TREATIES AND OTHER INTERNATIONAL ACTS SERIES 07-117 

________________________________________________________________________ 

DEFENSE 

Test and Evaluation 

 Memorandum of Understanding 

Between the 

UNITED STATES OF AMERICA 

and the UNITED KINGDOM OF 

GREAT BRITAIN AND 

NORTHERN IRELAND 

Signed December 18, 2006 and 

January 17, 2007 

with 

Annex 

and 

Side Letter 
 NOTE BY THE DEPARTMENT OF STATE 

 Pursuant to Public Law 89—497, approved July 8, 1966 

(80 Stat. 271; 1 U.S.C. 113)—

“. . .the Treaties and Other International Acts Series issued 

under the authority of the Secretary of State shall be competent 

 evidence . . . of the treaties, international agreements other than 

treaties, and proclamations by the President of such treaties and 

international agreements other than treaties, as the case may be, 

therein contained, in all the courts of law and equity and of maritime 

jurisdiction, and in all the tribunals and public offices of the 

United States, and of the several States, without any further proof 

or authentication thereof.” 
UNITED KINGDOM OF GREAT BRITAIN 

AND NORTHERN IRELAND 

 Defense: Test and Evaluation 

 Memorandum of understanding signed 

 December 18, 2006 and January 17, 2007; 

 Entered into force January 17, 2007. 

 With annex and side letter. 
MEMORANDUM OF UNDERSTANDING

BETWEEN

THE SECRETARY OF DEFENSE ON BEHALF OF

THE DEPARTMENT OF DEFENSE

OF THE UNITED STATES OF AMERICA

AND

THE SECRETARY OF STATE FOR DEFENCE OF

THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND

CONCERNING

COOPERATIVE INITIAL OPERATIONAL TEST AND EVALUATION

OF THE JOINT STRIKE FIGHTER

(Short Title - JSF IOT&E MOU)
TABLE OF CONTENTS

INTRODUCTION 	 4

SECTION I

DEFINITIONS 	 5

SECTION II

OBJECTIVES 	 12

SECTION III

SCOPE OF WORK 	 14

SECTION IV

MANAGEMENT (ORGANIZATION AND RESPONSIBILITY) 	 16

SECTION V

FINANCIAL PROVISIONS 	 21

SECTION VI

CONTRACTING PROVISIONS 	 24

SECTION VII

PROJECT EQUIPMENT AND JOINTLY ACQUIRED EQUIPMENT 	 27

SECTION VIII

DISCLOSURE AND USE OF PROJECT INFORMATION 	 29

SECTION IX

CONTROLLED UNCLASSIFIED INFORMATION 	 38

SECTION X

VISITS TO ESTABLISHMENTS 	 40

SECTION XI

SECURITY 	 	 41

SECTION XII

THIRD PARTY SALES AND TRANSFERS 	 44

SECTION XIII

LIABILITY AND CLAIMS 	 46

SECTION XIV

PARTICIPATION OF ADDITIONAL NATIONS 	 48

SECTION XV

CUSTOMS DUTIES, TAXES, AND SIMILAR CHARGES 	 49

2
SECTION XVI

SETTLEMENT OF DISPUTES 	 50

SECTION XVII

LANGUAGE 	 51

SECTION XVIII

AMENDMENT, WITHDRAWAL, TERMINATION, ENTRY INTO EFFECT, AND

DURATION 	 52

ANNEX A

COOPERATIVE PROJECT PERSONNEL 	 55

3
INTRODUCTION

The Secretary of Defense on behalf of the Department of Defense

of the United States of America (U.S. DoD) and the Secretary of

State for Defence of the United Kingdom of Great Britain and

Northern Ireland (U.K. MOD), hereinafter referred to as the

"Participants":

Having a common interest in defense;

Recognizing the benefits to be obtained from international

cooperation regarding standardization, rationalization, and

interoperability of military equipments;

Desiring to improve their mutual conventional defense

capabilities through the application of emerging technology;

Recognizing the Participants' cooperation under the Memorandum

of Understanding (MOU) among the Department of Defence of

Australia and the Minister of National Defence of Canada and the

Ministry of Defence of Denmark and the Ministry of Defence of

the Republic of Italy and the State Secretary of Defence of the

Kingdom of the Netherlands and the Ministry of Defence of the

Kingdom of Norway and the Undersecretariat for Defense

Industries on behalf of the Ministry of National Defense of the

Government of the Republic of Turkey and the Secretary of State

for Defence of the United Kingdom of Great Britain and Northern

Ireland and the Secretary of Defense on behalf of the Department

of Defense of the United States of America concerning the

Cooperative Framework for System Development and Demonstration

of the Joint Strike Fighter (JSF SDD Framework MOU) of January

17, 2001, as amended, and the U.S. DoD-U.K. MOD Supplement

thereto;

Having a mutual need for the Initial Operational Test and

Evaluation of the Joint Strike Fighter (JSF) Air System to

satisfy common operational requirements; and

Recognizing the benefits of continued cooperation in the JSF

Program, and seeking to capitalize on the lessons learned from

their previous experience in that program and other

international cooperative programs;

Have reached the following understandings:

4
SECTION I

DEFINITIONS

The Participants have jointly decided upon the following

definitions for terms used in this MOU:

Accident

Investigation

Air Vehicle

Any type of investigation of an aircraft

accident other than a Safety Investigation.

The Air Vehicle includes the three variants

of the JSF aircraft and the propulsion

systems, as well as the on-board hardware,

the ancillary mission equipment necessary to

employ the JSF Air System, and the software

necessary to perform assigned missions,

autonomous operation and communication with

off-board systems.

Autonomic Logistics An integrated, knowledge-based system that

encompasses JSF maintenance planning,

manpower and personnel, supply support,

support equipment, training, technical data,

computer resource support, facilities,

packaging, handling, storage and

transportation, prognostics and health

management, and design interface while

coordinating with mission planning,

engineering, safety, command and control

functions, within a respective logistics

infrastructure to support mission execution.

Classified	Official Information that requires

Information	protection in the interests of national

security and is so designated by the

application of a security classification

marking. This Information may be in oral,

visual, magnetic or documentary form or in

the form of equipment, material or

technology.

5
Contract

Contracting

Any mutually binding legal relationship

under national laws that obligates a

Contractor to furnish supplies or services,

and obligates one or more of the

Participants to pay for them.

The obtaining of supplies or services by

Contract from sources outside the government

organizations of the Participants.

Contracting includes description (but not

determination) of supplies and services

required, solicitation and selection of

sources, preparation and award of Contracts,

and all phases of Contract administration.

Contracting Agency The entity within the Government

organization of a Participant that has

authority to enter into, administer, or

terminate Contracts.

Contracting Officer A person representing a Contracting Agency

of a Participant who has the authority to

enter into, administer, or terminate

Contracts..

Contractor	Any entity awarded a Contract by a

Participant's Contracting Agency.

Contractor Support Persons specifically identified as providing

Personnel	administrative, managerial, scientific, or

technical support services to a Participant

under a support Contract.

Controlled	Unclassified Information to which access or

Unclassified	distribution limitations have been applied

Information	in accordance with applicable national laws

or regulations. It includes Information

that has been declassified but remains

controlled.

6
Cooperative Project Military members or civilian employees of a

Personnel (CPP)	Participant assigned to the Initial

Operational Test and Evaluation (IOT&E) JSF

Operational Test Team (JOTT) who perform

managerial, engineering, technical,

administrative, Contracting, logistics,

financial, planning, or other functions in

furtherance of the Project.

Dedicated

Operational Test

and Evaluation

(OT&E)

Financial Costs

Information

Efforts conducted to evaluate independently

the operational effectiveness and

operational suitability and survivability of

the JSF Air System using production- and

fleet-representative systems demonstrating

stabilized performance in an operationally

realistic environment.

