CONTRACT CLAUSES

delivery schedule, or both, (ii) in the amount of any fee to be paid to the Contractor, and (111) in such other provisions of the contract as may be so affected, and the contract shall be modified in writing accordingly. Any claim by the Contractor for adjustment under this clause must be asserted within sixty (60) days from the date of receipt by the Contractor of the notification of change; provided, however, that the Contracting Officer, if he decides that the facts justify such action, may receive and act upon any such claim asserted at any time prior to final payment under this contract. Failure to agree to any adjustment shall be a dispute concerning a question of fact within the meaning of the clause of this contract entitled "Disputes." However, nothing in this clause shall excuse the

Contractor from proceeding with the contract as changed.

(End of clause)

In the foregoing clause, the period of "sixty (60) days" within which any claim for adjustment must be asserted may be reduced to a period of not less than "thirty (30) days." In accordance with 10 U.S.C. 2306(f), prior to the pricing of any contract change or modification that is expected to exceed $100,000. except where the price is based on adequate price competition, established catalog or market prices of commercial items sold in substantial quantities to the general public, or prices set by law or regulation, the contracting officer shall require the contractor to furnish a Certificate of Current Cost or Pricing Data (see 3.807-6) and shall assure that the contract includes or is modified to include a Defective Pricing Data clause (see 7.104-28).

7.404-2 Alterations in Contract. The clause set forth in 7.105-1 may be inserted.

7.404-3 [Reserved]

7.404-4 Bill of Materials. The clause set forth in 7.105-6 may be inserted pursuant to the provisions thereof.

7.404-5 Stop Work Orders. The clause set forth in 7.105-8, if modified as prescribed in 7.205-6, is authorized for use under the criteria, and in accordance with the instructions set forth in 7.105-8.

7.404-50 Notice of Delay. In accordance with the instructions In 7.205-50, the clause set forth therein is authorized for use. 7.404-51 [Reserved]

7.404-52 Date of Incurrence of Costs. The clause set forth in 7.205-52 may be inserted when authorized in accordance with

15.205-30.

7.404-53 Inventions Made Under Contractor's Independent Research and Development Programs. When the New Technology clause is included in the contract (see 9.107-4) and it is determined that the contractor maintains an independent research program, the clause set forth in 9.107-8 may be included in the Schedule at the contractor's request.

7.404-54 through 7.404-56 [Reserved]___

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CLAUSES FOR COST-TYPE R&D CONTRACTS

7.402-23 Rights in Data. If data is to be delivered under the contract, insert the appropriate clause in accordance with the instructions in 9.203.

Security Requirements.

Insert the Security

7.402-24 Requirements clause in accordance with 7. 104-12, modified in accordance with 7.204-12. In contracts without fee with educational institutions, add the following paragraphs (e), (f), and (g).

(e) In the event a change in security requirements, as provided in paragraphs (b) and (c), results (1) in a change in the security classification of this contract or any element thereof from an unclassified status to a classified status or from a lower classification to a higher classification, or (2) in more restrictive area controls than previously required, the Contractor shall exert every reasonable effort compatible with his established policies to continue the performance of work under the contract in compliance with such change in security classification or requirements. If, despite such reasonable efforts, the Contractor determines that the continuation of work under this contract is not practicable because of such change in security classification or requirements, he shall so notify the Contracting Officer in writing.

(f) After receiving such written notification, the Contracting Officer shall explore the circumstances surrounding the proposed change in security classification cr requirements and shall endeavor to work out a mutually satisfactory method whereby the Contractor can continue performance of the work under this contract.

(g) If, upon the expiration of fifteen (15) days after receipt by the Contracting officer of the notification of the Contractor's stated inability to proceed, (1) the application to this contract of such change in security classification or requirements has not been withdrawn, or (2) a mutually satisfactcry method for continuing performance of work under this contract has not been agreed upon, the Contractor may request the Contracting Officer terminate the contract in whole or in part. Thereupon, the Contracting officer shall terminate the contract in whole or in part, as may be appropriate, and such termination shall te deemed a termination under the provisions of the clause of this contract entitled "Termination for the Convenience cf the Government."

to

NASA PROCUREMENT REGULATION

CONTRACT CLAUSES

7.402-25 Government Property. In accordance with 13.703. insert the clause(s) required therein.

7.402-26 Insurance-Liability to Third Persons.

(a) Except under the circumstances stated in (b) or (c) below. insert the clause set forth in 7.203-22.

(b) If the contractor claims total immunity from tort liability as a State agency or as a charitable institution, the clause set for th below shall be used in lieu of the clause contained in 7.203-22.

LIABILITY TO THIRD PERSONS (SEPTEMBER 1962)

(a) The Government does not assume any liability to third persons, nor will the Government reimburse the Contractor for his liability to third persons with respect to loss due to death, bodily injury, or damage to property resulting in any way from the performance of this contract or any subcontract thereunder.

