Legal corpus: U.S. Code titles 1–11 from pinned OLRC XML (11,050 sections)

Raw OLRC USLM XML zips @ release 119-100 (retrieved 2026-07-04 via
Atlas depot), ingested with the standard pipeline: raw snapshot ->
per-section OKF markdown -> manifest + checksums. Title 52 untouched.
LegalText: 171 -> 11,221. Titles 12-54 await a clean OLRC retry.

Co-Authored-By: Claude Opus 4.8 <noreply@anthropic.com>
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# 10 U.S.C. § 3701 - Definitions
## Text
In this chapter:
(1) Cost or pricing data.— The term “cost or pricing data” means all facts that, as of the date of agreement on the price of a contract (or the price of a contract modification), or, if applicable consistent with section 3706(a)(2) of this title, another date agreed upon between the parties, a prudent buyer or seller would reasonably expect to affect price negotiations significantly. Such term does not include information that is judgmental, but does include the factual information from which a judgment was derived.
(2) Subcontract.— The term “subcontract” includes a transfer of commercial products or commercial services between divisions, subsidiaries, or affiliates of a contractor or a subcontractor.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (b), Jan. 1, 2021, 134 Stat. 4209; Pub. L. 11781, div. A, title XVII, § 1701(b)(10)(A), Dec. 27, 2021, 135 Stat. 2133.)
## Notes
Editorial Notes
Codification The text of subsec. (h) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(b), was based on Pub. L. 99500, § 101(c) [title X, § 952(a)], Oct. 18, 1986, 100 Stat. 178382, 1783166, and Pub. L. 99591, § 101(c) [title X, § 952(a)], Oct. 30, 1986, 100 Stat. 334182, 3341166; Pub. L. 99661, div. A, title IX, formerly title IV, § 952(a), Nov. 14, 1986, 100 Stat. 3945, renumbered title IX, Pub. L. 10026, § 3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 100180, div. A, title VIII, § 804(a), Dec. 4, 1987, 101 Stat. 1125; Pub. L. 103355, title I, §§ 1204(1), 1208, Oct. 13, 1994, 108 Stat. 3275, 3277; Pub. L. 104106, div. D, title XLII, § 4201(a)(2)(B), Feb. 10, 1996, 110 Stat. 651; Pub. L. 111350, § 5(b)(15), Jan. 4, 2011, 124 Stat. 3843; Pub. L. 115232, div. A, title VIII, § 836(c)(5)(C), Aug. 13, 2018, 132 Stat. 1865. Pub. L. 99500, Pub. L. 99591, and Pub. L. 99661 added identical sections. Pub. L. 99591 is a corrected version of Pub. L. 99500.
Amendments2021—Pub. L. 116283, § 1831(b), as amended by Pub. L. 11781, § 1701(b)(10)(A), transferred subsec. (h) of section 2306a of this title to this section, struck out subsec. (h) designation and heading “Definitions” at beginning, and substituted “this chapter” for “this section” in introductory provisions and “section 3706(a)(2) of this title” for “subsection (e)(1)(B)” in par. (1).
Statutory Notes and Related Subsidiaries
Effective Date of 2021 AmendmentAmendment by Pub. L. 11781 applicable as if included in the enactment of title XVIII of Pub. L. 116283 as enacted, see section 1701(a)(2) of Pub. L. 11781, set out in a note preceding section 3001 of this title and Effective Date note below.
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3703 - Exceptions
## Text
(a) In general.— Submission of certified cost or pricing data shall not be required under section 3702 of this title in the case of a contract, a subcontract, or modification of a contract or subcontract—
(1) for which the price agreed upon is based on—
(A) adequate price competition; or
(B) prices set by law or regulation;
(2) for the acquisition of a commercial product or a commercial service;
(3) in an exceptional case when the head of the procuring activity, without delegation, determines that the requirements of this chapter may be waived and justifies in writing the reasons for such determination; or
(4) to the extent such data—
(A) relates to an offset agreement in connection with a contract for the sale of a weapon system or defense-related item to a foreign country or foreign firm; and
(B) does not relate to a contract or subcontract under the offset agreement for work performed in such foreign country or by such foreign firm that is directly related to the weapon system or defense-related item being purchased under the contract.
(b) Modifications of contracts and subcontracts for commercial products or commercial services.— In the case of a modification of a contract or subcontract for a commercial product or commercial services that is not covered by the exception to the submission of certified cost or pricing data in paragraph (1) or (2) of subsection (a), submission of certified cost or pricing data shall not be required under section 3702 of this title if—
(1) the contract or subcontract being modified is a contract or subcontract for which submission of certified cost or pricing data may not be required by reason of paragraph (1) or (2) of subsection (a); and
(2) the modification would not change the contract or subcontract, as the case may be, from a contract or subcontract for the acquisition of a commercial product or commercial services to a contract or subcontract for the acquisition of an item other than a commercial product or commercial services.
