§1433 — Title 50 War and National Defense | U.S. Code

Summary

Makes certain actions and contracts public and lets the Comptroller General check contractor records. Actions taken under this law must be made public under rules the President sets, unless the President decides releasing them would hurt national security. Contracts under this law must have a clause letting the Comptroller General or people he authorizes inspect any directly related books, documents, papers, and records of the contractor or subcontractors for up to three years after final payment. The President’s rules apply. The clause can be dropped for foreign contractors or subcontractors if the agency head and the Comptroller General agree it is in the best interests of the United States. The Comptroller General’s agreement is not needed if the contractor is a foreign government or its agency, if the foreign country’s laws bar sharing the records, or if the agency head, after considering price and whether U.S. sources are available, decides leaving out the clause better serves the public interest.

Title 50, §1433

War and National Defense — Source: USLM XML via OLRC

(a)All actions under the authority of this chapter shall be made a matter of public record under regulations prescribed by the President and when deemed by him not to be detrimental to the national security.

(b)All contracts entered into, amended, or modified pursuant to authority contained in this chapter shall include a clause to the effect that the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of three years after final payment, have access to and the right to examine any directly pertinent books, documents, papers, and records of the contractor or any of his subcontractors engaged in the performance of and involving transactions related to such contracts or subcontracts. Under regulations to be prescribed by the President, however, such clause may be omitted from contracts with foreign contractors or foreign subcontractors if the agency head determines, with the concurrence of the Comptroller General of the United States or his designee, that the omission will serve the best interests of the United States. However, the concurrence of the Comptroller General of the United States or his designee is not required for the omission of such clause—

(1)where the contractor or subcontractor is a foreign government or agency thereof or is precluded by the laws of the country involved from making its books, documents, papers, or records available for examination; and

(2)where the agency head determines, after taking into account the price and availability of the property or services from United States sources, that the public interest would be best served by the omission of the clause.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1966—Subsec. (b). Pub. L. 89–607 provided for exemption of certain contracts with foreign contractors from the requirement for an examination-of-records clause, such determination to be reported to Congress.

Statutory Notes and Related Subsidiaries

Nonapplicability of the National Emergencies ActThe provisions of the National Emergencies Act [see

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note set out under section 1601 of this title] shall not apply to the powers and authorities conferred by this section and actions taken hereunder, see section 1651(a)(4) of this title.

Executive Documents

Exemption of FunctionsFunctions with respect to purchases authorized to be made outside the limits of the United States or the District of Columbia under the Foreign Assistance Act of 1961, as amended [see

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note set out under section 2151 of Title 22, Foreign Relations and Intercourse], as exempt, see Ex. Ord. No. 11223, eff. May 12, 1965, 30 F.R. 6635, set out under section 2393 of Title 22. Foreign ContractorsSecretaries of Defense, Army, Navy, or Air Force, or their designees, to determine, prior to exercising the authority provided in the amendment by Pub. L. 89–607 to exempt certain contracts with foreign contractors from the requirement of an examination-of-records clause, that all reasonable efforts have been made to include such examination-of-records clause, as required by par. 11 of Part I of Ex. Ord. No. 10789, and that alternate sources of supply are not reasonably available, see par. 11 of Part I of Ex. Ord. No. 10789, eff. Nov. 14, 1958, 23 F.R. 8897, as amended, set out under section 1431 of this title.

§1433 Public record; examination of records by Comptroller General; exemptions: exceptional conditions; reports to Congress

Summary

Title 50, §1433

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Short Title

Executive Documents

Short Title

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