Project costs met with monetary

contributions.

The maximum amount of shared Financial Costs

that will be dedicated to the Project.

Operational test and evaluation efforts

conducted after the JSF Air System has

entered into full-rate production.

The Participant whose nation serves as the

location of the IOT&E JOTT.

Knowledge that can be communicated by any

means, regardless of form or type,

including, but not limited to, that of a

scientific, technical, business, or

financial nature, and also including

photographs, reports, manuals, threat data,

experimental data, test data, computer

software, designs, specifications,

processes, techniques, inventions, drawings,

technical writings, sound recordings,

pictorial representations, and other

graphical presentations, whether in magnetic

tape, computer memory, or any other form and

whether or not subject to Intellectual

Property rights.

Financial Cost

Ceiling

Follow-on

Operational Test &

Evaluation (FOT&E)

Host Participant

7
Intellectual

Property

Jointly Acquired

Equipment

JSF Air System

In accordance with the World Trade

Organization Agreement on Trade-related

Aspects of Intellectual Property Rights of

April 15,1994, all copyright and related

rights, all rights in relation to inventions

(including Patent rights), all rights in

registered and unregistered trademarks

(including service marks), registered and

unregistered designs, undisclosed

Information (including trade secrets and .

know-how), layout designs of integrated

circuits, and geographical indications, and

any other rights resulting from creative

activity in the industrial, scientific,

literary, and artistic fields.

Any material, equipment, end item,

subsystem, component, special tooling or

test equipment that is obtained and jointly

funded by the Participants under this MOU.

The JSF Air System consists of two interrelated elements: Air Vehicle and Autonomic

Logistics that operate within the context of

external interfaces and environments.

JSF Initial	The efforts performed under this MOU to

Operational Test & evaluate, in an operationally representative

Evaluation (IOT&E) environment, the effectiveness and

suitability of the JSF Air System. JSF

IOT&E includes Operational Assessments and

Dedicated OT&E.

JSF Program

JSF Purposes

Efforts to achieve a three variant family of

the JSF Air System, consisting of JSF

concept demonstration, system development

and demonstration, production, sustainment,

and follow-on development.

Performance of Project activities pursuant

to the JSF IOT&E MOU; and future efforts by

a Participant (collaboratively, nationally,

or. under U.S. DoD Foreign Military Sales

arrangements) for the design, development,

manufacture, operation and support of any of

the three variants of the JSF Air System.

8
National Security	The security office approved by national

Authority/Designated authorities to be responsible for the

Security Authority security aspects of this MOU.

(NSA/DSA)

Non-financial Costs

Operational

Assessment (OA)

Project costs met with non-monetary

contributions.

Efforts to assess potential operational

effectiveness, suitability, and operational

impact assessment areas of the JSF Air

System. OAs assess mission capabilities,

systems and subsystems, including those that

may be other-than-production or

operationally representative.

Parent Participant The Participant that sends its CPP to the

IOT&E JOTT located.in the nation of the Host

Participant.

Participant

Patent

Privileged Safety

Information

A signatory to this MOU represented by its

military or civilian personnel. Contractors

and Contractor Support Personnel will not be

representatives of a Participant under this

MOU.

Grant by any government or a regional office

acting for more than one government of the

right to exclude others from making, using,

importing, selling, or offering to sell an

invention. The term refers to any and all

patents including, but not limited to,

patents of implementation, improvement, or

addition, petty patents, utility models,

appearance design patents, registered

designs, and inventor certificates or like

statutory protection, as well as divisions,

reissues, continuations, renewals, and

extensions of any of these.

Information regarding safety matters that is

marked and handled as Controlled

Unclassified Information and provided to the

Participants' civilian and military

employees and Contractors who have a need to

know such Information to improve safety as

determined by each Participant's national

9
safety authorities.

Project

Project Invention

Prospective

Contractor

Safety

Investigation

The cooperative JSF IOT&E efforts of the

Participants under this MOU to achieve the

objectives in Section II (Objectives) and

accomplish the work in Section III (Scope of

Work).

Information not generated in the performance

of the Project.

Any material, equipment, end item,

subsystem, component, special tooling, or

test equipment provided by one Participant

to another Participant for use in the

Project.

Information generated in the performance of

the Project.

Any Information provided to, generated in,

or used in this Project.

Any invention in any field of technology,

provided it is new, involves an inventive

step, is capable of industrial application,

and is formulated or made (conceived or

"first actually reduced to practice") in the

course of work performed under the Project.

The term "first actually reduced to

practice", means the first demonstration,

sufficient to establish to one skilled in the

art to which the invention pertains, of the

operability of an invention for its intended

purpose and in its intended environment.

Any entity that seeks to enter into a

Contract to be awarded by a Participant's

Contracting Agency and that, in the case of a

solicitation involving the release of exportcontrolled Information, is eligible to

receive such Information.

An investigation that is conducted solely to

determine the cause of an aircraft accident

and to obtain information that may prevent

the occurrence of similar accidents.

Project Background

Information

Project Equipment

Project Foreground

Information

Project Information

10
Test and Evaluation Document that identifies the high-level

Master Plan (TEMP) requirements and defines the objectives and

overall structure of the Test and Evaluation

(T&E) for the JSF Air System.

Then Year (TY) U.S. U.S. Dollars that reflect purchasing power at

Dollars	the time expenditures are actually made.

Future costs stated in Then Year U.S. Dollars

are projected actual amounts to be paid.

Third Party	

A government other than the Government of a

Participant and any person or other entity

whose government is not the Government of a

Participant.

11
SECTION II

OBJECTIVES

2.1. The overall objective of the JSF IOT&E MOU is the

cooperative Initial Operational Test and Evaluation (IOT&E) of

the JSF Air System. Whilst the U.S. DoD and the U.K. MOD will

initially enter into this MOU, it is envisioned that other

signatories of the JSF SDD Framework MOU will participate in

this Project, and hence, this MOU is intended to be the vehicle

for such multilateral cooperation.

2.2. The Participants recognize that they must possess a

government capability to perform IOT&E. Key aspects of this

include:

2.2.1. Cooperation and participation in all relevant

aspects of planning and real-time execution of

JSF Initial Operational Test and Evaluation

(OT&E).

2.2.2. A mutual understanding of JSF Air System safety

hazards and fault tree analysis.

2.2.3. Sufficient visibility to satisfy national safety

related requirements.

2.3. The specific objectives to be accomplished are to:

2.3.1. Evaluate, in an operationally representative

environment, the mission capability of the three

JSF Air System variants (i.e., Conventional TakeOff and Landing (CTOL) variant; catapultlaunched, arrested-landing Carrier Variant (CV);

and shipboard capable Short Take-Off and Vertical

Landing (STOVL) variant) developed under the JSF

SDD Framework MOU.

2.3.2. Maximize affordability by eliminating redundant

test and evaluation costs.

2.3.3. Optimize the use of available test resources, and

maximize the benefits gained from commonality and

interoperability among the Participants.

12
2.3.4.	Deliver test reports to support the Participants'

production and fielding decisions, and recommend

corrections of identified deficiencies in lowrate initial production aircraft.

13
SECTION III

SCOPE OF WORK

3.1. The overall work to be carried out under this MOU includes

the planning, execution, and reporting of multiple Operational

Assessments (OAs) and Dedicated Operational Test and Evaluation

(OT&E), as specified in the operational test and evaluation

provisions (excluding Follow-on Operational Test and Evaluation

(FOT&E)) of the Test and Evaluation Master Plan (TEMP) of

October Dud, 2006, and any amendments thereto. FOT&E is

outside the scope of work of this MOU and is intended to be the

subject of separate written arrangements. Participation by

personnel of the Participants in specific activities under this

MOU will be subject to national disclosure policies. This

Project will include the following efforts:

3.1.1.	Plan, execute, and report OAs set forth in the

TEMP. Through the OAs, the Participants will

perform independent assessments of the potential

mission capability, effectiveness,

interoperability, and suitability of the JSF Air

System as it is developed, and will assess

programmatic voids, ability to support

operational testing, program documentation, and

special interest items from the IOT&E EC or the

DoD Director, Operational Test and Evaluation.