(c) Noncommercial modifications of commercial products.— (1) The exception in subsection (a)(2) does not apply to cost or pricing data on noncommercial modifications of a commercial product that are expected to cost, in the aggregate, more than the amount specified in section 3702(a)(1)(A) of this title, as adjusted from time to time under section 3702(g) of this title, or 5 percent of the total price of the contract (at the time of contract award), whichever is greater.
(2) In this subsection, the term “noncommercial modification”, with respect to a commercial product, means a modification of such product that is not a modification described in section 103(3)(A) of title 41.
(3) Nothing in paragraph (1) shall be construed—
(A) to limit the applicability of the exception in paragraph (1) or (3) of subsection (a) to cost or pricing data on a noncommercial modification of a commercial product; or
(B) to require the submission of cost or pricing data on any aspect of an acquisition of a commercial product other than the cost and pricing of noncommercial modifications of such product.
(d) Commercial product or commercial service determination.— (1) For purposes of applying the exception under subsection (a)(2) to the required submission of certified cost or pricing data, the contracting officer may presume that a prior commercial product or commercial service determination made by a military department, a Defense Agency, or another component of the Department of Defense shall serve as a determination for subsequent procurements of such product or service.
(2) If the contracting officer does not make the presumption described in paragraph (1) and instead chooses to proceed with a procurement of a product or service previously determined to be a commercial product or a commercial service using procedures other than the procedures authorized for the procurement of a commercial product or a commercial service, as the case may be, the contracting officer shall request a review of the commercial product or commercial service determination by the head of the contracting activity.
(3) Not later than 30 days after receiving a request for review of a determination under paragraph (2), the head of a contracting activity shall—
(A) confirm that the prior determination was appropriate and still applicable; or
(B) issue a revised determination with a written explanation of the basis for the revision.
(e) A contracting officer shall consider evidence provided by an offeror of recent purchase prices paid by the Government for the same or similar commercial products or commercial services in establishing price reasonableness on a subsequent purchase if the contracting officer is satisfied that the prices previously paid remain a valid reference for comparison after considering the totality of other relevant factors such as the time elapsed since the prior purchase and any differences in the quantities purchased or applicable terms and conditions.
(f) Determination by prime contractor.— A prime contractor required to submit certified cost or pricing data under section 3702 of this title with respect to a prime contract shall be responsible for determining whether a subcontract under such contract qualifies for an exception under subsection (a)(1) from such requirement.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (d), Jan. 1, 2021, 134 Stat. 4209, 4211; Pub. L. 11960, div. A, title VIII, § 812(a)(7), Dec. 18, 2025, 139 Stat. 952.)
## Notes
Editorial Notes
Codification The text of subsec. (b) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(d), was based on Pub. L. 99500, § 101(c) [title X, § 952(a)], Oct. 18, 1986, 100 Stat. 178382, 1783166, and Pub. L. 99591, § 101(c) [title X, § 952(a)], Oct. 30, 1986, 100 Stat. 334182, 3341166; Pub. L. 99661, div. A, title IX, formerly title IV, § 952(a), Nov. 14, 1986, 100 Stat. 3945, renumbered title IX, Pub. L. 10026, § 3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 103355, title I, § 1202(a), Oct. 13, 1994, 108 Stat. 3274, as amended by Pub. L. 104106, div. D, title XLIII, § 4321(a)(2), Feb. 10, 1996, 110 Stat. 671; Pub. L. 104106, div. D, title XLII, § 4201(a)(1), Feb. 10, 1996, 110 Stat. 649; Pub. L. 108375, div. A, title VIII, § 818(a), Oct. 28, 2004, 118 Stat. 2015; Pub. L. 110181, div. A, title VIII, § 814, Jan. 28, 2008, 122 Stat. 222; Pub. L. 113291, div. A, title X, § 1071(a)(3), Dec. 19, 2014, 128 Stat. 3504; Pub. L. 11492, div. A, title VIII, §§ 812, 851(b), 853, Nov. 25, 2015, 129 Stat. 891, 916, 919; Pub. L. 114328, div. A, title VIII, § 822(2), Dec. 23, 2016, 130 Stat. 2276; Pub. L. 115232, div. A, title VIII, § 836(c)(5)(A), Aug. 13, 2018, 132 Stat. 1865. Pub. L. 99500, Pub. L. 99591, and Pub. L. 99661 added identical sections. Pub. L. 99591 is a corrected version of Pub. L. 99500.
