Notice and Assistance Regarding Patent and Copyright Infringement
Contractors must promptly report and assist with any patent or copyright infringement claims related to contract performance, and flow down these obligations to qualifying subcontracts.
Overview
FAR 52.227-2 requires contractors to promptly notify the Contracting Officer of any patent or copyright infringement claims related to contract performance. Contractors must provide detailed written reports of such claims and, if the Government faces a related lawsuit, supply all relevant evidence and information upon request. The Government covers the cost of providing this information unless the contractor has agreed to indemnify the Government. Additionally, contractors must flow down this clause to all subcontracts exceeding the simplified acquisition threshold, ensuring subcontractors are also bound by these reporting and assistance obligations.
Key Rules
- Prompt Notification of Infringement Claims
- Contractors must promptly report any known patent or copyright infringement claims related to contract performance to the Contracting Officer in reasonable written detail.
- Assistance in Government Defense
- If the Government is sued for infringement, contractors must provide all relevant evidence and information upon request, at the Government’s expense unless indemnification applies.
- Flow-Down Requirement
- Contractors must include this clause in all subcontracts expected to exceed the simplified acquisition threshold.
Responsibilities
- Contracting Officers: Receive and act on infringement notifications; request evidence as needed.
- Contractors: Report claims, provide evidence, and flow down the clause to qualifying subcontracts.
- Agencies: Oversee compliance and manage infringement claims.
Practical Implications
This clause ensures the Government is promptly informed of potential intellectual property risks and can defend itself effectively. Contractors must establish internal processes for identifying, reporting, and documenting infringement claims, and ensure subcontractors are similarly obligated. Failure to comply can expose both contractors and the Government to legal and financial risks.