PUBLIC LAW 102-88—AUG. 14, 1991 105 STAT. 439 "(7) Foreign trade or financial transaction restrictions that would reveal the commercial activity as an activity of the United States Government. "§ 434. Reservation of defenses and immunities "The submission to judicial proceedings in a State or other legal jurisdiction, in connection with a commercial activity undertaken pursuant to this subchapter, shall not constitute a waiver of the defenses and immunities of the United States. "§ 435. Limitations "(a) LAWFUL ACTIVITIES. — Nothing in this subchapter authorizes the conduct of any intelligence activity that is not otherwise authorized by law or Executive order. "(b) DOMESTIC ACTIVITIES.—Personnel conducting commercial activity authorized by this subchapter may only engage in those activities in the United States to the extent necessary to support intelligence activities abroad. "(c) PROVIDING GOODS AND SERVICES TO THE DEPARTMENT OF DE- FENSE.— Commercial activity may not be undertaken within the United States for the purpose of providing goods and services to the Department of Defense, other than as may be necessary to provide security for the activities subject to this subchapter. " (d) NOTICE TO UNITED STATES PERSONS. — (1) In carrying out a commercial activity authorized under this subchapter, the Secretary of Defense may not permit an entity engaged in such activity to employ a United States person in an operational, managerial, or supervisory position, and may not assign or detail a United States person to perform operational, managerial, or supervisory duties for such an entity, unless that person is informed in advance of the ^ intelligence security purpose of that activity. "(2) In this subsection, the term 'United States person' means an individual who is a citizen of the United States or an alien lawfully admitted to the United States for permanent residence. "§436. Regulations "The Secretary of Defense shall prescribe regulations to implement the authority provided in this subchapter. Such regulations shall be consistent with this subchapter and shall at a minimum— "(1) specify all elements of the Department of Defense who are authorized to engage in commercial activities pursuant to this subchapter; "(2) require the personal approval of the Secretary or Deputy Secretary of Defense for all sensitive activities to be authorized pursuant to this subchapter; "(3) specify all officials who are authorized to grant waivers of laws or regulations pursuant to section 433(b) of this title, or to approve the establishment or conduct of commercial activities pursuant to this subchapter; "(4) designate a single office within the Defense Intelligence Agency to be responsible for the management and supervision of all activities authorized under this subchapter; "(5) require that each commercial activity proposed to be authorized under this subchapter be subject to appropriate legal review before the activity is authorized; and "(6) provide for appropriate internal audit controls and oversight for such activities.
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