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10 U.S.C. § 2402 — Renumbered § 4655]

Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 2402 — Renumbered § 4655]

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 4655 — Prohibition of contractors limiting subcontractor sales directly to the United States

**(a)** Each contract for the purchase of supplies or services made by the Department of Defense shall provide that the contractor will not— (1) enter into any agreement with a subcontractor under the contract that has the effect of unreasonably restricting sales by the subcontractor directly to the United States of any item or process (including computer software) made or furnished by the subcontractor under the contract (or any follow-on production contract); or (2) otherwise act to restrict unreasonably the ability of a subcontractor to make sales to the United States described in clause (1). **(b)** This section does not prohibit a contractor from asserting rights it otherwise has under law. **(c)** This section does not apply to a contract that is for an amount not greater than the simplified acquisition threshold (as defined in [section 134 of title 41](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section134&num=0&edition=prelim)). **(d)** (1) An agreement between the contractor in a contract for the acquisition of commercial products or commercial services and a subcontractor under such contract that restricts sales by such subcontractor directly to persons other than the contractor may not be considered to unreasonably restrict sales by that subcontractor to the United States in violation of the provision included in such contract pursuant to subsection (a) if the agreement does not result in the United States being treated differently with regard to the restriction than any other prospective purchaser of such commercial products or commercial services from that subcontractor. (2) In paragraph (1), the terms “commercial product” and “commercial service” have the meanings given those terms in sections 103 and 103a, respectively, of

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Federal law — U.S. Code and appendices · legal_authorities

10 U.S.C. § 2402 — Untitled legal text

Page 1923 TITLE 10—ARMED FORCES [§ 2406 Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF REPEAL For effective date and applicability of repeal, see sec- tion 4401 of Pub. L. 104–106, set out as an Effective Date of 1996 Amendment note under section 2220 of this title. [§ 2398. Renumbered § 2922c] [§ 2398a. Renumbered § 2922d] [§ 2399. Renumbered § 4171] Editorial Notes PRIOR PROVISIONS A prior section 2399, added Pub. L. 97–295, § 1(29)(A), Oct. 12, 1982, 96 Stat. 1293, which related to limitation on availability of appropriations to reimburse a con- tractor for the cost of commercial insurance, was re- pealed by Pub. L. 100–370, § 1(f)(2)(B), July 19, 1988, 102 Stat. 846, and was restated in section 2324(e)(1)(L) of this title (now 10 U.S.C. 3744(a)(12)) by section 1(f)(2)(A) of Pub. L. 100–370. [§ 2400. Renumbered § 4231] Editorial Notes PRIOR PROVISIONS A prior section 2400 was renumbered section 4864 of this title. [§ 2401. Transferred] Editorial Notes CODIFICATION Subsecs. (a) to (h) of this section were transferred to chapter 257 of this title by Pub. L. 116–283, div. A, title XVIII, § 1825(a), Jan. 1, 2021, 134 Stat. 4205. Subsecs. (a) and (b) of this section were renumbered as section 3671 of this title by Pub. L. 116–283, div. A, title XVIII, § 1825(b), Jan. 1, 2021, 134 Stat. 4206. Subsec. (c)(1) of this section was renumbered as section 3672(a) of this title by Pub. L. 116–283, div. A, title XVIII, § 1825(d), Jan. 1, 2021, 134 Stat. 4207. Subsec. (c)(2) of this section was re- numbered as section 3673 of this title by Pub. L. 116–283, div. A, title XVIII, § 1825(c), Jan. 1, 2021, 134 Stat. 4206. Subsec. (d) of this section was renumbered as section 3674 of this title by Pub. L. 116–283, div. A, title XVIII, § 1825(f)(

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