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I have worked for a company that was threatened by the US to not offer services to several countries or face criminal charges in the US. I'm talking about a saa
by epolanski 8mo ago
I have worked for a company that was threatened by the US to not offer services to several countries or face criminal charges in the US. I'm talking about a saas nothing strange.
We were too small and bent, also US customers were 30% of the total which made it a non choice.
- troad 8mo ago> not offer services to several countries The kind of vague phrasing that makes one immediately suspicious. What were these 'several countries'? Iran? Cuba? North Korea? > also US customers were 30% of the total which made it a non choice You're literally operating in the US then. It's obvious US laws would apply if you're serving US customers.
- epolanski 8mo ago> What were these 'several countries'? Iran? Cuba? North Korea? It doesn't matter which those were, we were obliged to respect laws of the European country we were incorporated, not US ones.
- troad 8mo agoYou're serving US customers. You are doing business in the US, and therefore you are subject to US law. What about when a customer requests a refund, do you just pretend US consumer protection laws don't apply to that customer? Or to turn your logic around, can American corporations do business in Europe while just completely ignoring the GDPR and all other European laws? Laws are not a buffet. You choose to do business in a market, you've opted to be regulated in that market. You are absolutely free to sell your services to whoever you want, but the US is equally free to refuse to allow you to operate domestically if you're breaking their laws (and otherwise make your life difficult if you e.g. rely on US banking infrastructure). If you want to do business in Iran, don't expect to do business in the US.
- epolanski 8mo agoExcept that the hint was for criminal charges, not lack of business :)
- troad 8mo agoZero difference. If someone is selling children's toys, and 30% of her customers are in the US, and then it turns out her toys are made entirely of lead and asbestos, should she not face US criminal penalties? You choose to do business in a jurisdiction, you bind yourself to their laws. That means all laws, not just ones you like, or think that are relevant to your business. Laws are not a buffet. Don't do business in jurisdictions where you feel like you cannot comply with domestic law. No one is requiring you to do business in the US. People choose to do business in the US so they can profit from US customers, and that's totally fine, but doesn't come with some magical immunity to US law.
- epolanski 8mo agoI agree with you, but you keep missing that: 1. This isn't about business but charges. There's no way in hell US can e.g. prosecute non us citizens from trading with Cuba e.g. the embargo applies to US individuals and companies. The rest of the world, e.g. European countries, have normal relations with Cuba and nobody gives two damns about the embargo. 2. The same thing happens in reverse and applies to US companies doing business overseas.
- troad 8mo ago> This isn't about business but charges. There's no way in hell US can e.g. prosecute non us citizens from trading with Cuba Sure it can. It can do whatever it wants in its domestic courts. Turkmenistan can prosecute you and me right now for failure to pay insufficient deference to dear leader. Whether this impacts us in any way is the actual question. We presumably do not want to do business in Turkmenistan. But the OP wants to do business in the US. Ergo, the OP is subject to US law, irrespective of what he thinks US law should look like or what its limits ought to be. OP doesn't have to do business in the US at all and be completely and utterly untouched by US law - he won't be extradited anywhere unless the offence in question is also an offence in his own country, which as you point out, the Cuban embargo (etc) isn't. This is how you and I stay safe from the many Turkmenistani indictments hanging over us. This is not a case of someone bravely standing up for justice and freedom, this is a case of someone wanting to profit from US customers but somehow have total immunity from US law. And I'd respectfully point out that if the countries were reversed, and we were talking about e.g. Russia, the European countries would be apoplectic about anyone doing business there. Imagine a Brazilian company selling drone motors to Russia. Can its executives expect to travel freely through the EU without fear of arrest? Do business in the EU?
- snypher 8mo agoIt matters because it gives context to the potential reason they were behaving that way.
- egorfine 8mo ago> It's obvious US laws would apply if you're serving US customers So any customer from Libya makes it customary for my female co-workers to wear hijab at the workplace, right? Same logic. No. A customer who voluntarily purchases services from a company in a different jurisdiction does NOT automatically makes this company subject to his specific jurisdiction.
- Spivak 8mo agoShe does if you want to keep doing business there. That's the stick that's available. Either you follow their laws despite not being in their jurisdiction or you can't sell to customers in Libya. I don't like it same as you because it makes doing business on the internet complicated but it's how it works in practice.
- egorfine 8mo ago> you can't sell to customers in Libya Why though? Libya has no jurisdiction over my business in the EU. I place no restrictions on who can purchase a subscription on my SaaS. I certainly can sell to customers in Libya. All Libya can do is ban my business, but they can only implement that ban within their own sovereign borders.
- Spivak 8mo agoI suppose inability for you to sell and inability for customers to buy are technically different but the end result ends up being the same. If you need to access that market then they have leverage over you to force compliance with their laws.
- egorfine 8mo agoI'm not sure Libya has any solution to prevent their citizens from purchasing my services. Blocking access to my site, sure. But preventing citizens from using my service is going to be much, much harder. So, no.
- veunes 8mo agoThis is probably the part people underestimate