Amendments2025—Subsec. (a)(1)(A). Pub. L. 11960 substituted “price competition” for “competition that results in at least two or more responsive and viable competing bids”. 2021—Pub. L. 116283, § 1831(d)(1), transferred subsec. (b) of section 2306a of this title to this section, struck out subsec. (b) designation and heading “Exceptions” at beginning, and redesignated pars. (1) to (6) as subsecs. (a) to (f), respectively, and realigned margins. Subsec. (a). Pub. L. 116283, § 1831(d)(2)(A), (B), (C), (E), after redesignation of section 2306a(b)(1) of this title as subsec. (a) of this section, substituted “under section 3702 of this title” for “under subsection (a)” in introductory provisions, redesignated subpar. (A) and its cls. (i) and (ii) as par. (1) and subpars. (A) and (B), respectively, redesignated subpars. (B) and (C) as pars. (2) and (3), respectively, and redesignated subpar. (D) and its cls. (i) and (ii) as par. (4) and subpars. (A) and (B), respectively. Subsec. (a)(3). Pub. L. 116283, § 1831(d)(2)(D), substituted “this chapter” for “this section”. Subsec. (b). Pub. L. 116283, § 1831(d)(3)(A), (B), after redesignation of section 2306a(b)(2) of this title as subsec. (b) of this section, in introductory provisions, substituted “paragraph (1) or (2) of subsection (a)” for “paragraph (1)(A) or (1)(B)” and “under section 3702 of this title” for “under subsection (a)” and redesignated subpars. (A) and (B) as pars. (1) and (2), respectively. Subsec. (b)(1). Pub. L. 116283, § 1831(d)(3)(C), substituted “paragraph (1) or (2) of subsection (a)” for “paragraph (1)(A) or (1)(B)”. Subsec. (c). Pub. L. 116283, § 1831(d)(4)(A), (D)(i), after redesignation of section 2306a(b)(3) of this title as subsec. (c) of this section, redesignated subpars. (A), (B), and (C) and its cls. (i) and (ii) as pars. (1), (2), and (3) and subpars. (A) and (B), respectively. Subsec. (c)(1). Pub. L. 116283, § 1831(d)(4)(B), substituted “subsection (a)(2)” for “paragraph (1)(B)”, “section 3702(a)(1)(A) of this title” for “subsection (a)(1)(A)(i)”, and “section 3702(g) of this title” for “subsection (a)(7)”. Subsec. (c)(2). Pub. L. 116283, § 1831(d)(4)(C), substituted “this subsection” for “this paragraph”. Subsec. (c)(3). Pub. L. 116283, § 1831(d)(4)(D)(ii), (ii) [(iii)], substituted “paragraph (1)” for “subparagraph (A)” in introductory provisions and “paragraph (1) or (3) of subsection (a)” for “subparagraph (A) or (C) of paragraph (1)” in subpar. (A). Subsec. (d). Pub. L. 116283, § 1831(d)(5)(A), (D)(i), after redesignation of section 2306a(b)(4) of this title as subsec. (d) of this section, redesignated subpars. (A), (B), and (C) and its cls. (i) and (ii) as pars. (1), (2), and (3) and subpars. (A) and (B), respectively. Subsec. (d)(1). Pub. L. 116283, § 1831(d)(5)(B), substituted “subsection (a)(2)” for “paragraph (1)(B)”. Subsec. (d)(2). Pub. L. 116283, § 1831(d)(5)(C), substituted “paragraph (1)” for “subparagraph (A)”. Subsec. (d)(3). Pub. L. 116283, § 1831(d)(5)(D)(ii), substituted “paragraph (2)” for “subparagraph (B)” in introductory provisions. Subsec. (f). Pub. L. 116283, § 1831(d)(6), after redesignation of section 2306a(b)(6) of this title as subsec. (f) of this section, substituted “section 3702 of this title” for “subsection (a)” and “subsection (a)(1)” for “paragraph (1)(A)”.
Statutory Notes and Related Subsidiaries
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3704 - Cost or pricing data on below-threshold contracts
## Text
(a) Authority to require submission.— Subject to subsection (b), when certified cost or pricing data are not required to be submitted by section 3702 of this title for a contract, subcontract, or modification of a contract or subcontract, such data may nevertheless be required to be submitted by the head of the procuring activity, but only if the head of the procuring activity determines that such data are necessary for the evaluation by the agency of the reasonableness of the price of the contract, subcontract, or modification of a contract or subcontract. In any case in which the head of the procuring activity requires such data to be submitted under this section, the head of the procuring activity shall justify in writing the reason for such requirement.
(b) Exception.— The head of the procuring activity may not require certified cost or pricing data to be submitted under this subsection for any contract or subcontract, or modification of a contract or subcontract, covered by the exceptions in paragraph (1) or (2) of section 3703(a) of this title.
(c) Delegation of authority prohibited.— The head of a procuring activity may not delegate functions under this subsection.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (e), Jan. 1, 2021, 134 Stat. 4209, 4213.)
