On February 10, 2025, President Trump signed an executive order (EO) directing the Department of Justice (DOJ) to pause enforcement of the Foreign Corrupt Practices Act (FCPA) for 180 days. During this period, Attorney General Pam Bondi is tasked with reviewing and issuing revised enforcement guidelines. The EO also mandates that any future FCPA investigations or enforcement actions receive direct approval from the Attorney General.
The EO explains the pause by asserting that FCPA enforcement has placed U.S. companies at a competitive disadvantage internationally. It emphasizes that “overexpansive and unpredictable FCPA enforcement against American citizens and businesses…for routine business practices in other nations not only wastes limited prosecutorial resources but actively harms American economic competitiveness.”
The enforcement pause creates many uncertainties, including the possibility of fundamental changes to FCPA corporate enforcement in the U.S. Nevertheless, it is crucial for companies to approach the situation with caution. While the DOJ may temporarily halt FCPA enforcement, the law itself remains in effect at this time. Engaging in practices that could be construed as bribery or corruption may still carry significant legal and reputational risks. Additionally, other jurisdictions continue to enforce their own anti-bribery laws, and international business partners may have stringent compliance requirements.
We recommend that companies maintain their current anti-bribery compliance programs and continue to adhere to established anti-corruption policies. It is advisable to monitor any updates from the DOJ regarding revised enforcement guidelines and consult with legal counsel to assess potential impacts on your operations. Maintaining a strong commitment to ethical business practices will help safeguard your company against potential legal challenges and uphold your reputation in the global marketplace.
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