3.1.2.	Monitor and assess SDD developmental efforts in

order to gain a better understanding of the JSF

Air System for testing purposes, gather data for'

OAs, plan for Dedicated OT&E, and provide input

into the development of the JSF Air System to

ensure its operational effectiveness and

suitability.

3.1.3.	Plan, execute, and report Dedicated OT&E of the

JSF Air System in accordance with the TEMP,

including, but not limited to, testing and

reporting on the Participants' national

interfaces with the JSF Air System.

3.1.4. Develop and implement streamlined management and

control processes to promote efficiency,

effectiveness, and best value in the conduct of

JSF IOT&E.

14
3.2. The cooperative efforts under this MOU will also include

the exchange of notifications of safety-related events,

including but not limited to exchange of Privileged Safety

Information in accordance with the procedures contained in the

project security instruction (PSI), among the Participants in

those cases in which an event related to the JSF Air System has

resulted in, or may result in, an unsafe condition. Such

notifications may be by government message, electronic mail, or

other written means as soon as possible.

3.3. The U.S. DoD will be responsible for conducting Safety

Investigations and Accident Investigations of accidents

occurring during this Project that involve any aircraft used in,

or provided for use in, the Project. Non-U.S. DoD Participants

may participate as observers and technical advisors on Safety or

Accident Investigation boards consistent with U.S. DoD

regulations for the conduct of such investigations.

15
SECTION IV

MANAGEMENT (ORGANIZATION AND RESPONSIBILITY)

4.1. This Project will be directed and administered on behalf

of the Participants by an organization consisting of an IOT&E

Executive Committee (EC), and a IOT&E JSF Operational Test Team

(IOT&E JOTT) headed by a Combined Test Director (CTD). The

IOT&E EC will have overall authority over the CTD, in accordance

with this MOU. The CTD will have primary responsibility for

effective implementation, efficient management, and direction of

the Project in accordance with this MOU.

4.2. The IOT&E EC will consist of three U.S. DoD

representatives and one U.K. MOD representative. Two of the

U.S. DoD IOT&E EC representatives will be the Commander, U.S.

Air Force Operational Test and Evaluation Center (AFOTEC), and

the Commander, Operational Test and Evaluation Force

(COMOPTEVFOR), or their successors in the event of

reorganization. The third U.S. IOT&E EC representative, the

U.S. DoD Director, Operational Test and Evaluation (or successor

in the event of reorganization), will be a non-voting member in

an advisory capacity of the IOT&E EC. The U.K. MOD IOT&E EC

representative will be the Commandant of the Air Warfare Centre

(or successor in the event of reorganization). The IOT&E EC

will meet annually with additional meetings held at the request

of any representative. The Commander, AFOTEC, will chair the

IOT&E EC. In the event that the IOT&E EC is unable to reach a

timely decision on an issue, the Project will continue to be

implemented without interruption under the direction of the CTD

while the issue is being resolved.

4.3. The IOT&E EC will be responsible for exercising executivelevel oversight of the Project, specifically:

4.3.1. Reviewing progress towards accomplishing Section

II (Objectives) and Section III (Scope of Work).

4.3.2. Reviewing progress in meeting IOT&E requirements

as specified in the TEMP.

4.3.3. Reviewing any CTD-recommended changes to the TEMP

pertaining to the Participants' IOT&E testing

requirements.

16
4.3.4.	Providing financial oversight of the Project to

ensure compliance with the provisions of Section

V (Financial Provisions).

4.3.5. Approving the CTD-recommended Project Financial

Management Procedures Document (FMPD), and any

changes thereto, in accordance with Section V

(Financial Provisions).

4.3.6.	Resolving issues brought forth by the CTD.

4.3.7. Reviewing and forwarding to the Participants for

approval CTD-recommended amendments to this MOU

in accordance with Section XVIII (Amendment,

Withdrawal, Termination, Entry Into Effect, and

Duration).

4.3.8. Approving CTD-recommended plans to manage and

control the transfer and storage of Project

Equipment provided by a Participant to support

the execution of the Project in accordance with

Section VII (Project Equipment and Jointly

Acquired Equipment).

4.3.9. Approving CTD-recommended plans for the disposal

of Jointly Acquired Equipment under this MOU in

accordance with Section VII (Project Equipment

and Jointly Acquired Equipment).

4.3.10. Maintaining oversight of the security aspects of

the Project, including reviewing and obtaining

approval from the appropriate National Security

Authority (NSA)/Designated Security Authority

(DSA) of a PSI and a Classification Guide (CG)

prior to the transfer of Classified Information

or Controlled Unclassified Information.

4.3.11. Providing recommendations to the Participants for

the addition of new Participants in accordance

with Section XIV (Participation of Additional

Nations).

4.3.12. Monitoring Third Party sales and transfers

authorized in accordance with Section XII (Third

Party Sales and Transfers).

17
4.3.13. Reviewing the annual progress report provided by

the CTD.

4.3.14. Approving the CTD-recommended IOT&E Cooperative

Project Personnel (CPP) Position Description

Documents (PDD) described in subparagraph 4.5.15.

of this Section.

4.3.15. Employing its best efforts to resolve, in

consultations with the export control authorities

of the Participants concerned, any export control

issues raised by the CTD in accordance with

subparagraph 4.5.17. of this Section or raised by

a Participant's IOT&E EC representative in

accordance with subparagraph 8.1.3. of Section

VIII (Disclosure and Use of Project Information).

4.4. The IOT&E JOTT will be established in the United States to

manage the Project. The AFOTEC JSF Test Director (or successor

in the event of reorganization) will be the CTD, who, as head of

the IOT&E JOTT, will be responsible for implementing this MOU

and for day-to-day management of the Project. The COMOPTEVFOR

JSF Operational Test Coordinator (or successor in the event of

reorganization) will be the Deputy CTD (DCTD). The DCTD's

responsibilities will be to assist the CTD in his

responsibilities.

4.5. The CTD will be responsible for:

4.5.1. Monitoring progress towards accomplishing Section

II (Objectives) and Section III (Scope of Work).

4.5.2.	Managing the cost, schedule, performance

requirements, technical, security, and financial

aspects of the Project described in this MOU.

4.5.3. Managing the execution of the IOT&E requirements

set forth in the TEMP and recommending to the

IOT&E EC any changes to the TEMP pertaining to

the Participants' IOT&E testing requirements.

4.5.4.	Executing the financial aspects of the Project in

accordance with Section V (Financial Provisions).

4.5.5. Recommending for IOT&E EC approval the FMPD and

any changes thereto in accordance with Section V

18
(Financial Provisions) and implementing the IOT&E

EC-approved FMPD.

4.5.6.	Referring issues to the IOT&E EC that cannot be

resolved by the CTD.

4.5.7. Developing and implementing a management plan, to

be submitted to the IOT&E EC for approval within

120 days of the entry into effect of this MOU.

4.5.8. Developing and implementing IOT&E EC-approved

plans to manage and control the transfer of

Project Equipment provided by a Participant in

accordance with Section VII (Project Equipment

and Jointly Acquired Equipment).

4.5.9. Developing and implementing IOT&E EC-approved

plans for the disposal of Jointly Acquired

Equipment under this MOU in accordance with

Section VII (Project Equipment and Jointly

Acquired Equipment).

