The Israel Anti-Boycott Act is a minor updating of a venerable statute that has been at the center of the U.S. consensus on Israel policy — the laws designed to counteract Arab states’ boycott of Israel by barring Americans from joining such boycotts.
Now, the American Civil Liberties Union has dropped a bomb: It says the proposed actunconstitutionally abridges free speech. Although the ACLU is only lobbying against the current bill, its argument is against the entire system of federal anti-boycott law, including the anti-boycott provisions of the 1977 Export Administration Act, a consequence that the group seems unwilling to admit (see Eugene Volokh’s post). Indeed, the ACLU’s position would make many U.S. sanctions against foreign countries (Iran, Russia, Cuba, etc.) unconstitutional.
The ACLU’s claims are as weak as they are dramatic. I should note that I have been involved withstate-level “anti-BDS” (boycott, sanctions and divestment) legislation and have advised on some of the federal bills. Although well-crafted measures avoid First Amendment problems, there are ways such laws can get it wrong, and I have been open in calling out measures that go too far. (For example, the application of such laws to prevent a Roger Waters concert is quite problematic.)
Current law prohibits U.S. entities from participating in or cooperating with international boycotts organized by foreign countries. These measures, first adopted in 1977, were explicitly aimed at the Arab states’ boycott of Israel, but its language is far broader, not mentioning any particular countries.
Since then, these laws and the many detailed regulations pursuant to them, have been the basis for a large number of investigations and prosecutions of companies for boycott activity. The laws are administered by a special unit of the Commerce Department, the Office of Antiboycott Compliance.
The existing laws cover not just participation in a boycott, but also facilitating the boycott by answering questions or furnishing information, when done in furtherance of the boycott. For example, telling a Saudi company, “You know, we don’t happen to do business with the Zionist entity” would be prohibited. It is no defense for one who participates in the Arab League boycott to argue that they happen to hate Israel anyway. Nor is it a defense to argue that one loves Israel and is simply being pressured by Arab businesses. It is the conduct that matters, not the ideology.It is easy to invent absurdly broad readings of statutes that would make them unconstitutional. The real question is if the statute would ever be applied and interpreted in that way. With the current bill, one need not wonder how it would be enforced: There are decades of administrative regulations and enforcement policies under the existing law that would apply to the new one. These all confine the prohibition to commercial conduct.
Such updating of the 1977 anti-boycott measures could not be more timely. Several United Nations agencies have initiated secondary boycotts of Israel — that is, boycotting non-Israeli companiesbecause of their connection to the Jewish state. In support of such secondary boycotts, the U.N. Human Rights Council is preparing a blacklist of Israeli-linked companies (using such a broad definition of “supporting settlements” that the blacklist could sweep in any Israeli-linked firm).
The UNHRC’s blacklist of Israeli companies is unprecedented — the organization has never made lists of private companies or entities for any purpose. Indeed, as has been shown in a recent report I authored, the Human Rights Council clearly does not regard businesses “supporting” settlements to be a human rights issue except when Israel is involved.
The blacklist is not a mere research project. It will serve as the basis for economic action against the listed firms. Indeed, the UNHRC has not been coy about its motives; a year after passing the resolution calling for the database, it passed a resolution that in effect calls for a partial boycottagainst Israel. (Existing federal boycott regulations make clear that a regulated boycott call need not be explicit.) It is quite likely that U.N. agencies will begin avoiding business with companies because of those companies’ business with Israel.