodities to the United States. When commodities are returned to the United States after temporary use abroad in Country Group Q, S, W, Y, or Z, the applicant shall notify the Office of Export Administration, in writing. The notice shall include the case number shown on the related U.S. validated export license, the customs import entry number (if any) of the returned shipment, the date of return, and the port of entry at which all or any part of the commodities were returned to the United States. If only a part of the commodities are covered by the notification, a full explanation shall be included, and an additional written notification sent to the Office of Export Administration for each partial return until the entire shipment described on the related export license is returned.

(3) Commodities not returned to the United States. If it is decided that the commodities are not to be returned to the United States, a Request To Dispose of Commodities or Technical Data Previously Exported, Form DIB699P or IA-1145, or a letter, shall be sent to the Office of Export Administration (Room 1617M), requesting au

thorization to dispose of the commodities. (See § 374.3.) In addition, except where the commodities are to be used on a temporary basis only at the proposed reexport destination and returned to the United States after such use, the reexport request shall be accompanied by any documents that would be required in support of an export license application for shipment of the same commodity directly to the proposed destination.

(4) Action by Office of Export Administration. If Form DIB-699P or the letter request is approved, the Office of Export Administration will validate and issue the second copy of Form DIB-699P. If the request is disapproved, the applicant will be advised of such action. If it is subsequently desired to make any other use or disposition of the commodities that is not authorized by the validated Form DIB699P, a properly documented written request for amendment of the form shall be submitted. (Reexport or distribution authority does not relieve any person from complying with foreign laws. See § 374.9.)

§ 372.9 Issuance of validated licenses.

(a) General. When a license application is approved by the Office of Export Administration, a license is issued on Export License, Form DIB628 or FC-628. An export license may not set forth all the facts relating to the transactior as they appeared in the license application and supporting documents. Nevertheless, any validated license issued authorizes only the specific export transaction described in the application and supporting documents, unless otherwise specifically provided by the license or the Export Administration Regulations.

(b) Issuance of License Document. When a license application is received in the Office of Export Administration it is assigned a case number, consisting of the letter "A" followed by six digits, for identification purposes. This number will also be the license number. After an application is approved, the covering license is issued on Form DIB-628, which is the duplicate copy of Form DIB-622P revised March 1975 or later. This document is then validated with the Department

of Commerce seal, the date of validation, and the expiration date in the upper right hand corner of the license. Where necessary, other attachments to a license will also be validated with the Department of Commerce seal and the date of validation. Export licenses, even though they include a license number, are not valid and may not be used unless they have been validated with the Department of Commerce seal. Exporters are cautioned to use the complete license number (the letter "A" followed by six digits) when preparing Shipper's Export Declarations or other export documents or when requesting services from the Office of Export Administration.

(c) Units of Quantity. Where no unit of quantity is shown in the "Unit" column of the Commodity Control List (§ 399.1), commodities are licensed in terms of the total dollar value as shown on the license. To consider a license application for such commodities, the Office of Export Administration requires that the unit of quantity commonly used in the trade must be shown on the application. Although the same terminology may appear on the license, the quantity of the commodities authorized for export in such instances is, nevertheless, limited entirely by the total dollar value shown on the license.

(d) Validity of License—(1) One-year validity period. Unless otherwise stated on the face of the license, an export license is valid for one year from the last day of the month during which it is issued; e.g., a license issued on June 11, 1978, would expire on June 30, 1979. The expiration date is shown on the license. If the expiration date falls on a legal holiday (Federal or State), the validity period is automatically extended to midnight of the first day of business following the expiration date.

(2) Extended validity period. As an exception to the general practice of limiting validity periods to one year, the Office of Export Administration will consider granting a validity period exceeding one year where circumstances warrant. For example, an extended validity period will generally be granted when production lead time will not permit export within one year

of issuance of a validated license or where the transaction is related to a major multi-year construction project. A continuing requirement to supply spare or replacement parts, however, will generally not justify an extended validity period. Applicants may request an cxtended validity period by indicating the desired validity period in Item 12 of Form ITA-622P, and attaching justification and documentation to support the request. The approved expiration date will be indicated on the face of the license. For extensions of validity period after the license has been issued, see § 372.12.

(3) Special provisions. If special provisions for any commodity include terms regarding the validity period of an individual export license, these will be found in Part 376, or, in the case of commodities subject to short supply controls, in Part 377.

(4) Revocations, suspensions, or revisions. Outstanding licenses may be revised, suspended, or revoked, or the validity periods thereof may be extended or reduced, by appropriate orders or regulations.

(e) Reports. Any person to whom a validated license has been issued shall file with the Office of Export Administration such reports as the Office of Export Administration shall, from time to time, require.

(f) Return of Unused or Revoked Licenses. If it is determined that a license is not to be used or if it is revoked, it shall be returned immediately to the Office of Export Administration. (See also § 386.2(d)(4) regarding the return of used or expired licenses.) (Sec. 4 Pub. L. 91-184, 83 Stat. 842 (50 U.S.C. App. 2403), as amended; E.O. 12002, 42 F.R. 35623 (1977); Department Organization Order 10-3, dated December 4, 1977, 42 FR 64721 (1977); and Industry and Trade Administration Organization and Function Order 45-1, dated December 4, 1977, 42 FR 64716 (1977))

[40 FR 27227, June 27, 1975, as amended at 43 FR 56659, Dec. 4, 1978]

§ 372.10 Duplicate license.

Where a license is lost or destroyed, the licensee may obtain a duplicate of such license by submitting a letter to the Office of Export Administration

(Room 1617 M), containing the following information:

(a) That the original license assigned Export License number-issued

to (Name and address of licensee) has been lost or destroyed;

(b) The circumstances under which it was lost or destroyed;

(c) The quantity and value of commodities, if any, that have been shipped under the original license; and (d) If the original license is found, the licensee agrees to return either the original or duplicate license to the Office of Export Administration. Where partial shipment has been made, the duplicate license will cover only the unshipped balance.

§ 372.11 Amending export licenses.

(a) Persons Authorized To Amend Licenses. No amendments or alterations of outstanding export licenses may be made except by the U.S. Department of Commerce or under specific instructions from the U.S. Department of Commerce.

(b) General Provisions. The Office of Export Administration will consider for approval a request to amend an outstanding export license for the purpose of conforming it to changes which have taken place in the original transaction, provided that the change is not of such significance as to constitute a new transaction.

(c) Amendments of Pending License Applications. A request to amend a pending license application may be submitted at any time. The amendment procedure set forth in this § 372.11 shall be followed with respect to these requests. The request shall include the applicant's reference number, date of application, commodity, country of destination, case number if known for the purpose of identifying the application, and reasons for the request.

(d) Changes Requiring a New License Application. Except for changes to a Project License, the following types of changes are considered to be of such significance as to constitute an essentially new transaction and therefore require a new license application: (1) Country of ultimate destination; (2) Ultimate consignee (except as indicated in § 372.11(e)(2) below); and