Export Control Contract Clause and Alternatives (ARCHIVED)

The document is a handout from a 2001 session by the Council on Governmental Relations (COGR) discussing the inclusion and interpretation of export control clauses in contracts, particularly focusing on NASA’s clause 1852.225-70. This clause mandates that contractors comply with U.S. export control laws, such as ITAR (International Traffic in Arms Regulations) and EAR (Export Administration Regulations), obtain necessary export licenses, manage appropriate regulatory record-keeping, and ensure subcontractor compliance. A key point of concern addressed in the session is the interpretation of clause section (b), which could be understood as requiring all export licenses be secured before any foreign national participates in a project, regardless of whether their involvement pertains to export-controlled elements. The document argues for clearer wording, suggesting licenses should only be required for foreign nationals before they access export-controlled data or software, not for participation in non-controlled aspects. Additionally, the handout notes that universities have negotiated alternative contract provisions, such as designating research as "fundamental" (thereby exempt from export controls) or including termination rights if research becomes subject to such controls, to protect academic openness and comply with federal regulations.