Neutrality Act

Definition

The Neutrality Act is a law passed by Congress in 1935 that aimed to keep the United States out of future conflicts by prohibiting arms trade with nations at war. It was followed by subsequent acts in later years with similar intentions.

Related terms

Lend-Lease Act: A policy enacted during WWII that allowed the U.S. government to lend or lease military equipment to other countries for their defense.

Cash-and-carry policy: A provision under the Neutrality Act allowing belligerent nations in WWII (except those deemed "aggressors") to purchase non-military goods from the U.S., but required them to pay cash upfront and provide their own transport.

Embargo Act: A law passed in 1807 during the Napoleonic Wars that prohibited American ships from trading with foreign nations in an attempt to remain neutral.