4.5.10. Implementing the PSI and CG approved by the

NSAs/DSAs of the Participants for this Project.

4.5.11. Forwarding recommendations to the IOT&E EC for

the addition of new Participants in accordance

with Section XIV (Participation of Additional

Nations).

4.5.12. Recommending to the IOT&E EC amendments to this

MOU in accordance with Section XVIII (Amendment,

Withdrawal, Termination, Entry Into Effect, and

Duration).

4.5.13. Providing an annual status report to the IOT&E

EC.

4.5.14. Developing a mishap plan for incorporation in the

TEMP.

4.5.15. Appointing a Project security officer.

4.5.16. In consultation with the National Deputies,

preparing and submitting to the IOT&E EC for

approval the IOT&E CPP PDDs.

19
4.5.17. Monitoring export control arrangements required

to implement this MOU and, if applicable,

referring immediately to the EC any export

control issues that could adversely affect the

implementation of this MOU.

4.6. Each non-U.S. DoD Participant will provide a National

Deputy and other JSF IOT&E CPP, who will be assigned to the

IOT&E JOTT. Each National Deputy's primary responsibility will

be to serve as the national representative of the respective

Participant. Specific responsibilities of the CPP, including

the National Deputies, will be identified in the JSF IOT&E CPP

PDD. Additional National Deputy responsibilities are identified

in paragraph 4.7. below.

4.7.	In addition to assigned responsibilities under the JSF

IOT&E CPP PDD, each National Deputy will be responsible for:

4.7.1. Supporting the CTD in the day-to-day administrative

management of this MOU, including oversight of the

IOT&E MOU CPP of the cognizant Participant.

4.7.2. Providing day-to-day representation of the National

Deputy's respective Participant within the IOT&E

JOTT on all matters related to the Project.

4.7.3. Assisting the CTD in developing the FMPD, PSI, CG,

and IOT&E CPP PDD.

4.7.4. Performing other tasks as may be assigned by the

CTD.

4.8. Annex A (Cooperative Project Personnel) establishes

provisions for the general conduct of all personnel who will

serve as JSF IOT&E CPP.

20
SECTION V

FINANCIAL PROVISIONS

5.1. The Participants estimate that the performance of the

responsibilities under this MOU will not cost more than a

Financial Cost Ceiling of 395.67 million (M) Then Year (TY) U.S.

Dollars. The U.S. Dollar will be the reference currency for the

Project and the Project fiscal year will be the U.S. fiscal

year. The Financial Cost Ceiling may be changed only upon the

mutual written consent of the Participants.

5.2. Each Participant will contribute its equitable share of

the full Financial Costs and Non-financial Costs of the Project,

including overhead costs, administrative costs, and costs of

claims, and will receive an equitable share of the results of

the Project.

5.2.1.	The U.S. DoD share of the Financial Cost Ceiling

is 359.7M TY U.S. Dollars. The U.S. DoD Nonfinancial Cost contribution includes, but is not

limited to munitions, use of eighteen (18) JSF

Air Systems, and the services of trained

personnel for IOT&E efforts.

5.2.2.	The U.K. MOD share of the Financial Cost Ceiling

is 35.97M TY U.S. Dollars. The U.K. MOD Nonfinancial Cost contribution includes, but is not

limited to, munitions, use of two (2) JSF Air

Systems, and the services of trained personnel

for IOT&E efforts.

5.3. Participation in the Project will also include a Nonfinancial Cost contribution of the Participants' personnel

assigned to the IOT&E JOTT. In addition to the Non-financial

Cost contribution identified in subparagraph 5.2.1., the U.S.

DoD Non-financial Cost contribution includes the CTD. In

addition to the Non-financial Cost contribution identified in

subparagraph 5.2.2., the U.K. MOD Non-financial Cost

contribution includes the U.K. MOD National Deputy and other CPP

assigned to the IOT&E JOTT.

5.4. In addition to the shared costs of Project administration

referenced in paragraph 5.2., the cost of personnel in the IOT&E

JOTT will be borne as follows:

21
5.4.1.	The Host Participant will bear the costs of all

pay and allowances of the CTD.

5.4.2.	Each Parent Participant will bear the following

CPP-related costs:

5.4.2.1. All pay and allowances of CPP assigned to

the IOT&E JOTT.

5.4.2.2. Transportation of CPP, CPP dependents, and

their personal property to the IOT&E JOTT

location prior to commencement of the CPP

assignment in the IOT&E JOTT, and return

transportation of the foregoing from the

IOT&E JOTT location upon completion or

termination of the CPP assignment.

5.4.2.3. Compensation for loss of, or damage to, the

personal property of CPP or CPP dependents,

subject to the laws and regulations of the

Parent Participant's government.

5.5. The following costs will be borne entirely by the

Participant incurring the costs or on whose behalf the costs are

incurred:

5.5.1.	Costs associated with national representation at

meetings by non-IOT&E JOTT members.

5.5.2.	Costs associated with any unique national

requirements identified by a Participant.

5.5.3. Any other costs not expressly stated as shared

costs or any costs that are outside the scope of

this MOU.

5.6. The CTD will be responsible for establishing the detailed

financial management procedures under which the Project will

operate. These procedures, which must accord with the national

accounting and audit requirements of the Participants, will be

detailed in an FMPD prepared by the CTD and subject to the

approval of the IOT&E EC. Each Participant will fund the

Project in accordance with the estimated schedule of financial

contributions contained in the FMPD, which will be consistent

with paragraph 5.7.

22
5.7. The Participants recognize that it may become necessary

for one Participant to incur contractual or other

responsibilities for the benefit of the other Participants prior

to receipt of the other Participants' funds. In the event that

one Participant incurs such responsibilities, the other

Participants will make such funds available in such amounts and

at such times as may be required by the Contract or other

responsibility and will pay any damages and costs that may

accrue from the performance of or cancellation of the Contract

or other responsibility in advance of the time such payments,

damages, or costs are due.

5.8. A Participant will promptly notify the other Participants

if available funds are not adequate to fulfill its

responsibilities under this MOU. If a Participant notifies the

other Participants that it is terminating or reducing its

funding for this Project, the Participants will immediately

consult with a view toward continuation on a modified basis.

5.9. The U.S. DoD will be responsible for the internal audit

regarding administration of the other Participants' Project

funds in accordance with U.S. national practices. The U.S. DoD

will promptly make audit reports of such funds available to the

other Participants. Upon the mutual consent of the U.S. DoD and

another Participant, that Participant or its national audit

institution auditors may assist the U.S. DoD on any audit

elements required to perform the audit satisfactorily. In

addition, if the Participant or its national audit institution

auditors need to obtain or to inspect specific Project data in

order to fulfill their national obligations, the U.S. DoD will

arrange for access to such specific data at mutually determined

times and locations.

5.10. In the event external audits concerning the Project are

conducted by the national audit institutions of the

Participants' nations, such reports will be provided by the

applicable Participant to the IOT&E EC representatives of the

other Participants. The CTD and the National Deputies will

apprise each other as soon as possible of external audits

concerning the Project by the national audit institutions of the

Participants' nations.

23
SECTION VI

CONTRACTING PROVISIONS

6.1. The U.S. DoD will be primarily responsible for Contracting

for this Project in accordance with U.S. Contracting laws,

regulations, and procedures. However, the CTD may request that

a Participant other than the U.S. DoD enter into Contracts for

the Project in accordance with that Participant's national

Contracting laws, regulations, and procedures. The Contracting

Officer for each Contract is the exclusive source for providing

contractual direction and instructions to Contractors. The

Contracting Officer will, when it facilitates satisfying the

objectives of this MOU, seek waivers of national procurement

regulations, procedures, and practices.

