Skadden, Arps, Slate, Meagher & Flom LLP and Affiliates

Reminder: DOW’s Ban on Contractors Retaining CMC Lobbyists Takes Effect June 30

Skadden Publication / Political Law Compliance and Investigations Update

Ki P. Hong Charles M. Ricciardelli Tyler Rosen Matthew Bobys Theodore R. Grodek Melissa L. Miles Sam Rothbloom Kirin Gupta Lucy Kalar Pavla Ovtchinnikova Alexa O. Santry

As detailed in prior mailings, effective June 30, 2026, the Department of War (DOW)1 will be prohibited from entering into a contract with a company that is a party to a contract with a “covered lobbyist” for any entity the DOW has identified as a Chinese military company on a publicly available list known as the “CMC List.” The CMC List, which is updated annually, was most recently updated on June 8, 2026.

Notably, on June 15, 2026, Reps. John Moolenaar, R-Mich., and Elise Stefanik, R-N.Y., sent a letter to Secretary Pete Hegseth requesting that DOW strictly implement this ban and offering three recommendations as it does so:

  1. That DOW apply the ban to both current as well as prospective contractors.
  2. That DOW encourage contractors to note that the law applies to contracts with any firm engaged in any lobbying activity defined under the Lobbying Disclosure Act, even if that firm is not required to register as a lobbyist.
  3. That DOW implement the ban in alignment “with the prohibition’s intent to capture U.S.-based subsidiaries of companies on the [CMC List].”

As of the date of this mailing, no proposed rule or implementing guidance is publicly available. We will continue to update you with any developments. In the meantime, with the effective date less than two weeks away, companies that have or seek DOW contracts should consider implementing appropriate due diligence procedures to take advantage of the safe harbor described in our prior mailings for contractors that make reasonable inquiries to determine that their consultants are not “covered lobbyists.”

Please contact us if you have questions or need assistance with such procedures.

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1 Although President Donald Trump issued an executive order renaming the Department of Defense the Department of War, Congress has yet to pass legislation formalizing the change.

This memorandum is provided by Skadden, Arps, Slate, Meagher & Flom LLP and its affiliates for educational and informational purposes only and is not intended and should not be construed as legal advice. This memorandum is considered advertising under applicable state laws.

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