§4703 Validation of proprietary data restrictions

Summary

Contracts that require delivery of technical data must make contractors and subcontractors ready to give a written reason for any limits they put on the Federal Government’s right to use that data. A contracting officer can question a limit if they have good reason to doubt it is still valid and if keeping the limit would make it impractical to buy the item competitively later. If the officer decides to challenge the limit, they must send written notice saying why and require a written justification within 60 days. More time must be given if the contractor asks for it. If more than one officer challenges the same limit, the earliest officer will work with the others and the contractor to set a fair schedule to respond. If the contractor does not reply, the contracting officer must issue a decision. If the contractor replies, the officer must issue a decision or tell the contractor when a decision will be made within 60 days of getting the reply. A written claim about a restriction is treated as a claim under chapter 71. If the government’s challenge is finally upheld, the restriction is canceled, and if the restriction was not substantially justified the contractor must pay the government’s review costs and the fees and other expenses as defined in section 2412(d)(2)(A) of title 28, unless special circumstances make that unfair. If the challenge is finally rejected, the government must follow the restriction and must pay the contractor’s fees and other expenses (as defined in section 2412(d)(2)(A) of title 28) if the government’s challenge was not made in good faith.