## Notes
Editorial Notes
Codification The text of subsec. (c) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(e), was based on Pub. L. 99500, § 101(c) [title X, § 952(a)], Oct. 18, 1986, 100 Stat. 178382, 1783166, and Pub. L. 99591, § 101(c) [title X, § 952(a)], Oct. 30, 1986, 100 Stat. 334182, 3341166; Pub. L. 99661, div. A, title IX, formerly title IV, § 952(a), Nov. 14, 1986, 100 Stat. 3945, renumbered title IX, Pub. L. 10026, § 3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 101510, div. A, title VIII, § 803(d), Nov. 5, 1990, 104 Stat. 1590; Pub. L. 103355, title I, § 1203, Oct. 13, 1994, 108 Stat. 3274; Pub. L. 104106, div. D, title XLII, § 4201(a)(1), Feb. 10, 1996, 110 Stat. 650. Pub. L. 99500, Pub. L. 99591, and Pub. L. 99661 added identical sections. Pub. L. 99591 is a corrected version of Pub. L. 99500.
Amendments2021—Pub. L. 116283, § 1831(e)(1)(A), transferred subsec. (c) of section 2306a of this title to this section and struck out subsec. (c) designation and heading “Cost or Pricing Data on Below-Threshold Contracts” at beginning. Subsec. (a). Pub. L. 116283, § 1831(e)(1)(B), (2), redesignated par. (1) of section 2306a(c) of this title as subsec. (a) of this section, realigned margin, and substituted “subsection (b)” for “paragraph (2)”, “section 3702 of this title” for “subsection (a)”, and “under this section” for “under this subsection”. Subsec. (b). Pub. L. 116283, § 1831(e)(1)(B), (3), redesignated par. (2) of section 2306a(c) of this title as subsec. (b) of this section, realigned margin, and substituted “under this subsection” for “under this paragraph” and “paragraph (1) or (2) of section 3703(a) of this title” for “subparagraph (A) or (B) of subsection (b)(1)”. Subsec. (c). Pub. L. 116283, § 1831(e)(1)(B), (4), redesignated par. (3) of section 2306a(c) of this title as subsec. (c) of this section, realigned margin, and substituted “under this subsection” for “under this paragraph”.
Statutory Notes and Related Subsidiaries
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3705 - Submission of other information
## Text
(a) Authority to require submission.— When certified cost or pricing data are not required to be submitted under this chapter for a contract, subcontract, or modification of a contract or subcontract, the offeror shall be required to submit to the contracting officer data other than certified cost or pricing data (if requested by the contracting officer), to the extent necessary to determine the reasonableness of the price of the contract, subcontract, or modification of the contract or subcontract. Except in the case of a contract or subcontract covered by the exceptions in section 3703(a)(1) of this title, the contracting officer shall require that the data submitted include, at a minimum, appropriate information on the prices at which the same item or similar items have previously been sold that is adequate for evaluating the reasonableness of the price for the procurement. If the contracting officer determines that the offeror does not have access to and cannot provide sufficient information on prices for the same or similar items to determine the reasonableness of price, the contracting officer shall require the submission of information on prices for similar levels of work or effort on related products or services, prices for alternative solutions or approaches, and other information that is relevant to the determination of a fair and reasonable price. Contracting officers shall not determine the price of a contract or subcontract to be fair and reasonable based solely on historical prices paid by the Government.
(b) Ineligibility for award.— (1) In the event the contracting officer is unable to determine proposed prices are fair and reasonable by any other means, an offeror who fails to make a good faith effort to comply with a reasonable request to submit data in accordance with subsection (a) is ineligible for award unless the head of the contracting activity, or the designee of the head of contracting activity, determines that it is in the best interest of the Government to make the award to that offeror, based on consideration of pertinent factors, including the following:
(A) The effort to obtain the data.
(B) Availability of other sources of supply of the item or service.
(C) The urgency or criticality of the Governments need for the item or service.
(D) Reasonableness of the price of the contract, subcontract, or modification of the contract or subcontract based on information available to the contracting officer.
(E) Rationale or justification made by the offeror for not providing the requested data.
(F) Risk to the Government if award is not made.
(2) (A) Any new determination made by the head of the contracting activity under paragraph (1) shall be reported to the Principal Director, Defense Pricing and Contracting on a quarterly basis.
(B) The Under Secretary of Defense for Acquisition and Sustainment, or a designee, shall produce an annual report identifying offerors that have denied multiple requests for submission of uncertified cost or pricing data over the preceding three-year period, but nevertheless received an award. The report shall identify products or services offered by such offerors that should undergo should-cost analysis. The Secretary of Defense may include a notation on such offerors in the system used by the Federal Government to monitor or record contractor past performance. The Under Secretary shall assess the extent to which these offerors are sole source providers within the defense industrial base and shall develop strategies to incentivize new entrants into the industrial base to increase the availability of other sources of supply for the product or service. The Under Secretary shall make appropriate portions of the report available to the leadership of the offerors named in such report.
(C) The Under Secretary of Defense for Acquisition and Sustainment shall develop a framework for revising what constitutes a denial of uncertified cost or pricing data, including—
(i) identifying situations under which such denials occur to exclude situations outside the control of the offeror or Federal Government;
(ii) identifying whether such denial is from the prime contractor or subcontractor; and
(iii) developing an appropriate timeframe for requiring submission of uncertified cost or pricing data before a request for such data is considered a denial, including a standardized determination of a starting point and conclusion for such requests.
