Overview
FAR 25.1103 prescribes specific clauses and provisions that address supplemental foreign acquisition requirements, including trade restrictions, language inconsistencies, currency evaluation, and ethical certifications regarding Sudan and Iran.
Key Rules
- Restricted Foreign Purchases: The clause at 52.225-13 is mandatory in almost all solicitations and contracts to enforce restrictions on prohibited foreign sources.
- English Language Primacy: Provision 52.225-14 must be included if a translation is expected, establishing that the English version of the contract takes precedence.
- Foreign Currency: If a solicitation allows offers in foreign currency, the Contracting Officer must include 52.225-17 and specify the source of the exchange rate used for evaluation.
- Sudan Certification: Provision 52.225-20 is required for all non-commercial product or service acquisitions to ensure bidders are not conducting restricted business in Sudan.
- Iran Representation: Provision 52.225-25 is a universal requirement and must be included in every solicitation to ensure compliance with sanctions regarding activities in Iran.
Practical Implications
- Compliance Burden: Contractors must be prepared to provide specific certifications regarding their global business operations (specifically Sudan and Iran) as part of their proposal submission.
- Price Risk: When foreign currency is permitted, contractors should carefully review the designated exchange rate source identified by the Contracting Officer, as fluctuations can impact the competitive evaluation of their price.