6.2. The CTD will be responsible for the coordination of

activities relating to the Project, and will cooperate with the

Contracting Officer in the areas of Contract procedures,

Contract negotiation, evaluation of offers, and Contract award.

The CTD will review statements of work prior to the development

of solicitations to ensure that they are in accordance with this

MOU. In addition, the Contracting Officer will keep the CTD

advised of all financial arrangements with the prime Contractor.

6.3. Contracting Officers will negotiate to obtain the rights

to use and disclose Project Information required by Section VIII

(Disclosure and Use of Project Information). During the

Contracting process, the Contracting Officer will advise

prospective Contractors of their responsibility to notify the

Contracting Agency immediately, before Contract award, if they

are subject to any license or agreement that will restrict their

freedom to disclose Information or permit its use. The

Contracting Officer will also advise prospective Contractors to

employ their best efforts not to enter into any new agreement or

arrangement that will result in restrictions.

6.4. In the event the Contracting Officer is unable to secure

adequate rights to use and disclose Project Information as

required by Section VIII (Disclosure and Use of Project

Information), or is notified by Contractors or potential

Contractors of any restrictions on the disclosure and use of

Information, the matter will be referred to the IOT&E EC for

resolution.

24
6.5. Each Participant's Contracting Agency will insert into

prospective Contracts (and require its Contractors to insert in

subcontracts) provisions to satisfy the requirements of this

MOU, including Section VIII (Disclosure and Use of Project

Information), Section IX (Controlled Unclassified Information),

Section XI (Security), and Section XII (Third Party Sales and

Transfers), and Section XVIII (Amendment, Withdrawal,

Termination, Entry Into Effect, and Duration), including the

export control provisions in accordance with this MOU, in

particular paragraphs 6.6. and 6.7. of this Section.

6.6. Each Participant will legally bind its Contractors to a

requirement that the Contractor will not retransfer or otherwise

use export-controlled Information furnished by another

Participant for any purpose other than the purposes authorized

under this MOU. The Contractor also will be legally bound not

to retransfer the export-controlled Information to another

Contractor or subcontractor unless that Contractor or

subcontractor has been legally bound to limit use of the

Information to the purposes authorized under this MOU. Exportcontrolled Information furnished by one Participant under this

MOU may only be retransferred by another Participant to its

Contractors if the legal arrangements required by this paragraph

have been established.

6.7. Each Participant will legally bind its Prospective

Contractors to a requirement that the Prospective Contractor

will not retransfer or otherwise use export-controlled

Information furnished by another Participant for any purpose

other than responding to a solicitation issued in furtherance of

the purposes authorized under this MOU. Prospective Contractors

will not be authorized use for any other purpose if they are not

awarded a Contract. The Prospective Contractors will also be

legally bound not to retransfer the export-controlled

Information to a prospective subcontractor unless that

prospective subcontractor has been legally bound to limit use of

the export-controlled Information for the purpose of responding

to the solicitation. Export-controlled Information furnished by

one Participant under this MOU may only be retransferred by

another Participant to its Prospective Contractors if the legal

arrangements required by this paragraph have been established.

Upon request by the furnishing Participant, the receiving

Participant will identity its Prospective Contractors and

prospective subcontractors receiving such export-controlled

Information.

25
6.8. The Contracting Officer will immediately advise the CTD of

any cost growth, schedule change, or performance problems of any

Contractor for which the Contracting Officer is responsible.

6.9. Upon mutual consent, consistent with Section II

(Objectives), a Participant may contract for the unique national

requirements of another Participant.

26
SECTION VII

PROJECT EQUIPMENT AND JOINTLY ACQUIRED EQUIPMENT

7.1. Each Participant may provide Project Equipment identified

as being necessary for executing the MOU to another Participant.

Project Equipment will remain the property of the providing

Participant. A list of all Project Equipment provided by one

Participant to another Participant will be developed and

maintained by the IOT&E JOTT.

7.2. The receiving Participant will maintain any such Project

Equipment in good order, repair, and operable condition. Unless

the providing Participant has authorized the Project Equipment

to be expended or otherwise consumed without reimbursement to

the providing Participant, the receiving Participant will return

the Project Equipment to the providing Participant in as good

condition as received, normal wear and tear excepted, or return

the Project Equipment and pay the cost to restore it. If the

Project Equipment is damaged beyond economical repair, the

receiving Participant will return the Project Equipment to the

providing Participant (unless otherwise specified in writing by

the providing Participant) and pay the replacement value, which

will be computed pursuant to the providing Participant's

national laws and regulations. If the Project Equipment is lost

while in the custody of the receiving Participant, the receiving

Participant will issue a certificate of loss to the providing

Participant and pay the replacement value.

7.3. The providing Participant will deliver Project Equipment

to the receiving Participant at a mutually determined location.

Possession of the Project Equipment will pass from the providing

Participant to the receiving Participant at the time of receipt

of the Project Equipment. Any further transportation is the

responsibility of the receiving Participant.

7.4. All Project Equipment that is transferred will be used by

the receiving Participant only for the purposes of carrying out

this MOU, unless otherwise consented to in writing by the

providing Participant. In addition, in accordance with Section

XII (Third Party Sales and Transfers), Project Equipment will

not be re-transferred to a Third Party without the prior written

consent of the providing Participant.

27
7.5. Project Equipment transferred to one Participant under

this MOU will be returned to the providing Participant prior to

the termination or expiration of this MOU.

7.6. Either during or upon cessation of the Project, the U.S.

DoD may, after consultation with the other Participants, dispose

of or retain any Jointly Acquired Equipment. Disposal by the

U.S. DoD may include the transfer of such equipment to another

Participant. If the U.S. DoD's disposal of any Jointly Acquired

Equipment is by sale to a Third Party in accordance with Section

XII (Third Party Sales and Transfers) of this MOU, the

Participants will share the consideration from such sale in the

same ratios as specified for their financial contributions in

this MOU.

7.7. If the U.S. DoD does not exercise its benefits under

paragraph 7.6., any Jointly Acquired Equipment under this MOU

may be disposed of during the Project or when the Project ceases

as decided by the IOT&E EC. Disposal of Jointly Acquired

Equipment may include a transfer of the interest of one

Participant in such project equipment to another Participant, or

the sale of such equipment to a Third Party in accordance with

Section XII (Third Party Sales and Transfers) of this MOU. The

Participants will share the consideration from Jointly Acquired

Equipment transferred or sold to a Third Party in the same

ratios as specified for their financial contributions in this

MOU.

28
SECTION VIII

DISCLOSURE AND USE OF PROJECT INFORMATION

8.1. General

8.1.1.	The Participants recognize that successful

collaboration depends on full and prompt exchange

of Information necessary for carrying out this

Project. The Participants intend to acquire

sufficient Project Information and rights to use

such Information to enable the IOT&E of the JSF

Air System. The nature and amount of Project

Information to be acquired will be consistent

with the objectives stated in Section II

(Objectives), Section III (Scope of Work), and

Section VI (Contracting Provisions).

8.1.2.	Transfer of Project Information will be

consistent with the furnishing Participant's

applicable export control laws and regulations.

Unless otherwise restricted by duly authorized

officials of the furnishing Participant at the

time of transfer to another Participant, all

export-controlled Information furnished by that

Participant to another Participant may be

retransferred to the other Participant's

Contractors, subcontractors, Prospective

Contractors, and prospective subcontractors,

subject to the requirements of paragraphs 6.6.

and 6.7. of Section VI (Contracting Provisions).

Export-controlled Information may be furnished by

Contractors,, subcontractors, or Prospective

Contractors, and prospective subcontractors of

one Participant's nation to the Contractors,

subcontractors, Prospective Contractors, and

prospective subcontractors of another

Participant's nation pursuant to this MOU subject

to the conditions established in licenses or

other approvals issued by the Government of the

former Participant in accordance with its

applicable export control laws and regulations.

