|Galactic Republic trade embargo of 12,979 BBY|
Institution of a Republic trade embargo against the Hutts and a Republic blockade of trade routes entering Hutt Space
|Other key individuals|
In 12,978 BBY, in the midst of the First Hutt War, the Galactic Republic instituted a trade embargo against the Hutt Empire. As a result of the embargo, corporations and individuals based within Republic space were required to cease any and all trade with the Hutt Empire and worlds, organizations, and individuals affiliated with the Hutts. Additionally, Republic Navy forces were stationed on all trade routes leading into Hutt Space, locking down the border between the two territories. The Navy was required to detain any ship that attempted to pass by them, or destroy any that attempted to force their way past.
The Hutt Empire blasted the embargo as a tyrannical and illegal restriction of corporate activities and offered protection to any companies, organizations, or individuals who wanted to continue conducting business with the Empire—though companies selling information or weapons to the Republic would not be protected. The Hutts continued their offer to Republic individuals and holdings by stating that those who wished to work exclusively for the Hutts would be allowed to freely relocate to a Hutt-controlled world with long-term business contracts with the Empire. Additionally, Hutt Chairman Tusa Ujalli Hai placed a seven million credit bounty on Supreme Chancellor Jamall Mohatu.
In 12,978 BBY, following the election of Jamall Mohatu as Supreme Chancellor of the Galactic Republic during the First Hutt War, the Galactic Senate passed a law placing a trade embargo on the Hutt Empire. The core of the law stated that all corporations and individuals based within Republic territory were required to cease all trading with the Hutt Empire and Hutt-affiliated worlds, organizations, and individuals under the penalty of treason. Corporations that violated the embargo were subject to being charged with treason and the seizure of all of their corporate assets.
In addition to the embargo was a blockade of transportation from the Republic into the Hutt Empire along the major trade routes, aiming to prevent illegal trade with the Hutts. Republic Navy forces were placed at all major and minor trade routes leading into Hutt Space, effectively locking down transport to and from Hutt-controlled and Hutt-affiliated worlds. The Navy was also under orders to detain any ship attempting to pass them, with allowances to destroy any vessel that forcibly tried to run the blockade.
In response to the Republic’s law, Hutt Chairman Tusa Ujalli Hai—on behalf of the Hutt Grand Council—blasted the measure as laughable, tyrannical, and illegal. The Hutt Empire offered protection to any companies, organizations, or individuals, as well as any subsidiaries, who wished to continue conducting business with the Hutts. This was only if they were not selling information, weapons, or fuel to the Republic, in which case protection would either not be granted or, if it was already given, revoked.
Additionally, all companies, organizations, and individuals who wished to work exclusively for the Hutt Empire were given an offer to relocate to a Hutt-controlled world, as well as long-term business contracts. Companies that the Hutts deemed helpful to their territorial defense would be compensated for a pre-arranged percentage of their moving costs, as well as additional payments later for their products.