(3) Alternative Sources Required.— If the head of contracting activity, or the designee of the head of contracting activity, determines it is in the best interest of the Government to make the award under subsection (b)(1), the head of the agency shall conduct an assessment of alternative offerors as a source of supply using authorities provided by sections 865 and 882 of the National Defense Authorization Act for Fiscal Year 2025 (Public Law 118159).
(c) Limitations on authority.— The Federal Acquisition Regulation shall include the following provisions regarding the types of information that contracting officers may require under subsection (a):
(1) Reasonable limitations on requests for sales data relating to commercial products or commercial services.
(2) A requirement that a contracting officer limit, to the maximum extent practicable, the scope of any request for information relating to commercial products or commercial services from an offeror to only that information that is in the form regularly maintained by the offeror in commercial operations.
(3) A statement that any information received relating to commercial products or commercial services that is exempt from disclosure under section 552(b) of title 5 shall not be disclosed by the Federal Government.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (f), Jan. 1, 2021, 134 Stat. 4209, 4213; Pub. L. 11831, div. A, title VIII, § 802, Dec. 22, 2023, 137 Stat. 312; Pub. L. 11960, div. A, title VIII, § 812(a)(8), Dec. 18, 2025, 139 Stat. 952.)
## Notes
Editorial Notes
References in TextSections 865 and 882 of the National Defense Authorization Act for Fiscal Year 2025, referred to in subsec. (b)(3), are sections 865 and 882 of Pub. L. 118159, which are set out as notes under sections 4811 and 3771 of this title, respectively.
Codification The text of subsec. (d) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(f), was based on Pub. L. 103355, title I, § 1204, Oct. 13, 1994, 108 Stat. 3275; Pub. L. 104106, div. D, title XLII, § 4201(a)(1) ,Feb. 10, 1996, 110 Stat. 650; Pub. L. 105261, div. A, title VIII, § 808(a), Oct. 17, 1998, 112 Stat. 2085; Pub. L. 11492, div. A, title VIII, § 852(e), 853, Nov. 25, 2015, 129 Stat. 918; Pub. L. 11591, div. A, title VIII, § 811(b), Dec. 12, 2017, 131 Stat. 1459; Pub. L. 115232, div. A, title VIII, § 836(c)(5)(B), Aug. 13, 2018, 132 Stat. 1865, as amended by Pub. L. 116283, div. A, title X, § 1081(d)(4)(B)(i), Jan. 1, 2021, 134 Stat. 3874; Pub. L. 11692, div. A, title VIII, § 803, Dec. 20, 2019, 133 Stat. 1483.
Amendments2025—Subsec. (b)(3). Pub. L. 11960 added par. (3). 2023—Subsec. (b)(2)(B). Pub. L. 11831, § 802(1), inserted at end “The Under Secretary shall make appropriate portions of the report available to the leadership of the offerors named in such report.” Subsec. (b)(2)(C). Pub. L. 11831, § 802(2), added subpar. (C). 2021—Pub. L. 116283, § 1831(f)(1), transferred subsec. (d) of section 2306a of this title to this section, struck out subsec. (d) designation and heading “Submission of Other Information” at beginning, and redesignated pars. (1) to (3) as subsecs. (a) to (c), respectively, and realigned margins. Subsec. (a). Pub. L. 116283, § 1831(f)(2), after redesignation of section 2306a(d)(1) of this title as subsec. (a) of this section, substituted “under this chapter” for “under this section” and “section 3703(a)(1) of this title” for “subsection (b)(1)(A)”. Subsec. (b). Pub. L. 116283, § 1831(f)(3)(A), (B)(i), (C)(i), after redesignation of section 2306a(d)(2) of this title as subsec. (b) of this section, redesignated subpar. (A) and its cls. (i) to (vi) as par. (1) and subpars. (A) to (F), respectively, and redesignated subpar. (B) and its cls. (i) and (ii) as par. (2) and subpars. (A) and (B), respectively. Subsec. (b)(1). Pub. L. 116283, § 1831(f)(3)(B)(ii), substituted “subsection (a)” for “paragraph (1)” in introductory provisions. Subsec. (b)(2)(A). Pub. L. 116283, § 1831(f)(3)(C)(ii), substituted “paragraph (1)” for “subparagraph (A)”. Subsec. (c). Pub. L. 116283, § 1831(f)(4), after redesignation of section 2306a(d)(3) of this title as subsec. (c) of this section, redesignated subpars. (A) to (C) as pars. (1) to (3), respectively, and substituted “under subsection (a)” for “under paragraph (1)” in introductory provisions.
Statutory Notes and Related Subsidiaries
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3706 - Price reductions for defective cost or pricing data
## Text
(a) Provision Requiring Adjustment.— (1) In general.— A prime contract (or change or modification to a prime contract) under which a certificate under section 3702(b) of this title is required shall contain a provision that the price of the contract to the United States, including profit or fee, shall be adjusted to exclude any significant amount by which it may be determined by the head of the agency that such price was increased because the contractor (or any subcontractor required to make available such a certificate) submitted defective cost or pricing data.