(b) The Contractor shall give the Government or its representatives immediate notice of any suit or action filed, or prompt notice of any claim made, against the Contractor arising out of the performance of this contract, the cost and expense of which may be reimbursable to the Contractor under the provisions of this contract. The Contractor shall furnish immediately to the Government copies of all pertinent papers received by the Contractor. The Contractor shall, if required by the Government, authorize representatives of the Government to settle or defend any such claim and to represent the Contractor in or take charge of any litigation in connection therewith. The Contractor may. at his own expense, be associated with the representatives of the Government in the settlement or defense of any such claim or

litigation.

(c) If the contractor claims partial immunity from tort liability as a State agency or as a charitable institution (as where work may be performed under the contract in a place or under the conditions where the contractor is not immune from tort liability), the paragraph (e) set forth below may be added to the Insurance-Liability to Third Persons clause contained in 7.203-22.

(e) Notwithstanding paragraphs (a) and (c) of this clause, (i) the Government does not assume any liability to third persons, nor will the Government reimburse the contractor

80-138 0-81-15

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CLAUSES FOR COST-TYPE R&D CONTRACTS

for his liability to third persons, with respect to loss due to death, bodily injury, or damage to property resulting in any way from the performance of this contract or any subcontract hereunder; and (ii) the Contractor need not procure ΟΙ maintain insurance coverage as provided in paragraph (a) of this clause; provided, the Contractor Bay obtain any insurance coverage he deems necessary subject to approval by the Contracting Officer as to form, amount, and duration, in which event the Contractor shall be reimbursed (A) for the cost of such insurance and (B) to the extent provided in paragraph (c) above, for liabilities to third persons for which the Contractor has obtained insurance coverage as provided in this paragraph, but for which such coverage is insufficient in amount. (SEPTEMEER 1962)

7.402-27 Utilization of Labor Surplus Area Concerns. In accordance with the requirements of 1.805-3 (a) insert the clause set forth therein.

7.402-28 Payment for Overtine Preniuns. In accordance with the requirements of 12.102, insert the clause set forth in 12.102-6.

7.402-29 Competition in Subcontracting. Insert the clause set forth in 7.104-40.

7.402-30 Audit by National Aeronautics and Space Administration. In accordance with 7.104-42 (a) insert the clause set forth therein.

7.402-31 Notice of Intent to Disallow or Not Recognize Costs. Insert the clause in 7.203-30.

7.402-50 Payment of Royalities. In accordance with the instructions in 7.203-50, insert the clause set forth in 9.110.

7.402-51 Estimated Cost and Fixed Fee. In accordance with the requirements of 7.203-51, insert the clause set forth therein.

7.402-52 Payment of Fixed Fee. In accordance with the requirements of 7.203-52, insert the clause set forth therein.

7.402-53 Interest. Insert the clause set forth in 7.103-53.

7.402-54 Reports of Work See 7.302-54 for guidance and a clause approved for use.

7.402-55 Scientific and Technical Information Service. Insert the clause set forth in 7.302-55.

7.402-56 Clean Air and Water. Insert the clause set forth in 1.2302-2.

NASA PROCUREMENT REGULATION

CONTRACT CLAUS ES

7.403 Clauses Required To Be Used when Applicable. The following clauses shall be inserted, when applicable, in all cost-reimbursement type research and development contracts providing for the payment of a

fee.

7.403-1 Clauses for Contracts Involving Construction Work

(a) In accordance with the requirements of Part 12, Subpart 4, insert in cost-reimbursement type research and development contracts which involve construction work the clauses listed below, which are set forth in 12.403-1:

Davis-Bacon Act

Contract Work Hours and Safety Standards Act-Overtime Compensation

Apprentices and Trainees

Payrolls and Basic Records

Compliance with Copeland Regulations

Withholding of Punds

Subcontracts

Contract Termination-Debarment

(b) In accordance with the requirements of 6.207, insert in all contracts for construction, except those executed on Standard Form 19 and NASA Form 1379, the clause entitled "Buy American," as set forth in 6.207 (c)

7.403-2 Filing of Patent Applications. In accordance with the requirements of 9.106, insert the clause set forth therein.

7.403-3 Special Test Equipment In accordance with the requirements of 13.705, insert the clause se t forth therein.

7.403-4 [Reserved]

7.403-5 Excusable Delays. Insert the clause set forth in 8.708.

7.403-6 [Reserved]

7.403-7 Priorities Allocations, and Allotments. In accordance with the requirements of 1.307-2, insert the clause set forth therein.

7.403-8 Communist Areas, In accordance with the requirements of 6.403, insert the clause set forth there in.

7.403-9 Negotiated Overhead Rates. When negotiated overhead rates are to be used pursuant to Part 3, Subpart 7, the appropriate clause set forth in 3.704 shall be included in the contract.

7.403-10 Notice to the Government of Labor Disputes. Whenever work is to be performed and a work stoppage

CFR TITLE 41 CHAPTER 18