• videocam Live Webinar with Live Q&A
  • calendar_month October 8, 2026 @ 1:00 PM ET/10:00 AM PT
  • signal_cellular_alt Intermediate
  • card_travel Real Estate - Transactions
  • schedule 90 minutes

Significant Expansion of AFIDA: Covered Entities, Disclosure and Reporting Requirements, Penalties

Potential Impact on Current and Future Real Estate Transactions Involving Foreign Ownership

About the Course

Introduction

This CLE webinar will provide a comprehensive overview of the recently proposed rule significantly expanding the scope of the Agricultural Foreign Investment Disclosure Act (AFIDA). The panel will discuss the additional entities that will be covered by AFIDA, new disclosure and reporting requirements, and the significant penalties that could be imposed for noncompliance. The panel will also address what counsel and their clients should be doing now to prepare for compliance if the rule is finalized, particularly related to current or future real estate transactions involving foreign ownership.

Description

The U.S. Department of Agriculture recently proposed sweeping changes to AFIDA for the purpose of national security enforcement. The recently proposed rule would broaden AFIDA's reach and expand disclosure and reporting requirements.

The proposed rule broadens AFIDA's coverage by redefining "Agricultural Land" so that more types of land uses would be subject to AFIDA reporting and by eliminating several current exemptions, including those for leaseholds, that would lower the aggregate foreign ownership threshold from 50% to 10%. 

The proposed rule also expands the scope of AFIDA reporting by, among other things, narrowing the exemption for leases from those with terms of less than 10 years to less than one year for most foreign persons. Those fitting the new definitions of "foreign adversary" and "foreign adversary controlled entity" lose the lease exemption entirely regardless of how long the lease term.

Other significant changes include an increase in the amount of civil penalties that may be imposed and the elimination of USDA's enforcement discretion to reduce or eliminate civil penalties based on mitigating factors.

Listen as our authoritative panel provides a comprehensive overview of the proposed rule expanding AFIDA's reach. The panel will discuss who would be covered by AFIDA and new reporting requirements. The panel will also discuss the potential impact on covered entities and what covered entities may be doing now to prepare for compliance if the rule is finalized, including those entering or involved in real estate transactions that could be affected. 

Presented By

Marisa N. Bocci
Partner
Arnold & Porter Kaye Scholer, LLP

Ms. Bocci works on a range of transactional matters, including purchase and sale agreements, financing, and leasing. Her practice focuses on hotel and resort properties, commercial real estate assets, and agriculture/agribusiness matters. In the agriculture sector, Ms. Bocci has specific experience in matters relating to farmland real estate investments. She handles transactions across the country involving the purchase, sale, leasing and financing of farmland. Further, she is familiar with operational issues specific to the food packing and processing industry, including supply chain and labor arrangements. In addition, she also advises clients on agribusiness-related M&A transactions and regularly speaks and writes on agribusiness topics.

Kari L. Larson
Partner
Arnold & Porter Kaye Scholer, LLP

Ms. Larson’s practice focuses on commercial real estate including the acquisition, disposition, leasing, financing, and development of commercial, timber, and food and agribusiness holdings, including controlled environment agriculture (CEA) facilities. She regularly represents both borrowers and lenders (foreign and domestic) in lending transactions secured by commercial and agricultural properties, including the negotiation of intercreditor and co-lender arrangements. Ms. Larson also regularly advises clients on investments in various food and agribusiness assets. She regularly advises on jurisdictionally-specific permitting, licensing, certification, and product-specific requirements for producers, processors and retailers of food, including those applicable to CEA facilities. Ms. Larson also counsels clients on filing requirements for foreign investors under the Agricultural Foreign Investment Disclosure Act and analogous state statutes.

Jeffrey C. Thomson
Attorney
Arnold & Porter Kaye Scholer, LLP

Mr. Thomson focuses on all aspects of commercial real estate transactions, including acquisitions, dispositions, financings, leases, and development projects. He has experience working with a variety of real estate assets, including agricultural, renewables, natural resources, multifamily, office, retail, hospitality, and industrial. Mr. Thomson advises clients throughout all stages of their real estate transactions, including drafting and negotiating primary transaction documents, conducting and coordinating due diligence review, and managing those transactions through and after closing. He regularly advises clients in connection with matters affecting the ownership and operation of farmland and other agribusiness assets. Many of these matters involve foreign investment in U.S. real estate assets, particularly agricultural properties. In this connection, he helps advise clients on federal and state foreign and corporate ownership regulations regarding the ownership and operation of agricultural property, including analysis of pending state and federal legislation. He also assists clients with the Agricultural Foreign Investment Disclosure Act and state-analogous statutes, including filing obligations with the USDA. Mr. Thomson has particular experience in advising clients on regulatory issues impacting the growing, processing, manufacturing and distribution of food products, including issues under the Food Safety Modernization Act and state regulatory schemes. Additionally, he regularly advises on jurisdiction-specific permitting, licensing, certification, and product-specific requirements for producers, processors, and retailers (including online retailers) of food products.

Credit Information
  • This 90-minute webinar is eligible in most states for 1.5 CLE credits.


  • Live Online


    On Demand

Date + Time

  • event

    Thursday, October 8, 2026

  • schedule

    1:00 PM ET/10:00 AM PT

I. Introduction

II. Proposed rule

A. Purpose

B. Broadened scope of coverage; covered entities

C. Expanded disclosure and reporting requirements

D. Exemptions

E. Enforcement and penalties

III. Potential impact on covered entities

A. Real estate transactions

IV. Key takeaways

The panel will review these and other key issues:

  • What is the purpose behind the proposed AFIDA rule?
  • How does the proposed rule expand AFIDA's reach and increase the number of covered entities who may be subject to AFIDA reporting?
  • What are the potential penalties that may be imposed for noncompliance?
  • What should counsel and their clients be doing now to prepare for compliance should the rule be finalized, particularly as related to real estate transactions involving foreign ownership?