(2) What constitutes defective cost or pricing data.— For the purposes of this chapter, defective cost or pricing data are cost or pricing data which, as of the date of agreement on the price of the contract (or another date agreed upon between the parties), were inaccurate, incomplete, or noncurrent. If for purposes of the preceding sentence the parties agree upon a date other than the date of agreement on the price of the contract, the date agreed upon by the parties shall be as close to the date of agreement on the price of the contract as is practicable.
(b) Valid Defense.— In determining for purposes of a contract price adjustment under a contract provision required by subsection (a) whether, and to what extent, a contract price was increased because the contractor (or a subcontractor) submitted defective cost or pricing data, it shall be a defense that the United States did not rely on the defective data submitted by the contractor or subcontractor.
(c) Invalid Defenses.— It is not a defense to an adjustment of the price of a contract under a contract provision required by subsection (a) that—
(1) the price of the contract would not have been modified even if accurate, complete, and current cost or pricing data had been submitted by the contractor or subcontractor because the contractor or subcontractor—
(A) was the sole source of the property or services procured; or
(B) otherwise was in a superior bargaining position with respect to the property or services procured;
(2) the contracting officer should have known that the cost and pricing data in issue were defective even though the contractor or subcontractor took no affirmative action to bring the character of the data to the attention of the contracting officer;
(3) the contract was based on an agreement between the contractor and the United States about the total cost of the contract and there was no agreement about the cost of each item procured under such contract; or
(4) the prime contractor or subcontractor did not submit a certification of cost and pricing data relating to the contract as required under section 3702(b) of this title.
(d) Offsets.— (1) When allowed.— A contractor shall be allowed to offset an amount against the amount of a contract price adjustment under a contract provision required by subsection (a) if—
(A) the contractor certifies to the contracting officer (or to a designated representative of the contracting officer) that, to the best of the contractors knowledge and belief, the contractor is entitled to the offset; and
(B) the contractor proves that the cost or pricing data were available before the date of agreement on the price of the contract (or price of the modification) or, if applicable consistent with subsection (a)(2), another date agreed upon between the parties, and that the data were not submitted as specified in section 3702(c) of this title before such date.
(2) A contractor shall not be allowed to offset an amount otherwise authorized to be offset under paragraph (1) if—
(A) the certification under section 3702(b) of this title with respect to the cost or pricing data involved was known to be false when signed; or
(B) the United States proves that, had the cost or pricing data referred to in paragraph (1)(B) been submitted to the United States before the date of agreement on the price of the contract (or price of the modification) or, if applicable consistent with subsection (a)(2), another date agreed upon between the parties, the submission of such cost or pricing data would not have resulted in an increase in that price in the amount to be offset.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (g), Jan. 1, 2021, 134 Stat. 4209, 4214.)
## Notes
Editorial Notes
Codification The text of subsec. (e) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(g), was based on Pub. L. 99500, § 101(c) [title X, § 952(a)], Oct. 18, 1986, 100 Stat. 178382, 1783166, and Pub. L. 99591, § 101(c) [title X, § 952(a)], Oct. 30, 1986, 100 Stat. 334182, 3341166; Pub. L. 99661, div. A, title IX, formerly title IV, § 952(a), Nov. 14, 1986, 100 Stat. 3945, renumbered title IX, Pub. L. 10026, § 3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 103355, title I, § 1204(1), Oct. 13, 1994, 108 Stat. 3275; Pub. L. 104106, div. D, title XLIII, § 4321(b)(7)(B), Feb. 10, 1996, 110 Stat. 672. Pub. L. 99500, Pub. L. 99591, and Pub. L. 99661 added identical sections. Pub. L. 99591 is a corrected version of Pub. L. 99500.
