Overview
FAR 9.604 establishes that contractor team arrangements do not grant immunity from antitrust laws nor do they diminish the government's inherent rights to oversee and hold the prime contractor accountable. It ensures that while the government recognizes teaming, the fundamental contractual relationship and regulatory oversight remain unchanged.
Key Rules
- Antitrust Compliance: Teaming arrangements are not a defense against violations of antitrust statutes.
- Subcontract Consent: The government retains the right to require consent for subcontracts under Subpart 44.2, regardless of any teaming agreement.
- Responsibility Determination: The government will evaluate the prime contractor's responsibility under Subpart 9.1 based on the specifics of the teaming arrangement.
- Data Rights: The government maintains its rights to provide or control data rights it owns.
- Competitive Policies: Teaming does not prevent the government from pursuing competitive contracting, subcontracting, or component breakout strategies during or after production.
- Prime Accountability: The prime contractor is held fully and solely responsible for total contract performance, irrespective of the internal structure of the team.
Practical Implications
- Prime contractors cannot use teaming agreements to shift legal or performance liability away from themselves in the eyes of the government.
- Contractors must ensure their teaming structures do not inadvertently create anti-competitive environments that could trigger Department of Justice scrutiny or disqualify them from future procurements.