Senate Democrats Introduce FCPA Reinforcement Act

The bill, led by Senator Elizabeth Warren of Massachusetts and co-sponsored by Senators Sheldon Whitehouse, Andy Kim, Dick Durbin, Jeanne Shaheen, and nine additional colleagues, would extend the statute of limitations for criminal violations of the FCPA’s anti-bribery provisions from five years to 10 years. The change is designed to ensure that foreign bribery committed during potential periods of reduced enforcement can still be investigated and prosecuted by future Administrations.

Background: The FCPA and Recent Policy Shifts

The FCPA prohibits US businesses and individuals from making corrupt payments to foreign government officials to obtain or retain business. It has long been regarded as a cornerstone of international anti-corruption efforts.

In June 2025, the US Department of Justice (DOJ) issued new guidelines that introduced a new approach to FCPA enforcement based on sector and circumstance, departing from the historically broad application of the statute. Although FCPA enforcement and trials resumed following an initial pause, enforcement activity declined in 2025.

Key Provisions of the Bill

The central feature of the FCPA Reinforcement Act is the extension of the statute of limitations for criminal FCPA bribery violations from five to 10 years. This longer window is intended to signal to companies that even if the current DOJ is not prioritizing all foreign bribery cases, violations committed today could still result in prosecution under a future Administration.

The bill includes a sunset provision: The extended statute of limitations would expire eight years after enactment if not renewed. According to the sponsors, this timeline would give two future Administrations the opportunity to investigate and prosecute offenses committed during the present term.

Existing Tools: Conspiracy Charges

Even without the FCPA Reinforcement Act, prosecutors already have mechanisms to reach conduct that falls outside the FCPA’s five-year statute of limitations. Many FCPA cases are brought as conspiracy charges under 18 U.S.C. § 371, which is a continuing offense. Accordingly, the five-year limitations period does not begin to run until the date of the last overt act committed in furtherance of the conspiracy. Only one overt act during the limitations period is needed to charge the entire course of conspiratorial conduct, regardless of when the underlying bribery took place. This approach has been used in major FCPA prosecutions. Prosecutors have also employed tolling agreements and mutual legal assistance requests to extend the effective reach of the limitations period. As a result, foreign bribery committed today could still be investigated and prosecuted years from now under existing law, even absent the proposed statutory extension.

Practical Implications for US Companies

The sponsors contend that the Administration’s narrowed enforcement approach has had unintended consequences for American businesses operating overseas. Historically, US companies could point to robust FCPA enforcement as a reason to refuse bribe demands from foreign actors. With enforcement pulled back, that justification weakens, potentially exposing American businesses to increased pressure to make corrupt payments to compete in foreign markets. The legislation is intended to preserve the FCPA’s deterrent effect by signaling that bribery will eventually be prosecuted, regardless of current DOJ priorities.

The Continued Importance of Compliance Programs

Despite the shift in enforcement posture, companies should not treat narrowed FCPA enforcement as an invitation to stop investing in or improving their anti-corruption compliance programs. Notably, the DOJ’s own June 2025 memorandum explains that companies, especially those that compete with US entities, “should ensure they have an effective compliance program that includes robust anti-bribery and anti-corruption controls.” The memorandum’s enforcement priorities, which focus on serious misconduct involving substantial bribe payments and sophisticated concealment efforts, underscore that cases involving clear corrupt intent remain squarely within the DOJ’s crosshairs. 

The introduction of the FCPA Reinforcement Act reinforces this point: With a potentially longer statute of limitations and the possibility of changing enforcement priorities under future Administrations, companies that scale back their compliance infrastructure now may find themselves exposed to significant legal risk down the road.

Outlook

The bill faces an uncertain path in a divided US Congress, but its introduction underscores the continued importance of corporate compliance programs.