8.1.3.	If a Participant finds it necessary to exercise a

restriction on the retransfer of exportcontrolled Information as set out in subparagraph

29
8.1.2. of this Section, it will promptly inform

the other Participants. If a restriction is then

exercised and an affected Participant objects,

that Participant's IOT&E EC representative will

promptly notify the other Participants' IOT&E EC

representatives and they will immediately consult

in order to discuss ways to resolve such issues

or mitigate any adverse effects.

8.1.4. Notwithstanding the provisions of this MOU that

relate to the protection of Information,

particularly Section VIII (Disclosure and Use of

Project Information), Section IX (Controlled

Unclassified Information), Section XI (Security),

and Section XII (Third Party Sales and

Transfers), the specific export control

provisions set out in Section VI (Contracting

Provisions) and this Section will not apply to

transfers of Information amongst non-U.S. DoD

Participants where such exchanges do not include

U.S. export-controlled Information.

8.1.5. Notwithstanding any other provision in this

Section, disclosure of Project Information will

only be in accordance with the Participants'

respective national disclosure policies. The

Participants will use their best efforts to

maximize disclosure of Project Information under

this MOU within national disclosure policies.

8.1.6. Notwithstanding any other provision in this

Section, Privileged Safety Information furnished

by one Participant to another Participant may be

used by or for the receiving Participant only for

the purpose of mishap prevention.

8.2. Government Project Foreground Information

8.2.1.	Disclosure: All Project Foreground Information

generated by a Participant's military or civilian

employees (hereinafter referred to as "Government

Project Foreground Information") will be

disclosed without charge to the Participants.

8.2.2.	Use: The Participants may use or have used all

Government Project Foreground Information without

charge for JSF Purposes. The Participant

30
generating Government Project Foreground

Information will also retain its rights of use

thereto. Any sale or other transfer to a Third

Party will be subject to the provisions of

Section XII (Third Party Sales and Transfers) of

this MOU.

8.3. Government Project Background Information

8.3.1.	Disclosure: Each Participant, upon request, will

disclose promptly and without charge to the

requesting Participant any relevant Government

Project Background Information generated by its

military or civilian employees, provided that:

8.3.1.1. such Government Project Background •

Information is necessary to or useful in the

Project, with the Participant in possession

of the Information determining whether it is

"necessary to" or "useful in" the Project;

8.3.1.2. such Government Project Background

Information may be made available only if

the rights of holders of Intellectual

Property rights are not infringed;

8.3.1.3. disclosure is consistent with national

disclosure policies and regulations of the

furnishing Participant; and

8.3.1.4. any disclosure or transfer of such

Government Project Background Information to

Contractors is consistent with the

furnishing Participant's export control laws

and regulations.

8.3.2. Use: Government Project Background Information

furnished by one Participant to the requesting

Participant may be used without charge by or for

the requesting Participant for Project Purposes.

However, subject to Intellectual Property rights

held by entities other than the Participants,

such Government Project Background Information

may be used for JSF Purposes by the requesting

Participant, without charge, when such

Information is necessary for the use of Project

Foreground Information. The furnishing

31
Participant, in consultation with the other

Participant, will determine whether the

Government Project Background Information is

necessary for the use of Project Foreground

Information. The furnishing Participant will

retain all its rights with respect to such

Project Background Information.

8.4. Contractor Project Foreground Information

8.4.1.	Disclosure: Project Foreground Information

generated and delivered by Contractors

(hereinafter referred to as "Contractor Project

Foreground Information"), will be disclosed 	•

promptly and without charge to the Participants.

Project Foreground Information generated by a

Contractor, but not delivered, will be made

available upon the request of the Participants at

the cost of the Information's conversion into the

prescribed form and the cost of reproduction and

delivery in accordance with the terms of the

applicable Contract.

8.4.2. Use: The Participants may use or have used

without charge for JSF Purposes all Contractor

Project Foreground Information generated and

delivered by Contractors of the Participants.

The Participant whose Contractors generate and

deliver Contractor Project Foreground Information

will also retain all its rights of use thereto in

accordance with the applicable Contract(s). Any

sale or other transfer to a Third Party of

Contractor Project Foreground Information will be

subject to the provisions of Section XII (Third

Party Sales and Transfers) of this MOU.

8.5. Contractor Project Background Information

8.5.1.	Disclosure: A Contracting Participant will make

available to the other Participants promptly and

without charge all Project Background Information

generated by Contractors that is delivered under

Contracts awarded in accordance with this MOU.

Any other Project Background Information that is

generated and delivered by Contractors and that

is in the possession of one Participant will be

made available to another Participant, upon its

32
request, provided the following provisions are

met:

8.5.1.1. such Contractor Project Background

Information is necessary to or useful in the

Project, with the Participant in possession

of the Information determining whether it is

"necessary to" or "useful in" the Project;

8.5.1.2. such Contractor Project Background

Information may be made available only if

the rights of holders of Intellectual

Property rights are not infringed;

8.5.1.3. disclosure is consistent with national

disclosure policies and regulations of the

furnishing Participant; and

8.5.1.4. any disclosure or transfer of such

Contractor Project Background Information to

Contractors is consistent with the

furnishing Participant's export control laws

and regulations.

8.5.2. Use: All Project Background Information

delivered by Contractors under Contracts awarded

in accordance with this MOU may be used by or for

the receiving Participants, without charge, for

JSF Purposes, subject to any restrictions by

holders of Intellectual Property rights other'

'than the Participants. Any other Project

Background Information furnished by one

Participant's Contractors and disclosed to a

requesting Participant may be used without charge

by the requesting Participant for Project

Purposes, subject to any restrictions by holders

of Intellectual Property rights other than the

Participants; also, when necessary for the use of

Project Foreground Information, such other

Contractor Project Background Information may be

used by the requesting Participant for JSF

Purposes, subject to such fair and reasonable

terms as may be necessary to be arranged with the

Contractor. The furnishing Participant, in

consultation with the requesting Participant,

will determine whether such other Contractor

Project Background Information is necessary for

33
the use of Project Foreground Information. The

furnishing Participant will retain all its rights

with respect to such Project Background

Information.

8.6. Alternative Uses of Project Information

8.6.1.	The prior written consent of the U.S. Government

will be required for the use of Project

Foreground Information by the other Participants

for purposes other than those provided for in

subparagraphs 8.2.2. and 8.4.2. of this Section.

8.6.2. Any Project Background Information provided by

one Participant will be used by the other

Participants only for the purposes set forth in

this MOU, unless otherwise consented to in

writing by the providing Participant.

8.7. Proprietary Project Information

8.7.1.	All Project Information that is subject to

disclosure and use restrictions with respect to

Intellectual Property rights will be identified

and marked, and it will be handled as Controlled

Unclassified Information or as Classified

Information, depending on its security

classification.

8.7.2.	For NATO member Participants, the provisions of

the NATO Agreement on the Communication of

Technical Information for Defence Purposes, done

at Brussels on October 19, 1970, and the

Implementing Procedures for the NATO Agreement on

the Communication of Technical Information for

Defence Purposes, approved by the North Atlantic

Council on January 1, 1971 (or any successor

agreement and procedures), will apply to Project

Information that is subject to Intellectual

Property rights.

8.8. Patents

8.8.1.	Each Participant will include in all its

Contracts for the Project a provision governing

the disposition of rights in regard to Project

34
Inventions and Patent rights relating thereto,

which either:

8.8.1.1. Provides that the Participant will hold

title to all such Project Inventions

together with the right to make Patent

applications for the same, free of

encumbrance from the Contractor concerned;

or

8.8.1.2. Provides that the Contractor will hold title

(or may elect to retain title) for such

Project Inventions together with the right

to make Patent applications for the same,

while securing for the Participants a

license for the Project Inventions, and any

Patents thereto, on terms in compliance with

the provisions of subparagraph 8.8.2. below.

