text: Legal Considerations
  FOREIGN MILITARY FINANCING
  4-36. FMF funds select partner countries’ purchases of U.S. defense articles, services, and training normally
  via the FMS process. The U.S. Congress distributes funding through FMF for eligible FMS clients. The FMF
  funding program is a legally sanctioned repayable or nonrepayable loan given to select strategic partners
  authorized by the DOS and managed by the DSCA.
  FOREIGN MILITARY SALES
  4-37. Under the general supervision of the DOS and subject to foreign disclosure decisions, the DOD is
  authorized to sell defense articles, services, and training to ministries of defense of other countries under the
  FMS program. FMS is an acquisition program supported by the DOS and managed by the DSCA and
  promotes security cooperation between the United States and its allies. The USG may sell directly from its
  own stockpiles in addition to entering into sole-source or competitive contracts.
  DIRECT COMMERCIAL SALES
  4-38. The DOS regulates direct commercial sales and issues export licenses through the department’s
  Directorate of Defense Trade Controls. In accordance with the International Traffic in Arms Regulations, the
  Directorate of Defense Trade Controls is authorized to grant export permits for all defense-related goods and
  services listed on the U.S. Munitions List, with the exception of those listed as FMS Only.
  FOREIGN MILITARY SALES VS. DIRECT COMMERCIAL SALES
  4-39. Foreign clients will generally have more bargaining power when purchasing directly from government
  inventories through FMS over direct commercial sales because the U.S. military and other defense
  organizations also purchase these same defense systems. Foreign clients generally consider the FMS
  procedure to be more dependable, secure, and transparent than direct commercial sales.
  4-40. While direct commercial sales do offer more negotiating power over contractual requirements,
  delivery, and methods of payment than FMS, direct commercial sales require the foreign client to bear more
  risk and administrative responsibility for purchases.
  INTERNATIONAL MILITARY EDUCATION AND TRAINING (IMET)
  4-41. This section grants funding for the education and training of foreign country personnel in activities
  designed to—
  * Encourage effective and mutually beneficial relations and increased understanding between the
  United States and foreign countries in the furtherance of the goals of international peace and
  security.
  * Improve the ability of participating foreign countries to use their resources, including defense
  articles and services obtained by them from the United States, with maximum effectiveness,
  thereby contributing to greater self-reliance by such countries.
  * Increase the awareness of nationals of foreign countries participating in such activities of basic
  issues involving internationally recognized human rights.
  PEACEKEEPING OPERATIONS
  4-42. This section provides funding for articles, services, and training for countries and organizations
  conducting international peacekeeping.
  EXCESS DEFENSE ARTICLES
  4-43. This section provides no longer needed USG defense articles to countries justified to receive such
  assistance. Secretaries of military departments declare items in excess to their military departments causing
  them to be available for transfer to other USG agencies, local governments, or foreign governments eligible
  to receive them either by FMS or grant transfer.