Pentagon Takes Only 13 Years to Implement 2012 Law
Published Date: 1/17/2025
Rule
Summary
The Department of Defense is extending the time they check if restrictions on technical data and software are valid from 3 years to 6 years. This change affects contractors who provide these materials to the government and starts on January 17, 2025. It helps protect against fake claims that limit how the government can use important data, with no extra costs expected.
Analyzed Economic Effects
4 provisions identified: 1 benefits, 3 costs, 0 mixed.
Validation Period Doubles to Six Years
If you are a contractor or subcontractor who provides technical data or computer software to the Department of Defense, the Government can challenge your asserted restrictions for up to 6 years instead of 3 years. This change takes effect January 17, 2025 and may increase the number of challenges you must respond to.
Response Deadlines and Possible Cost Liability
If you assert restrictions on technical data or software, you must keep records and be ready to give written justification when asked. If you fail to correct an unjustified marking and return corrected software within 60 days, the Contracting Officer may correct it at your expense, and if a restriction is found not substantially justified you may be liable for the Government's review costs and fees (see 28 U.S.C. 2412).
Fraud Exception Allows Timeless Challenges
Starting January 17, 2025, the Government may challenge an asserted restriction at any time if the technical data or computer software is the subject of a fraudulently asserted use or release restriction. This exception applies even after the 6-year period.
No New Paperwork Burden for Small Entities
DoD says this rule does not impose new reporting, recordkeeping, or other compliance requirements on small entities and relies on existing OMB-approved information collections. This applies as described in the rule's Regulatory Flexibility Act and Paperwork Reduction Act sections.
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