Prohibition on a ByteDance Covered Application
Contractors are strictly prohibited from using or having TikTok or any ByteDance-developed app on any government or contractor IT used under a federal contract, and must ensure all subcontractors comply as well.
Overview
FAR 52.204-27 prohibits contractors from using or having the TikTok application (or any successor app or service developed by ByteDance Limited) on any information technology (IT) owned or managed by the government, or on any IT used or provided by the contractor under a federal contract. This prohibition is mandated by the "No TikTok on Government Devices Act" and related OMB guidance. The rule applies to all executive agency IT, including contractor-furnished equipment, unless a written exception is granted by the Contracting Officer. The clause must also be flowed down to all subcontractors, including those providing commercial products or services.
Key Rules
- Definition of Covered Application
- TikTok and any successor apps or services by ByteDance Limited are banned from covered IT systems.
- Scope of Information Technology
- Applies to IT used directly by the agency or significantly in contract performance, but not to incidental contractor equipment.
- Prohibition on Use
- Contractors cannot have or use TikTok (or similar ByteDance apps) on any covered IT unless a written exception is granted.
- Subcontractor Flowdown
- The prohibition must be included in all subcontracts, including those for commercial products or services.
Responsibilities
- Contracting Officers: Must ensure the clause is included in contracts and manage exception requests per OMB guidance.
- Contractors: Must ensure no covered application is present or used on covered IT and flow down the clause to all subcontractors.
- Agencies: Oversee compliance and grant exceptions only per OMB Memorandum M-23-13.
Practical Implications
- This clause exists to protect government IT systems from potential security risks associated with TikTok and ByteDance apps.
- Contractors must audit and monitor their IT systems and those of their employees to ensure compliance.
- Failure to flow down the clause to subcontractors or to comply with the prohibition can result in contract violations and potential penalties.