FAR 27.1—Subpart 27.1

Applicability.

FAR 27.101 explains the scope of FAR Part 27 and how agencies may tailor it. It states that the part applies to all agencies, so the baseline intellectual property and related acquisition policies in Part 27 are governmentwide unless an exception applies. It also recognizes that agencies may adopt alternative policies, procedures, solicitation provisions, and contract clauses when needed to satisfy specific requirements in laws, executive orders, treaties, or international agreements. Finally, it encourages agencies that create such alternatives to publish them in their agency regulations, which promotes transparency, consistency, and easier compliance for contracting officers and contractors. In practice, this section tells users when Part 27 is the default rule, when agency-specific deviations may exist, and where to look for those deviations before drafting or reviewing a solicitation or contract.

General guidance.

FAR 27.102 provides the Government’s general policy framework for intellectual property issues in federal contracting. It addresses five main topics: the Government’s encouragement of maximum practical commercial use of inventions made under Government contracts, the general rule that the Government will not refuse to award a contract merely because a prospective contractor may infringe a patent, the Government’s ability to authorize and consent to patent use in certain contracts, the expectation that contractors supplying commercial products and commercial services will indemnify the Government against U.S. patent infringement liability, the Government’s recognition of contractor rights in data developed at private expense and its limits on data delivery demands, and the requirement that contractors obtain permission before including third-party copyrighted works in deliverables. In practice, this section signals that the Government wants access to needed technology and data without unnecessarily taking contractor rights or shifting avoidable IP risk to the Government. It also tells contractors and contracting officers that IP issues must be handled deliberately in the solicitation and contract, especially where patents, data rights, and copyrighted materials may affect performance or delivery. The section is policy guidance rather than a detailed clause prescription, but it shapes how agencies structure solicitations, negotiate terms, and manage risk.