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ARTICLE · 08 JANUARY 2025

New DoD Proposed Rule: Sharing Is Not Caring If Code Is Involved

Taft, Stettinius & Hollister LLP
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On Nov. 15, 2024, the Department of Defense (DoD) issued a new proposed rule that contemplates a ban, in some cases, both on awards and exercise of contract options or extensions unless the receiving contractors and subcontractors submit disclosures related to any sharing of source code and computer code with foreign governments.

United StatesGovernment, Public Sector
Erin R. Davis
Erin R. Davis
Alexander Gorelik
Alexander Gorelik
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On Nov. 15, 2024, the Department of Defense (DoD) issued a new proposed rule that contemplates a ban, in some cases, both on awards and exercise of contract options or extensions unless the receiving contractors and subcontractors submit disclosures related to any sharing of source code and computer code with foreign governments. The comments on the proposed rule are due by Jan. 14, 2025.

However, the scope of the DoD's proposal is quite extensive. It is thus worth noting, even before then, particularly by those entities that either have or contemplate pursuing contracts related to information or operational technology (IT or OT), cybersecurity, industrial control systems, or weapon systems. Since that is where the proposed ban will apply.

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