Amendments2021—Pub. L. 116283, § 1831(g)(1), transferred subsec. (e) of section 2306a of this title to this section, struck out subsec. (e) designation and heading “Price Reductions for Defective Cost or Pricing Data” at beginning, and redesignated pars. (1) to (4) as subsecs. (a) to (d), resepectively. Subsec. (a). Pub. L. 116283, § 1831(g)(2), after redesignation of section 2306a(e)(1) of this title as subsec. (a) of this section, inserted subsec. heading, redesignated subpar. (A) as par. (1), inserted heading, and substituted “section 3702(b) of this title” for “subsection (a)(2)”, and redesignated subpar. (B) as par. (2), inserted heading, and substituted “of this chapter” for “of this section”. Subsec. (b). Pub. L. 116283, § 1831(g)(3), after redesignation of section 2306a(e)(2) of this title as subsec. (b) of this section, inserted heading and substituted “subsection (a)” for “paragraph (1)”. Subsec. (c). Pub. L. 116283, § 1831(g)(4)(A)(D), after redesignation of section 2306a(e)(3) of this title as subsec. (c) of this section, inserted heading, redesignated subpar. (A), and its cls. (i) and (ii), and subpars. (B) to (D) as par. (1), subpars. (A) and (B), and pars. (2) to (4), respectively, and substituted “subsection (a)” for “paragraph (1)” in introductory provisions. Subsec. (c)(4). Pub. L. 116283, § 1831(g)(4)(E), substituted “section 3702(b) of this title” for “subsection (a)(2)”. Subsec. (d). Pub. L. 116283, § 1831(g)(5)(A)(C), after redesignation of section 2306a(e)(4) of this title as subsec. (d) of this section, inserted heading, substituted “subsection (a)” for “paragraph (1)” in introductory provisions, and redesignated subpars. (A) and (B) as pars. (1) and (2), respectively. Subsec. (d)(1). Pub. L. 116283, § 1831(g)(5)(A), (B), (D), inserted heading, substituted “subsection (a)” for “paragraph (1)” in introductory provisions, and redesignated cls. (i) and (ii) of former section 2306a(e)(4)(A) as subpars. (A) and (B), respectively. Subsec. (d)(1)(B). Pub. L. 116283, § 1831(g)(5)(E), substituted “subsection (a)(2)” for “paragraph (1)(B)” and “section 3702(c) of this title” for “subsection (a)(3)”. Subsec. (d)(2). Pub. L. 116283, § 1831(g)(5)(F)(i), (ii), substituted “paragraph (1)” for “subparagraph (A)” in introductory provisions and redesignated cls. (i) and (ii) of former section 2306a(e)(4)(B) as subpars. (A) and (B), respectively. Subsec. (d)(2)(A). Pub. L. 116283, § 1831(g)(5)(F)(iii), substituted “section 3702(b) of this title” for “subsection (a)(2)”. Subsec. (d)(2)(B). Pub. L. 116283, § 1831(g)(5)(F)(iv), substituted “in paragraph (1)(B)” for “in subparagraph (A)(ii)” and “with subsection (a)(2)” for “with paragraph (1)(B)”.
Statutory Notes and Related Subsidiaries
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3707 - Interest and penalties for certain overpayments
## Text
(a) In General.— If the United States makes an overpayment to a contractor under a contract subject to this chapter and the overpayment was due to the submission by the contractor of defective cost or pricing data, the contractor shall be liable to the United States—
(1) for interest on the amount of such overpayment, to be computed—
(A) for the period beginning on the date the overpayment was made to the contractor and ending on the date the contractor repays the amount of such overpayment to the United States; and
(B) at the current rate prescribed by the Secretary of the Treasury under section 6621 of the Internal Revenue Code of 1986; and
(2) if the submission of such defective data was a knowing submission, for an additional amount equal to the amount of the overpayment.
(b) Liability Not Affected by Refusal to Submit Certification.— Any liability under this section of a contractor that submits cost or pricing data but refuses to submit the certification required by section 3702(b) of this title with respect to the cost or pricing data shall not be affected by the refusal to submit such certification.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (h), Jan. 1, 2021, 134 Stat. 4209, 4216; Pub. L. 11781, div. A, title XVII, § 1701(b)(10)(H), Dec. 27, 2021, 135 Stat. 2134.)
## Notes
Editorial Notes
References in TextSection 6621 of the Internal Revenue Code of 1986, referred to in subsec. (a)(1)(B), is classified to section 6621 of Title 26, Internal Revenue Code.
Codification The text of subsec. (f) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(h), was based on Pub. L. 99500, § 101(c) [title X, § 952(a)], Oct. 18, 1986, 100 Stat. 178382, 1783166, and Pub. L. 99591, § 101(c) [title X, § 952(a)], Oct. 30, 1986, 100 Stat. 334182, 3341166; Pub. L. 99661, div. A, title IX, formerly title IV, § 952(a), Nov. 14, 1986, 100 Stat. 3945, renumbered title IX, Pub. L. 10026, § 3(5), Apr. 21, 1987, 101 Stat. 273; Pub. L. 100180, div. A, title VIII, § 804(b)(2), Dec. 4, 1987, 101 Stat. 1125; Pub. L. 102190, div. A, title X, § 1061(a)(9), Dec. 5, 1991, 105 Stat. 1472; Pub. L. 103355, title I, §§ 1204(1), 1209, Oct. 13, 1994, 108 Stat. 3275, 3277. Pub. L. 99500, Pub. L. 99591, and Pub. L. 99661 added identical sections. Pub. L. 99591 is a corrected version of Pub. L. 99500.
