252.227-7994 Limitations on the Use or Disclosure of Government-Furnished Information Marked with Restrictive Legends

This clause was introduced by the Revolutionary FAR Overhaul (EO 14275) and does not appear in the codified eCFR. It applies to contracts using the RFO model.

RFO Prescription

Insert the clause at 252.227-7994, Limitations on the Use or Disclosure of
Government Furnished Information Marked with Restrictive Legends, in solicitations
and contracts if the Government anticipates providing the contractor, other than a
litigation support contractor, technical data marked with another contractor's
restrictive legend for performance of its contract.

Current Text (RFO)

LIMITATIONS ON THE USE OR DISCLOSURE OF GOVERNMENT-FURNISHED
INFORMATION MARKED WITH RESTRICTIVE LEGENDS
(DEVIATION 2026-O0036) (FEB 2026)

(a) Definitions. As used in this clause—

(1) For contracts in which the Government will furnish the Contractor with
technical data, the terms "covered Government support contractor," "limited rights,"
"restricted rights", and "Government purpose rights" are defined in the clause at
252.227-7989, Rights in Technical Data, Computer Software, and Computer Software
Documentation—Other Than Commercial Products and Commercial Services.

(2) For Small Business Innovation Research (SBIR) Program and Small
Business Technology Transfer (STTR) Program contracts, the terms "covered
Government support contractor," "government purpose rights," "limited rights,"
"restricted rights," and "SBIR/STTR data rights" are defined in the clause at 252.227-
7993, Rights in Other Than Commercial Technical Data and Computer Software—
Small Business Innovation Research Program and Small Business Technology Transfer
Program.

(b) Technical data or computer software provided to the Contractor as Government-
furnished information (GFI) under this contract may be subject to restrictions on use,
modification, reproduction, release, performance, display, or further disclosure.

(1) GFI marked with limited rights, restricted rights, or SBIR/STTR data
rights legends. (i) The Contractor shall use, modify, reproduce, perform, or display
technical data received from the Government with limited rights legends, computer
software received with restricted rights legends, or SBIR/STTR technical data or
computer software received with SBIR/STTR data rights legends (during the
SBIR/STTR data protection period) only in the performance of this contract. The
Contractor shall not, without the express written permission of the party whose name
appears in the legend, release or disclose such data or software to any unauthorized
person.

(ii) If the Contractor is a covered Government support contractor, the
Contractor is also subject to the additional terms and conditions at paragraph (b)(5) of
this clause.

(2) GFI marked with government purpose rights legends. The Contractor shall
use technical data or computer software received from the Government with
government purpose rights legends for government purposes only. The Contractor shall
not, without the express written permission of the party whose name appears in the
restrictive legend, use, modify, reproduce, release, perform, or display such data or
software for any commercial purpose or disclose such data or software to a person other
than its subcontractors, suppliers, or prospective subcontractors or suppliers, who
require the data or software to submit offers for, or perform, contracts under this
contract. Prior to disclosing the data or software, the Contractor shall require the
persons to whom disclosure will be made to complete and sign the nondisclosure
agreement at 227.7103-7 of the Defense Federal Acquisition Regulation Supplement
(DFARS).

(3) GFI marked with specially negotiated license rights legends. (i) The
Contractor shall use, modify, reproduce, release, perform, or display technical data or
computer software received from the Government with specially negotiated license
legends only as permitted in the license. Such data or software may not be released or
disclosed to other persons unless permitted by the license and, prior to release or
disclosure, the intended recipient has completed the nondisclosure agreement at
DFARS 227.7103-7. The Contractor shall modify paragraph (1)(c) of the nondisclosure
agreement to reflect the recipient's obligations regarding use, modification,
reproduction, release, performance, display, and disclosure of the data or software.

(ii) If the Contractor is a covered Government support contractor, the
Contractor may also be subject to some or all of the additional terms and conditions at
paragraph (b)(5) of this clause, to the extent such terms and conditions are required by
the specially negotiated license.

(4) GFI technical data marked with commercial restrictive legends. (i) The
Contractor shall use, modify, reproduce, perform, or display technical data that are or
are related to a commercial product or commercial service and are received from the
Government with a commercial restrictive legend (i.e., marked to indicate that such
data are subject to use, modification, reproduction, release, performance, display, or
disclosure restrictions) only in the performance of this contract. The Contractor shall
not, without the express written permission of the party whose name appears in the
legend, use the technical data to manufacture additional quantities of the commercial
products or commercial services, or release or disclose such data to any unauthorized
person.

(ii) If the Contractor is a covered Government support contractor, the
Contractor is also subject to the additional terms and conditions at paragraph (b)(5) of
this clause.

(5) Covered Government support contractors. If the Contractor is a covered
Government support contractor receiving technical data or computer software marked
with restrictive legends pursuant to paragraphs (b)(1)(ii), (b)(3)(ii), or (b)(4)(ii) of this
clause, the Contractor further agrees and acknowledges that—

(i) The technical data or computer software will be accessed and used for the
sole purpose of furnishing independent and impartial advice or technical assistance
directly to the Government in support of the Government's management and oversight
of the program or effort to which such technical data or computer software relates, as
stated in this contract, and shall not be used to compete for any Government or non-
Government contract;

(ii) The Contractor shall take all reasonable steps to protect the technical
data or computer software against any unauthorized release or disclosure;

(iii) The Contractor shall ensure that the party whose name appears in the
legend is notified of the access or use within 30 days of the Contractor's access or use of
such data or software;

(iv) The Contractor shall enter into a nondisclosure agreement with the
party whose name appears in the legend, if required to do so by that party, and that any
such nondisclosure agreement will implement the restrictions on the Contractor's use of
such data or software as set forth in this clause. The nondisclosure agreement shall not
include any additional terms and conditions unless mutually agreed to by the parties to
the nondisclosure agreement; and

(v) That a breach of these obligations or restrictions may subject the
Contractor to—

(A) Criminal, civil, administrative, and contractual actions in law and
equity for penalties, damages, and other appropriate remedies by the United States;
and

(B) Civil actions for damages and other appropriate remedies by the
party whose name appears in the legend.

(c) Indemnification and creation of third party beneficiary rights. The Contractor
agrees—

(1) To indemnify and hold harmless the Government, its agents, and employees
from every claim or liability, including attorneys fees, court costs, and expenses, arising
out of, or in any way related to, the misuse or unauthorized modification, reproduction,
release, performance, display, or disclosure of technical data or computer software
received from the Government with restrictive legends by the Contractor or any person
to whom the Contractor has released or disclosed such data or software; and

(2) That the party whose name appears on the restrictive legend, in addition to
any other rights it may have, is a third-party beneficiary who has the right of direct
action against the Contractor, or any person to whom the Contractor has released or
disclosed such data or software, for the unauthorized duplication, release, or disclosure
of technical data or computer software subject to restrictive legends.

(d) The Contractor shall ensure that its employees are subject to use and
nondisclosure obligations consistent with this clause prior to the employees being
provided access to or use of any GFI covered by this clause.

(End of clause)