Title 41Public ContractsRelease 119-73

§1906 List of laws inapplicable to procurements of commercial products and commercial services

Title 41 › Subtitle Subtitle I— - Federal Procurement Policy › Chapter CHAPTER 19— - SIMPLIFIED ACQUISITION PROCEDURES › § 1906

Last updated Apr 6, 2026|Official source

Summary

The Federal Acquisition Regulation (FAR) must include a list of laws that do not apply to government contracts for commercial products or commercial services, and a separate list for subcontracts under those contracts. New laws passed after October 13, 1994 that set procurement rules must be added to the lists unless the Council (as defined in section 1301) writes a decision saying it would not be in the federal government’s best interest to exempt them. Laws that create criminal or civil penalties or that explicitly say they still apply are not put on the lists. The FAR cannot be used to waive laws for prime contractors who only resell or distribute commercial items without adding value. “Council” — see section 1301 for who that is. “Subcontract” — includes transfers among a contractor’s divisions, subsidiaries, or affiliates, but not bulk supply agreements that are not tied to a specific contract. Anyone can ask the Administrator to add a missing law to the list; the Administrator must add it unless the Council decides not to within 60 days of the request.

Full Legal Text

Title 41, §1906

Public Contracts — Source: USLM XML via OLRC

(a)In this section, the term “Council” has the meaning given that term in section 1301 of this title.
(b)(1)The Federal Acquisition Regulation shall include a list of provisions of law that are inapplicable to contracts for the procurement of commercial products or commercial services. A provision of law properly included on the list pursuant to paragraph (2) does not apply to purchases of commercial products or commercial services by an executive agency. This section does not render a provision of law not included on the list inapplicable to contracts for the procurement of commercial products or commercial services.
(2)A provision of law described in subsection (d) that is enacted after October 13, 1994, shall be included on the list of inapplicable provisions of law required by paragraph (1) unless the Council makes a written determination that it would not be in the best interest of the Federal Government to exempt contracts for the procurement of commercial products or commercial services from the applicability of the provision.
(c)(1)In this subsection, the term “subcontract” includes a transfer of commercial products or commercial services between divisions, subsidiaries, or affiliates of a contractor or subcontractor. The term does not include agreements entered into by a contractor for the supply of commodities that are intended for use in the performance of multiple contracts with the Federal Government and other parties and are not identifiable to any particular contract.
(2)The Federal Acquisition Regulation shall include a list of provisions of law that are inapplicable to subcontracts under a contract or subcontract for the procurement of commercial products or commercial services. A provision of law properly included on the list pursuant to paragraph (3) does not apply to those subcontracts. This section does not render a provision of law not included on the list inapplicable to subcontracts under a contract for the procurement of commercial products or commercial services.
(3)A provision of law described in subsection (d) shall be included on the list of inapplicable provisions of law required by paragraph (2) unless the Council makes a written determination that it would not be in the best interest of the Federal Government to exempt subcontracts under a contract for the procurement of commercial products or commercial services from the applicability of the provision.
(4)This subsection does not authorize the waiver of the applicability of any provision of law with respect to any subcontract under a contract with a prime contractor reselling or distributing commercial products or commercial services of another contractor without adding value.
(d)A provision of law referred to in subsections (b)(2) and (c) is a provision of law that the Council determines sets forth policies, procedures, requirements, or restrictions for the procurement of property or services by the Federal Government, except for a provision of law that—
(1)provides for criminal or civil penalties; or
(2)specifically refers to this section and provides that, notwithstanding this section, it shall be applicable to contracts for the procurement of commercial products or commercial services.
(e)A person may petition the Administrator to take appropriate action when a provision of law described in subsection (d) is not included on the list of inapplicable provisions of law as required by subsection (b) or (c) and the Council has not made a written determination pursuant to subsection (b)(2) or (c)(3). The Administrator shall revise the Federal Acquisition Regulation to include the provision on the list of inapplicable provisions of law unless the Council makes a determination pursuant to subsection (b)(2) or (c)(3) within 60 days after the petition is received.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 1906(a)no source. 1906(b)–(e)41:430.Pub. L. 93–400, § 34, as added Pub. L. 103–355, title VIII, § 8003(a), Oct. 13, 1994, 108 Stat. 3388.

Editorial Notes

Amendments

2018—Pub. L. 115–232, § 836(b)(6)(B)(i), substituted “List of laws inapplicable to procurements of commercial products and commercial services” for “List of laws inapplicable to procurements of commercial items” in section catchline. Subsecs. (b) to (d). Pub. L. 115–232, § 836(b)(6)(A), substituted “commercial products or commercial services” for “commercial items” wherever appearing. 2017—Subsec. (c)(1). Pub. L. 115–91 inserted at end “The term does not include agreements entered into by a contractor for the supply of commodities that are intended for use in the performance of multiple contracts with the Federal Government and other parties and are not identifiable to any particular contract.”

Statutory Notes and Related Subsidiaries

Effective Date

of 2018 AmendmentAmendment by Pub. L. 115–232 effective Jan. 1, 2020, subject to a

Savings Provision

, see section 836(h) of Pub. L. 115–232, set out as an

Effective Date

of 2018 Amendment;

Savings Provision

note under section 453b of Title 6, Domestic Security.

Reference

Citations & Metadata

Citation

41 U.S.C. § 1906

Title 41Public Contracts

Last Updated

Apr 6, 2026

Release point: 119-73