[Code of Federal Regulations]

[Title 48, Volume 4]

[Revised as of October 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR352.233-70]



[Page 78]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                  CHAPTER 3--HEALTH AND HUMAN SERVICES

 

PART 352_SOLICITATION PROVISIONS AND CONTRACT CLAUSES--Table of Contents

 

              Subpart 352.2_Texts of Provisions and Clauses

 

Sec. 352.233-70  Litigation and claims.



    Insert the following clause in all solicitations and resultant cost-

reimbursement contracts:



                    Litigation and Claims (APR 1984)



    The Contractor shall give the Contracting Officer immediate notice 

in writing of any action, including any proceeding before an 

administrative agency, filed against the Contractor arising out of the 

performance of this contract, including, but not limited to the 

performance of any subcontract hereunder; and any claim against the 

Contractor the cost and expense of which is allowable under the clause 

entitled ``Allowable Cost and Payment.'' Except as otherwise directed by 

the Contracting Officer, the Contractor shall furnish immediately to the 

Contracting Officer copies of all pertinent papers received by the 

Contractor with respect to such action or claim. To the extent not in 

conflict with any applicable policy of insurance, the Contractor may, 

with the Contracting Officer's approval, settle any such action or 

claim. If required by the Contracting Officer, the Contractor shall 

effect an assignment and subrogation in favor of the Government of all 

the Contractor's rights and claims (except those against the Government) 

arising out of any such action or claim against the Contractor; and 

authorize representatives of the Government to settle or defend any such 

action or claim and to represent the Contractor in, or to take charge 

of, any action. If the settlement or defense of an action or claim is 

undertaken by the Government, the Contractor shall furnish all 

reasonable assistance in effecting a settlement or asserting a defense. 

Where an action against the Contractor is not covered by a policy of 

insurance, the Contractor shall, with the approval of the Contracting 

Officer, proceed with the defense of the action in good faith. The 

Government shall not be liable for the expense of defending any action 

or for any costs resulting from the loss thereof to the extent that the 

Contractor would have been compensated by insurance which was required 

by law or regulation or by written direction of the Contracting Officer, 

but which the Contractor failed to secure through its own fault or 

negligence. In any event, unless otherwise expressly provided in this 

contract, the Contractor shall not be reimbursed or indemnified by the 

Government for any liability loss, cost or expense, which the Contractor 

may incur or be subject to by reason of any loss, injury or damage, to 

the person or to real or personal property of any third parties as may 

accrue during, or arise from, the performance of this contract.



                             (End of clause)