Law Firm, Staffing Company Fined After Misinterpretation of ITAR

A national law firm and a Washington, D.C., legal staffing company will pay $56,500 after the Justice Department said they misinterpreted citizenship requirements in the International Traffic in Arms Regulations. The firm, Arnold & Porter Kaye Scholer, and the staffing company, Law Resources Inc., excluded dual citizens and “work-authorized non-U.S. citizens” when hiring temporary employees, screening them out in the recruiting process, the Justice Department said July 23. The firm and company violated the Immigration and Nationality Act's anti-discrimination provision.

The Justice Department said Arnold & Porter and Law Resources “improperly interpreted” ITAR requirements. The ITAR does not block companies from hiring non-U.S. citizens, but instead requires that employers obtain prior State Department authorization if foreign employees require access to information controlled under the ITAR. In addition to the $56,000 settlement, Law Resources will pay a separate $3,000 civil penalty and nearly $12,000 to a worker who alleged the company retaliated after the worker complained about the hiring discrimination.