{
  "id": "RL30273",
  "type": "CRS Report",
  "typeId": "REPORTS",
  "number": "RL30273",
  "active": false,
  "source": "EveryCRSReport.com",
  "versions": [
    {
      "source": "EveryCRSReport.com",
      "id": 105425,
      "date": "2001-01-11",
      "retrieved": "2016-05-24T20:30:30.748941",
      "title": "Encryption Export Controls",
      "summary": "Encryption exports are controlled under the Arms Export Control Act (AECA) and the Export\nAdministration Act (EAA), the latter statute to expire August 20, 2001. The more stringent AECA\ncontrols, administered by the State Department, apply to encryption items classified as defense\narticles or services. Items not so classified are subject to regulation by the Department of Commerce\n(DOC) under the extended EAA authorities. DOC requires licenses for certain commodities and\nsoftware, but allows other encryption items to be exported under license exceptions.\n  The U.S. Government has traditionally maintained that controls over strong encryption are\nnecessary for national security, foreign policy, and law enforcement reasons. Industry has argued\nthat federal regulatory policies insufficiently address rapid technological developments, prevent\nmanufacturers from marketing products available abroad, and harm U.S. national interests by making\nstrong U.S. encryption unobtainable by legitimate users worldwide. While most encryption was\noriginally controlled under the AECA, in late 1996 the President transferred jurisdiction over\nnonmilitary items to DOC, which at the same time eased controls over commercial encryption that\nused a key recovery feature or was destined for financial institutions. In 1998 the Administration\nfurther relaxed controls over 56-bit technology generally and stronger encryption destined for U.S.\nSubsidiaries, insurance companies, and other end-users, retreating from earlier key recovery\nrequirements. Further modifications were announced in September 1999, allowing license\nexceptions for the export of encryption of any key length after a technical review to most end-users\nin all but terrorist countries; draft regulations were issued in late 1999. Following criticism by\ncompanies, privacy groups and Internet proponents, DOC expanded aspects of its original proposal\nand issued new regulations in January 2000. Regulations issued in October 2000 further streamlined\ncontrols over encryption exports to 23 countries including European Member states. Restrictive\nexport licensing regulations have raised constitutional concerns, some arguing that they impose a\nprior restraint on speech in violation of the First Amendment. Federal courts have both upheld and\ndismissed First Amendment challenges to export controls, the outcome generally turning on whether\nthe court viewed the encryption item and its export as essentially expressive or functional. Courts\nin California and Ohio have allowed challenges to proceed, holding that encryption source code is\nprotected speech for First Amendment purposes.\n Legislation introduced in the 106th Congress would have required increased liberalization of\nencryption export controls.   H.R. 850  , the Security and Freedom Through\nEncryption\n(SAFE) Act, was reported from the House Judiciary Committee, House Commerce Committee (as\namended), and House International Relations Committee (as amended); significantly more restrictive\nversions of the bill had been reported by the House Armed Services Committee and House\nPermanent Select Committee on Intelligence ( H.Rept. 106-117 , Pts 1-5).   S. 798  , the\nPromote Reliable On-Line Transactions to Encourage Commerce and Trade (PROTECT) Act of\n1999, was reported favorably and without amendment by the Senate Commerce Committee ( S.Rept.\n106-142 ). No further action was taken on these bills. This report will be updated periodically.",
      "type": "CRS Report",
      "typeId": "REPORTS",
      "active": false,
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      "topics": []
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  "topics": [
    "Constitutional Questions",
    "Foreign Affairs"
  ]
}