GOVERNMENT PROPERTY against an actual, impending cr expected attack by any government or sovereign power (de jure or de facto), or by any authority using military, naval, or air forces; cr by an agent of any such government, power, authority, or forces; or (B) other peril, of a type not listed above, if such cther peril is customarily covered by insurance (or by a reserve for self-insurance) in accordance with the normal practice of the Contractor, or the prevailing practice in the industry in which the Contractor is engaged with respect to similar property in the same general locale. The perils as set forth in (i) and (ii) above are hereinafter called "excepted perils." If the Contractor transfers Government property to the possession and control of a subcontractor, the transfer shall not affect the liability of the Contractor for loss or destruction of or damage to the property as set forth above. However, the Contractor shall require the subcontractor to assume the risk of, and be responsible for, any loss or destruction of or damage to the property while in the latter's possession cr control, except to the extent that the subcontract, with the prior approval of the Contracting Officer, provides for the relief of the Contractor from such liability. In the absence of such approval, the subcontract shall contain appropriate provisions requiring the return of all Government property in as good condition as when received, except for reasonable wear and tear or for the utilization of the property in accordance with the provisions of the prime contract. (2) Notwithstanding (1) above, the Contractor shall te responsible for any loss or damage (i) to the extent specifically provided in the clause or clauses of this contract designated in the schedule, or (ii) which results from: (A) willful misconduct or lack of good faith of any of the Contractor's managerial personnel; or (B) a failure on the part of the Contractor, due to willful misconduct or lack of good faith of the Contractor's managerial personnel, (i) to maintain and administer the program for maintenance, repair, protection, and preservation of the Government property as required by paragraph (f) hereof, or (ii) to establish, maintain and administer a system for control cf Government property as required by paragraph (d) of this clause. CFR TITLE 41 CHAPTER 18 CONTRACT CLAUSES Any failure of the Contractor to act, as provided in this (B), shall be conclusively presumed to be a failure resulting from willful misconduct, or lack of good faith on the part of one of the Contractor's managerial personnel if the Contractor is notified by the Contracting Officer by registered or certified mail addressed to one of the Contractor's managerial personnel, of the Government's disapproval, withdrawal of approval, or nonacceptance of the Contractor's program or system. In such event, it shall be presumed that any loss of or damage to Government property resulted from such failure. The Contractor shall be liable for such loss or damage unless he can establish by clear and convincing evidence that such loss or damage did not result from his failure to maintain an approved program or system, or occurred during such time as an approved program or system for control of Government property was maintained. The term "Contractor's managerial personnel" as used herein means the Contractor's directors, officers and any of his managers, superintendents, or other equivalent representatives who have supervision or ċirection of: (i) all or business; substantially all of the Contractor's (ii) all or substantially all of the Contractor's cperation at any one plant cr separate location at which the contract is being performed; or (iii) a separate and complete major industrial operation in connection with the performance of this contract. (3) The Contractor represents that he is not | including in the price hereunder, and agrees that he will not hereafter include in any price to the Government, any charge or reserve for insurance (including any self-insurance funds or reserve) covering loss or destruction cf or damage to the Government property caused by any excepted peril. (4) Upon the happening of loss or destruction of or | camage to any Government property caused by an excepted Feril, the Contractor shall notify the Contracting Officer thereof, and shall communicate with the Loss and Salvage Salvage Organization, if any, now or hereafter designated by the Contracting Officer, and with the assistance of the Loss and Salvage Organization so designated (unless the Contracting Officer has directed that no such organization be employed), shall take all reasonable steps to protect the Government property 30-156 0-79——42 NASA PROCUREMENT REGULATION GOVERNMENT PROPERTY against an actual, impending cr expected attack by any government or sovereign power (de jure or de facto), or by any authority using military, naval, or air forces; cr by an agent of any such government, power, authority, or forces; or (B) other peril, of a type not listed above, if such cther peril is customarily covered by insurance (or by a reserve for self-insurance) in accordance with the normal practice of the Contractor, or the prevailing practice in the industry in which the Contractor is engaged with respect to similar property general