8.8.2.	In the event that a Contractor owns title (or

elects to retain title) to any Project Invention,

the Contracting Participant will secure for the

other Participants non-exclusive, irrevocable,

royalty-free licenses under all Patents secured

for that invention, to practice or have practiced

the patented Project Invention throughout the

world for JSF Purposes.

8.8.3.	The provisions of subparagraphs 8.8.4. through

8.8.7. below will apply in regard to Patent

rights for all Project Inventions made by the

Participants' military or civilian employees,

including those within Government-owned

facilities, and for all Project Inventions made

by Contractors for which the Contracting

Participant holds title or is entitled to acquire

title.

8.8.4. Where a Participant has or can secure the right

to file a Patent application with regard to a

Project Invention, that Participant will consult

with the other Participants regarding the filing

of such Patent application. The Participant that

has or receives title to such Project Invention

will, in other countries, file, cause to be

filed, or provide the other Participants with the

opportunity to file on behalf of the Participant

35
holding title, Patent applications covering that

Project Invention. A Participant will

immediately notify the other Participants that a

Patent application has been filed. If a

Participant, having filed or caused to be filed a

Patent application, abandons prosecution of the

application or ceases maintaining the Patent

granted or issued on the application, that

Participant will notify the other Participants of

that decision and permit the other Participants

to continue the prosecution or maintain the

Patent as the case may be.

8.8.5.	Each Participant will be furnished with copies of

Patent applications filed and Patents granted

with regard to Project Inventions.

8.8.6.	Each Participant will grant to the other

Participants a non-exclusive, irrevocable,

royalty-free license under its Patents for

Project Inventions, to practice or have practiced

the Project Invention throughout the world for

JSF Purposes.

8.8.7.	For NATO member Participants, Patent applications

to be filed, or assertions of other Intellectual

Property rights, under this MOU that contain

Classified Information will be protected and

safeguarded in a manner no less stringent than

the requirements contained in the NATO Agreement

for the Mutual Safeguarding of Secrecy of

Inventions Relating to Defence and for Which

Applications for Patents Have Been Made, done in

Paris on September 21, 1960, and its Implementing

Procedures (or any successor agreement and

procedures).

8.9. Intellectual Property Infringement Claims

8.9.1.	Each Participant will notify the other

Participants of any Intellectual Property

infringement claims brought against that

Participant arising in the course of work

performed under the Project on behalf of one or

more of the other Participants. Insofar as

possible, the other applicable Participants will

provide Information available to them that may

36
assist in defending such claims. Each

Participant will be responsible for handling all

Intellectual Property infringement claims brought

against it, and will consult with the other

Participants during the handling, and prior to

any settlement, of such claims. The Participants

will share the costs of resolving Intellectual

Property infringement claims in proportion to

their financial contributions for that work

specified in Section V, Financial Provisions.

8.10. Authorization and Consent

8.10.1. The Participants will, as permitted by their

national laws, regulations, and practices, give

their authorization and consent for all use and

manufacture in the course of work performed under

the Project of any invention covered by Patent,

or as determined to be necessary for work under

the Project, authorization and consent for noncommercial copyright, granted or otherwise

provided by their respective countries.

37
SECTION IX

CONTROLLED UNCLASSIFIED INFORMATION

9.1. Except as otherwise provided in this MOU or as authorized

in writing by the originating Participant, Controlled

Unclassified Information provided or generated pursuant to this

MOU will be controlled as follows:

9.1.1.	Such Information will be used only for the

purposes authorized for use of Project

Information as specified in Section VIII

(Disclosure and Use of Project Information).

9.1.2. Access to such Information will be limited to

personnel whose access is necessary for the

permitted use under subparagraph 9.1.1. of this

Section, and will be subject to the provisions of

Section XII (Third Party Sales and Transfers).

9.1.3.	Each Participant will take all lawful steps,

which may include national classification,

available to it to keep such Information free

from further disclosure (including requests under

any legislative provisions), except as provided

in subparagraph 9.1.2. of this Section, unless

the originating Participant consents to such

disclosure. In the event of unauthorized

disclosure, or if it becomes probable that the

Information may have to be further disclosed

under any legislative provision, immediate

notification will be given to the originating

Participant.

9.2. To assist in providing the appropriate controls, the

originating Participant will ensure that Controlled Unclassified

Information is appropriately marked to ensure its "in

confidence" nature. The Participants' export-controlled

Information will be marked in accordance with the applicable

Participant's export control markings as documented in the PSI.

The Participants will also decide, in advance and in writing, on

the markings to be placed on any other types of Controlled

Unclassified Information and describe such markings in the PSI.

38
9.3. Controlled Unclassified Information provided or generated

pursuant to this MOU will be handled in a manner that ensures

control as provided for in paragraph 9.1. of this Section.

9.4. Prior to authorizing the release of Controlled

Unclassified Information to Contractors, the Participants will

ensure the Contractors are legally bound to control such

Information in accordance with the provisions of this Section.

39
SECTION X

VISITS TO ESTABLISHMENTS

10.1. Each Participant will permit visits to its government

establishments, agencies and laboratories, and Contractor

industrial facilities by employees of another Participant or by

employees of another Participant's Contractor(s), provided that

the visit is authorized by the Participants involved in the

visit and the employees have any necessary and appropriate

security clearances and a need-to-know.

10.2. All visiting personnel will be required to comply with

security regulations of the hosting Participant. Any

Information disclosed or made available to visitors will be

treated as if supplied to the Participant sponsoring the

visiting personnel, and will be subject to the provisions of

this MOU.

10.3. Requests for visits by personnel of one Participant to a

facility of the other Participants will be coordinated through

official channels, and will conform with the established visit

procedures of the host country. Requests for visits will bear

the name of the Project.

10.4. Lists of personnel of each Participant required to visit,

on a continuing basis, facilities of the other Participants will

be submitted through official channels in accordance with

recurring international visit procedures.

40
SECTION XI

SECURITY

11.1. All Classified Information provided or generated pursuant

to this MOU will be stored, handled, transmitted, and

safeguarded in accordance with the security agreements between

the Government of the United States of America and the

Government of each of the other Participants.

11.2. Classified Information will be transferred only through

official Government-to-Government channels or through channels

approved by the DSAs of the Participants. Such Classified

Information will bear the level of classification, denote the

country of origin, the provisions of release, and the fact that

the Information relates to this MOU.

11.3. Each Participant will take all lawful steps available to

it to ensure that Classified Information provided or generated

pursuant to this MOU is protected from further disclosure,

except as permitted by paragraph 11.8. of this Section, unless

the other Participants consent to such disclosure. Accordingly,

each Participant will ensure that:

11.3.1. The recipient will not release the Classified

Information to any Government, national,

organization, or other entity of a Third Party

except as permitted under the procedures set

forth in Section XII (Third Party Sales and

Transfers).

11.3.2. The recipient will not use the Classified

Information for other than the purposes provided

for in this MOU.

11.3.3. The recipient will comply with any distribution

and access restrictions on Classified Information

that is provided under this MOU.

11.4. The Participants will investigate all cases in which it is

known or where there are grounds for suspecting that Classified

Information provided or generated pursuant to this MOU has been

lost or disclosed to unauthorized persons. Each Participant

also will promptly and fully inform the other Participants of

the details of any such occurrences, and of the final results of

41
the investigation and of the corrective action taken to preclude

recurrences.

