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                            9.108-2 Prohibition.
        
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FAC Number: 2024-03 Effective Date: 02/23/2024
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Subpart9.09.19.29.39.49.59.69.7
Section9.1009.1019.1029.1039.1049.1059.1069.1079.1089.1099.110
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9.108-2 Prohibition.9.108-2 Prohibition.       (a)                    						            Section 745 of Division D of the Consolidated Appropriations Act, 2008 (Pub. L. 110-161) and its successor provisions in subsequent appropriations acts (and as extended in continuing resolutions) prohibit, on a Governmentwide basis, the use of appropriated (or otherwise made available) funds for contracts with either an inverted domestic corporation, or a subsidiary of such a corporation, except as provided in paragraph (b) of this section and in  9.108-4 Waiver.                                          (b)                                                         (1)                          								                Section 745 and its successor provisions include the following exception: This section shall not apply to any Federal Government contract entered into before the date of the enactment of this Act, or to any task order issued pursuant to such contract.                                                            (2)                          								                To ensure appropriate application of the prohibition and this exception, contracting officers should consult with legal counsel if, during the performance of a contract, a contractor becomes an inverted domestic corporation or a subsidiary of one.    **Parent topic:**  9.108 Prohibition on contracting with inverted domestic corporations.
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