FAR 40.202-8—Contract clause.
Plain-English Summary
FAR 40.202-8 is a very short but important prescription that tells contracting officers to include a specific solicitation and contract clause—52.240-1, Prohibition on Unmanned Aircraft Systems Manufactured or Assembled by American Security Drone Act-Covered Foreign Entities—in all solicitations and contracts. Its purpose is to ensure the government consistently applies the statutory and regulatory restrictions tied to unmanned aircraft systems (UAS) that are manufactured or assembled by covered foreign entities under the American Security Drone Act framework. In practice, this section does not itself define the underlying prohibition or the detailed compliance obligations; instead, it makes clear that the clause must be flowed into every solicitation and contract so offerors and contractors are on notice and the government can enforce the restriction. For contracting professionals, the key significance is simple: this is a mandatory clause prescription, not a discretionary one, and it applies broadly unless another FAR provision or agency-specific rule expressly changes the requirement. For contractors, it means drone-related supply chains, sourcing, and representations may be scrutinized whenever the clause is present.
Key Rules
Mandatory clause insertion
The contracting officer must insert clause 52.240-1 in all solicitations and contracts. This is a direct prescription, so the clause is not optional when this section applies.
Applies to solicitations and contracts
The requirement covers both the solicitation stage and the resulting contract. Offerors are put on notice before award, and the clause continues to govern performance after award.
Clause carries the substantive restriction
FAR 40.202-8 does not restate the underlying UAS prohibition; it directs use of the clause that contains the actual compliance terms. The operative obligations come from 52.240-1, not from this section alone.
Broad coverage unless otherwise limited
The text says to insert the clause in all solicitations and contracts, which signals a broad default rule. Any exception would have to come from another applicable FAR provision, statute, or agency-specific deviation.
Responsibilities
Contracting Officer
Ensure clause 52.240-1 is included in every solicitation and contract covered by this prescription. The contracting officer must verify the clause is not omitted during drafting, issuance, or award.
Offerors
Review the solicitation for the clause and account for the restriction in proposals, sourcing plans, and pricing. Offerors should identify any UAS products or components that may implicate the prohibition before submitting an offer.
Contractors
Comply with the clause during performance, including avoiding prohibited UAS items and meeting any related contractual requirements. Contractors should monitor suppliers and subcontractors to prevent noncompliant deliveries or use.
Agency acquisition personnel
Support implementation by using the correct solicitation and contract templates and ensuring acquisition systems, checklists, and reviews reflect the clause requirement. Agencies should also train staff so the clause is consistently applied.
Practical Implications
This is a mandatory template item, so omission of the clause is a common and serious drafting error.
Because the section is brief, users must look to 52.240-1 for the actual prohibition, definitions, certifications, and enforcement consequences.
Contractors involved in drones, surveillance equipment, mapping systems, or integrated electronics should screen supply chains early for foreign-entity issues.
Contracting officers should confirm the clause is included in both the solicitation and the final contract document, not just one or the other.
If a procurement does not obviously involve UAS, the broad prescription still requires attention; do not assume the clause can be skipped without a valid legal basis.
Official Regulatory Text
Insert the clause at 52.240-1 , Prohibition on Unmanned Aircraft Systems Manufactured or Assembled by American Security Drone Act-Covered Foreign Entities, in all solicitations and contracts.