Photo of Kelsey Shust

Kelsey Shust is a litigator in the firm’s Washington, DC office.

Before joining the firm, Kelsey served in the U.S. Air Force as a Judge Advocate. For four years, Kelsey gained courtroom experience prosecuting and defending criminal cases. Kelsey served on 10 trial teams that litigated cases to verdict, as well as five trial teams involving guilty pleas.

Following Kelsey’s trial experience, she was assigned to serve as an appellate counsel. Kelsey represented the United States against allegations of court-martial trial errors. She argued a total of four cases before the Air Force Court of Criminal Appeals and Court of Appeals for the Armed Forces.

Prior to law school, Kelsey worked on a Senator’s staff as a legislative correspondent. Kelsey drafted memoranda on issues involving banking, Social Security, housing, transportation, and the federal budget.

Section 5949 of the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (“FY2023 NDAA”) contains two significant prohibitions regarding the procurement and use of semiconductor products and services from specific Chinese companies and other foreign countries of concern (the “Semiconductor Prohibitions”). Although many aspects of the prohibitions remain unclear, the legislation portends noteworthy obligations in the coming years for government contractors, their suppliers, and those who may be interested in entering into agreements with the United States.

A timeline of noteworthy events and requirements associated with the Semiconductor Prohibitions is available here.

I. The Prohibitions

A. Prohibition Text

The Semiconductor Prohibitions are divided into two subsections:

  1. Section 5949(a)(1)(A) (“Part A”) provides that the head of an executive agency may not “procure or obtain, or extend or renew a contract to procure or obtain, any electronic parts, products, or services that include covered semiconductor products or services.”
  2. Section 5949(a)(1)(B) (“Part B”) provides that the head of an executive agency may not “enter into a contract (or extend or renew a contract) with an entity to procure or obtain electronic parts or products that use any electronic parts or products that include covered semiconductor products or services.”

Continue Reading NDAA Prohibits Government Purchase and Use of Certain Semiconductors