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ARTICLE · 09 JUNE 2015

Are You A Government Subcontractor?

Just because your company does not contract directly with the government does not necessarily mean you are not subject to the many requirements associated with government contractors.

United StatesGovernment, Public Sector

Just because your company does not contract directly with the government does not necessarily mean you are not subject to the many requirements associated with government contractors. Those who provide goods and services to OEMs, or other customers who sell to the government, may also be subject to those requirements.

Many government contractors incorporate by reference Federal Acquisition Regulation ("FAR") clauses, FAR agency supplemental clauses, or other federal government contracting laws and regulations into agreements with subcontractors and materials supplier. Then, those companies are obligated to comply with those government-unique requirements. These FAR and FAR agency supplemental clauses are often found in a customer's terms and conditions incorporated by reference in the subcontract or purchase order and available on the customer's website. Thus, many companies do not even realize they are government subcontractors.

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