Caution Here: The New Iran Nuclear Accord and the Temporary Easing of Sanctions Do Not (Yet) Mean that Sunny Relations Lie Ahead
By SCOTT M. FLICKER & DEVON E. WINKLES
The “first step” agreement reached in Geneva on November 24 between Iran and the “P5+1” (the United States, United Kingdom, Germany, France, Russia and China) appears to be a historic breakthrough in the continuing diplomatic effort to prevent Iran from obtaining nuclear weapons capability. In exchange for Iran’s agreement to scale back some enrichment activities and permit international oversight of its nuclear program, the P5+1 are providing what the United States characterizes as “limited, temporary, targeted and reversible relief” from sanctions. This client alert outlines this limited relief. In this complex environment, those non-U.S. companies seeking to engage in transactions subject to this relief should tread carefully.