Definitions.
FAR 44.101 provides the core definitions used throughout FAR Part 44, which governs subcontracting policies and contractor purchasing system reviews. This section defines what counts as an approved purchasing system, who is considered the contractor for purposes of the part, what a contractor purchasing system review (CPSR) is, and how the terms subcontract and subcontractor are used. These definitions matter because they determine when a contractor’s purchasing practices may be reviewed by the Government, what transactions are treated as subcontracts, and which organizational entities are covered when a company has multiple divisions, affiliates, plants, or other separate purchasing operations. In practice, the definitions shape compliance expectations for prime contractors, flowdown and oversight of lower-tier suppliers, and the scope of Government review of purchasing controls and subcontract management. They also help distinguish ordinary vendor relationships from subcontracting relationships that carry FAR and contract-administration consequences.