locale. in the same The perils as set forth in (i) and (ii) above are hereinafter called "excepted perils." If the Contractor transfers Government property to the possession and control of a subcontractor, the transfer shall not affect the liability of the Contractor for loss or destruction of or damage to the property as set forth above. However, the Contractor shall require the subcontractor to assure the risk of, and be responsible for, any loss or destruction of or damage to the property while in the latter's possession cr control, except to the extent that the subcontract, with the prior approval of the Contracting officer, provides for the relief of the Contractor from such liability. In the absence of such approval, the subcontract shall contain appropriate provisions requiring the return of all Government property in as good condition as when received, except for reasonable wear and tear or for the utilization of the property in accordance with the provisions of the prime contract. (2) Notwithstanding (1) above, the Contractor shall te responsible for any loss or damage (i) to the extent specifically provided in the clause or clauses of this contract designated in the schedule, or (ii) which results from: (A) willful misconduct or lack of good faith of any of the Contractor's managerial persor.nel; or (B) a failure on the part of the Contractor, due to willful misconduct or lack of good faith of the Contractor's managerial personnel, (i) to maintain and administer the program for maintenance, repair, protection, and preservation of the Government property as required by paragraph (£) hereof, or (ii) to establish, maintain and administer a system for control cf Government property as required by paragraph (d) of this clause. CFR TITLE 41 CHAPTER 18 that any s resulted from SUCT SALE. The liable for suc. Loss of sex mex A. by clear and conta de ག time as annover FI I M a correct Government property was KLEŠ The term Contractor's managerial asl herein means the contractor's arenas, surenitenderts, Lave any of his business; (ii) all or sustantilly cperation at any one plast all of the DYNAYAN'S which the contract is being performed; or אן of this 1# (3) The Contractor represents that including in the price hereunder, and agrees will not hereafter include in any price Government, any charge or reserve for (including any self-insurance funds covering loss or destruction of or damage Government property caused by any excepted peril, (4) Upon the happening of loss or destruction or of I camage to any Government property caused by an excepted peril, the Contractor shall notify the contracting Officer thereof, and shall communicate with the ones and Salvage Organization, if any, new or hereafter designated by the Contracting Officer, and with the assistance of that the Loss and Salvage Organization ad designated (unless the Contracting Officer has directed no such organization be employed), shall take all reasonable steps to protect the Government NASA PROCUREMENT REGULATION property 30-156 0-79-42 GOVERNMENT PROPERTY from further damage, separate the damaged and undamaged Government property, put all the Government property in the best possible order, and furnish to the Contracting Cfficer a statement of: (i) the lost, destroyed, and damaged Government property; (ii) the time and origin of the loss, destruction, or damage; (iii) all known interests in commingled property of which the Government property is a part; and (iv) the insurance, if any, covering any part of or interest in such commingled property. the The Contractor shall be entitled to an equitable adjustment in the contract price for the expenditures made by him in performing his obligations under this subparagraph (4) (including charges made to Contractor by the Loss and Salvage Organization, except any of such charges the payment of which the Government has, at its option, assumed directly), in accordance with the procedures provided for in the "Changes" clause of this contract. the Contracting Officer damage to Government such conditions and (5) With the approval of after loss or destruction of or property, and subject tc limitations as may be imposed by the Contracting Cfficer, the Contractor may, in order to minimize the loss to the Government or in order to permit resumption cf business or the like, sell for the account of the Government any item of Government property which has teen damaged beyond practicable repair, or which is so commingled or combined with property of others, including the Contractor, that separation is impracticable. (6) Except to the extent of any loss or destruction cf or damage to Government property for which the Contractor is relieved of liability under the foregoing provisions of this clause, and except for reasonable we ar and tear or depreciation, or the utilization of the Government property in accordance with the provisions of this contract, the Contractor assumes the risk of, and shall be responsible for, any loss or de struction of or damage to the Government property, and such property (other than that which is permitted to be sold) shall be returned to the Government in as good condition as when received by the Contractor in connection with this contract, or as repaired under Faragraph (f) above. CFR TITLE 41 CHAPTER 18 |