Preparing voluntary self-disclosures for export control violations is a high-stakes, time-intensive process requiring meticulous fact-gathering, precise legal analysis of EAR and ITAR regulations, and careful citation of CFR provisions. Trade compliance attorneys spend 6-8 hours manually researching regulatory requirements, analyzing transaction records, drafting detailed violation narratives, and ensuring submissions meet BIS or DDTC formatting standards—all while racing against disclosure deadlines.
Drafting a Voluntary Self-Disclosure to BIS or DDTC is a complex, high-stakes process requiring meticulous factual analysis, sophisticated legal reasoning, and strategic presentation. Manual preparation demands extensive document review, regulatory analysis, and careful drafting that can take weeks while the clock ticks on disclosure timing requirements.
CaseMark automates the VSD drafting process by analyzing your transaction records, extracting relevant facts, applying regulatory frameworks, and generating comprehensive disclosure documents. The platform ensures all required elements are addressed while maximizing mitigation benefits under voluntary disclosure policies.
This workflow is applicable across multiple practice areas and use cases
Defense contractors and government vendors must disclose export control violations and ITAR/EAR compliance issues that may affect contract performance or eligibility.
Government contracts attorneys regularly handle compliance matters involving export controls, and voluntary disclosures are critical for maintaining contractor eligibility and avoiding suspension or debarment.
Criminal defense attorneys representing clients in export control enforcement actions use voluntary disclosures as a mitigation strategy to reduce criminal exposure and demonstrate cooperation.
Export control violations can result in criminal prosecution, and timely voluntary disclosures to BIS or DDTC are a key defense strategy that can influence charging decisions and sentencing.
Corporate counsel managing compliance programs need to prepare voluntary disclosures when export control violations are discovered during internal audits or due diligence processes.
General corporate practice includes regulatory compliance oversight, and companies engaged in international business frequently encounter export control issues requiring disclosure and remediation.
M&A attorneys discovering export control violations during due diligence must prepare voluntary disclosures to address pre-closing compliance issues and mitigate deal risk.
Export control compliance is a critical due diligence issue in M&A transactions involving defense, aerospace, or technology companies, and undisclosed violations can create significant liability and valuation concerns.
A Voluntary Self-Disclosure (VSD) is a formal notification to BIS or DDTC regarding potential violations of export control laws. You should submit a VSD when you discover a possible violation of the EAR or ITAR before the government learns of it from other sources. Timely voluntary disclosure can significantly reduce penalties and demonstrate good faith compliance efforts.
CaseMark analyzes your transaction documents, communications, and compliance records to extract relevant facts and organize them chronologically. It then applies the appropriate regulatory framework (EAR or ITAR) to generate a comprehensive disclosure document with proper legal analysis, remedial measures description, and all required certifications. The platform ensures your disclosure addresses all elements required for favorable consideration under voluntary disclosure policies.
You'll need transaction records (invoices, shipping documents, licenses), internal communications about the transactions, technical specifications for the controlled items, and any compliance program documentation. Optional but helpful materials include investigation reports, prior agency correspondence, and audit findings. CaseMark will analyze these documents to build the factual foundation for your disclosure.
CaseMark reduces the drafting process from 20-30 hours of manual work to approximately 45 minutes of automated processing, plus attorney review time. The platform handles document analysis, fact extraction, regulatory analysis, and initial drafting, allowing counsel to focus on strategic decisions and final quality review rather than time-consuming document preparation.
Voluntary disclosure can result in significantly reduced civil penalties, no denial of export privileges in egregious cases, and favorable consideration in enforcement proceedings. Both BIS and DDTC maintain policies that reward companies for self-reporting violations, conducting thorough investigations, and implementing meaningful remedial measures. A well-prepared VSD demonstrates compliance commitment and can preserve your ability to continue export activities.