Restrictions

  1. Law
  2. USC 50
  3. War And National Defense
  4. NATIONAL DEFENSE CONTRACTS
  5. Restrictions

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§1432. Restrictions

Nothing in this chapter shall be construed to constitute authorization hereunder for-

(a) the use of the cost-plus-a-percentage-of-cost system of contracting;

(b) any contract in violation of existing law relating to limitation of profits;

(c) the negotiation of purchases of or contracts for property or services required by law to be procured by formal advertising and competitive bidding;

(d) the waiver of any bid, payment, performance, or other bond required by law;

(e) the amendment of a contract negotiated under section 2304(a)(15) 1 of title 10 or under section 252(c)(13) 1 of title 41, to increase the contract price to an amount higher than the lowest rejected bid of any responsible bidder; or

(f) the formalization of an informal commitment, unless it is found that at the time the commitment was made it was impracticable to use normal procurement procedures.

( Pub. L. 85–804, §2, Aug. 28, 1958, 72 Stat. 972 .)

References in Text

Section 2304 of title 10, referred to in subd. (e), was amended generally by Pub. L. 98–369 and, as so amended, does not contain a subsec. (a)(15).

Section 252(c)(13) of title 41, referred to in subd. (e), was renumbered section 252(c)(14) of former Title 41, Public Contracts, by Pub. L. 85–800, §2(b), Aug. 28, 1958, 72 Stat. 966 . Subsequently, Pub. L. 98–369 amended section 252 of former Title 41 by striking out subsec. (c), redesignating subsec. (e) as (c)(1), and adding subsec. (c)(2).

Nonapplicability of National Emergencies Act

The provisions of the National Emergencies Act [see Short Title note set out under section 1601 of this title] shall not apply to the powers and authorities conferred by this section and actions taken hereunder, see section 1651(a)(4) of this title.

1 See References in Text note below.


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