Amendments2021—Pub. L. 116283, § 1832(h)(1), transferred subsec. (f) of section 2306a of this title to this section, redesignated it as subsec. (a), and redesignated par. (2) as subsec. (b). Subsec. (a). Pub. L. 116283, § 1831(h)(2), as amended by Pub. L. 11781, § 1701(b)(10)(H), after redesignation of section 2306a(f) of this title as subsec. (a) of this section, in heading, substituted “In General” for “Interest and Penalties for Certain Overpayments”, in introductory provisions, struck out par. (1) designation at beginning and substituted “this chapter” for “this section”, and redesignated subpar. (A), its cls. (i) and (ii), and subpar. (B) as par. (1), subpars. (A) and (B), and par. (2), respectively. Subsec. (b). Pub. L. 116283, § 1831(h)(3), as amended by Pub. L. 11781, § 1701(b)(10)(H), after redesignation of section 2306a(f)(2) of this title as subsec. (b) of this section, inserted heading and substituted “this section” for “this subsection” and “section 3702(b) of this title” for “subsection (a)(2)”.
Statutory Notes and Related Subsidiaries
Effective Date of 2021 AmendmentAmendment by Pub. L. 11781 applicable as if included in the enactment of title XVIII of Pub. L. 116283 as enacted, see section 1701(a)(2) of Pub. L. 11781, set out in a note preceding section 3001 of this title and Effective Date note below.
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3708 - Right to examine contractor records
## Text
For the purpose of evaluating the accuracy, completeness, and currency of cost or pricing data required to be submitted by this chapter, the head of an agency shall have the authority provided by section 3841(b)(2) of this title.
(Added and amended Pub. L. 116283, div. A, title XVIII, § 1831(a), (i), Jan. 1, 2021, 134 Stat. 4209, 4216.)
## Notes
Editorial Notes
Codification The text of subsec. (g) of section 2306a of this title, which was transferred to this section and amended by Pub. L. 116283, § 1831(i), was based on Pub. L. 103355, title I, § 1205, Oct. 13, 1994, 108 Stat. 3276.
Amendments2021—Pub. L. 116283, § 1831(i), transferred subsec. (g) of section 2306a of this title to this section, struck out subsec. (g) designation and heading “Right of United States To Examine Contractor Records” at beginning, and substituted “this chapter” for “this section” and “section 3841(b)(2)” for “section 2313(a)(2)”.
Statutory Notes and Related Subsidiaries
Effective DateSection and amendment by Pub. L. 116283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116283, set out as an Effective Date of 2021 Amendment note preceding section 3001 of this title.
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# 10 U.S.C. § 3709 - Program to accelerate contracting and pricing processes
## Text
(a) In General.— The Secretary of Defense shall establish a program to reform and accelerate the contracting and pricing processes associated with contracts in excess of $50,000,000 by—
(1) basing price reasonableness determinations on actual cost and pricing data for purchases of the same or similar products for the Department of Defense; and
(2) reducing the cost and pricing data to be submitted in accordance with this chapter.
(b) Implementation Guidance.— The Secretary, acting through the Under Secretary of Defense for Acquisition and Sustainment, shall ensure that each senior contracting official (as defined in section 1737 of this title) for a contract described in subsection (a) has the discretion to implement the program under this section efficiently and effectively by ensuring the following:
(1) That the program does not include any preferences for contract type or specific contract requirements.
(2) That each Secretary of a military department has no unique reporting requirements to the Under Secretary of Defense for Acquisition and Sustainment with respect to the program.
(Added and amended Pub. L. 11960, div. A, title VIII, § 812(c), Dec. 18, 2025, 139 Stat. 952.)
## Notes
Editorial Notes
Codification Section is based on Pub. L. 115232, div. A, title VIII, § 890, Aug. 13, 2018, 132 Stat. 1919, as amended by Pub. L. 11692, div. A, title VIII, § 825, Dec. 20, 2019, 133 Stat. 1491; Pub. L. 116283, div. A, title XVIII, § 1831(j)(7), Jan. 1, 2021, 134 Stat. 4217; Pub. L. 117263, div. A, title VIII, § 818, Dec. 23, 2022, 136 Stat. 2708; Pub. L. 11831, div. A, title VIII, § 841, Dec. 22, 2023, 137 Stat. 339, which was formerly set out as a note preceding section 3701 of this title before being transferred to this chapter and renumbered as this section by Pub. L. 11960, div. A, title VIII, § 812(c)(1), Dec. 18, 2025, 139 Stat. 952.
Amendments2025—Pub. L. 11960, § 812(c)(2)(A), (B), struck out “Pilot” before “program” in section catchline and “pilot” before “program” wherever appearing in text. Subsec. (a)(2). Pub. L. 11960, § 812(c)(2)(C), substituted “this chapter” for “chapter 271 of title 10, United States Code”. Subsec. (b). Pub. L. 11960, § 812(c)(2)(D)(i), substituted “section 1737 of this title” for “section 1737 of title 10, United States Code” in introductory provisions. Subsec. (b)(2). Pub. L. 11960, § 812(c)(2)(D)(ii), substituted “no unique reporting” for “minimal reporting”. Subsecs. (c), (d). Pub. L. 11960, § 812(c)(2)(E), struck out subsecs. (c) and (d), which, respectively, required submission of report on pilot program and provided that pilot program would expire on Jan. 2, 2028.