11.5. The CTD will prepare a PSI and a CG for the Project. The

PSI and the CG will describe the methods by which Project

Information will be classified, marked, used, transmitted, and

safeguarded and will require that markings for all exportcontrolled Classified Information also include the applicable

export control markings identified in the PSI in accordance with

paragraph 9.2. of Section IX (Controlled Unclassified

Information). The PSI and CG will be developed by the CTD

within three months after this MOU enters into effect. They

will be reviewed and forwarded to the Participants' NSAs/DSAs

for, approval and will be applicable to all Government and

Contractor personnel participating in the Project. The CG will

be subject to regular review and revision with the aim of

downgrading the classification whenever this is appropriate.

The PSI and the CG will be approved by the appropriate NSAs/DSAs

prior to the transfer of any Classified Information or

Controlled Unclassified Information.

11.6. The NSA/DSA of the Participant in which a classified

Contract is awarded will assume responsibility for administering

within its territory security measures for the protection of the

Classified Information, in accordance with its laws and

regulations. Prior to the release to a Contractor, prospective

Contractor or subcontractor of any Classified Information

received under this MOU, the NSAs/DSAs will:

11.6.1. Ensure that such Contractor, prospective

Contractor or subcontractor and their

facility(ies) have the capability to protect the

Classified Information adequately.

11.6.2. Grant a security clearance to the facility(ies),

if appropriate.

11.6.3. Grant a security clearance for all personnel

whose duties require access to Classified

Information, if appropriate.

11.6.4. Ensure that all persons having access to the

Classified Information are informed of their

responsibilities to protect the Classified

Information in accordance with national security

laws and regulations, and provisions of this MOU.

42
11.6.5. Carry out periodic security inspections of

cleared facilities to ensure that the Classified

Information is properly protected.

11.6.6. Ensure that access to the Classified Information

is limited to those persons who have a need-toknow for purposes of the MOU.

11.7. Contractors, prospective Contractors or subcontractors,

which are determined by DSAs to be under financial,

administrative, policy, or management control of nationals or

entities of a Third Party, may participate in a Contract or

subcontract requiring access to Classified Information provided

or generated pursuant to this MOU only when enforceable measures

are in effect to ensure that nationals or other entities of a

Third Party will not have access to Classified Information. If

enforceable measures are not in effect to preclude access by

nationals or other entities of a Third Party, the other

Participants will be consulted for approval prior to permitting

such access.

11.8. For any facility wherein Classified Information is to be

used, the responsible Participant or Contractor will approve the

appointment of a person or persons to exercise effectively the

responsibilities for safeguarding at such facility the

Information pertaining to this MOU. These officials will be

responsible for limiting access to Classified Information

involved in this MOU to those persons who have been properly

approved for access and have a need-to-know.

11.9. Each Participant will ensure that access to the Classified

Information is limited to those persons who possess requisite

security clearances and have a specific need for access to the

Classified Information in order to participate in the Project.

11.10. Information provided or generated pursuant to this MOU

may be classified as high as TOP SECRET. Classified Information

developed or exchanged pursuant to the Project will be

maintained within an appropriate and applicable Access

Management Control Plan (AMCP) that will be signed by the

Participants. The U.S. DoD may enter into bilateral classified

MOU Supplements with the other Participants, as necessary, in

order to address necessary security measures and other bilateral

issues. The existence of this MOU is UNCLASSIFIED and the

contents are UNCLASSIFIED.

43
SECTION XII

THIRD PARTY SALES AND TRANSFERS

12.1. The U.S. DoD will retain the right to sell, transfer

title to, disclose, or transfer possession of Project Foreground

Information, Jointly Acquired Equipment, or any item produced

either wholly or in part from Project Foreground Information to

Third Parties.

12.2. The non-U.S. DoD Participants will not sell, transfer

title to, disclose, or transfer possession of Project Foreground

Information, Jointly Acquired Equipment, or any item produced

either wholly or in part from Project Foreground Information to

any Third Party without the prior written consent of the U.S.

Government. Furthermore, the non-U.S. DoD Participants will not

permit any such sale, disclosure, or transfer by others,

including the owner of the item, without the prior written

consent of the U.S. Government. The non-U.S. DoD Participants

recognize that such sales, disclosures, or other transfers will

not be authorized by the U.S. Government unless the government

of the intended recipient confirms in writing with the U.S. DoD

that it will:

12.2.1. not retransfer, or permit the further retransfer

of, any equipment or Information provided; and

12.2.2. use, or permit the use of, the equipment or

Information provided only for the purposes

specified by the Participants.

12.3. .A Participant will not sell, transfer title to, disclose,

or transfer possession of Project Background Information or

Project Equipment provided by another Participant to any Third

Party without the prior written consent of the Participant that

provided such equipment or Information. The providing

Participant will be solely responsible for authorizing such

transfers and, as applicable, specifying the method and

provisions for implementing such transfers.

12.4. Consent for Third Party sales and transfers of Project

Foreground Information, Jointly Acquired Equipment, or any item

produced either wholly or in part from Project Foreground.

Information will be subject to foreign policy, national security

considerations, and national laws, regulations, and policies.

The U.S. Government approval of the non-U.S. DoD Participant

44
Government's proposed sale or transfer to a Third Party will

take into account its willingness to sell or transfer such

equipment or Information to the same Third Party.

45
SECTION XIII

LIABILITY AND CLAIMS

13.1. Subject to multilateral and bilateral treaties and

agreements of the Participants concerning liability for claims,

when applicable, the following provisions will apply regarding

liability arising out of, or in connection with activities

carried out in the performance of official duty in the execution

of this MOU:

13.1.1. With the exception of claims for loss of or

damage to Project Equipment, which are addressed

in Section VIII (Project Equipment and Jointly

Acquired Equipment), each Participant waives'all

claims against the other Participants for injury

to or death of its military or civilian personnel

(which do not include Project Contractors) and

for damage to or loss of its property (including

its interest in Jointly Acquired Equipment)

caused by such personnel of another Participant.

If, however, such injury, death, damage, or loss

results from reckless acts or reckless omissions,

willful misconduct or gross negligence of a

Participant's personnel, the costs of any

liability will be borne by that Participant

alone.

13.1.2. Claims from any other persons for injury, death,

damage or loss of any kind caused by one of the

Participants' personnel will be processed by the

most appropriate Participant, as determined by

the Participants. Any costs determined to be

owed the claimant will be borne by the

Participants in proportion to their financial

contributions, as specified in Section V

(Financial Provisions). If, however, such

liability results from the reckless acts or

reckless omissions, willful misconduct, or gross

negligence of a Participant's personnel, the

costs of any liability will be borne by that

Participant alone.

13.2. If a person or entity, other than the Participants

(including their personnel), damages Jointly Acquired Equipment,

and the cost of making good such damage is not recoverable from

46
v

such person or entity, such cost will be borne by the

Participants in proportion to their financial contributions, as

specified in Section V (Financial Provisions).

13.3. Claims arising under any Contract awarded under this MOU

will be resolved in accordance with the provisions of that

Contract.

47
SECTION XIV

PARTICIPATION OF ADDITIONAL NATIONS

14.1. It is recognized that other signatories of the JSF SDD

Framework MOU may wish to join the Project.

14.2. Mutual consent of the Participants will be required to

conduct discussions with these potential additional

Participants. The Participants will discuss the arrangements

under which another Participant might join, including the

furnishing of releasable Project Information for evaluation

prior to joining. If the disclosure of Project Information is

necessary to conduct discussions, such disclosure will be in

accordance with Section VIII (Disclosure and Use of Project

Information), Section IX (Controlled Unclassified Information),

and Section XII (Third Party Sales and Transfers).

14.3. The Participants will jointly formulate the provisions

under which additional Participants might join. The addition of

new Participants to the Project will require amendment of this

MOU by the Participants.

48
SECTION XV

CUSTOMS DUTIES, TAXES, AND SIMILAR CHARGES

15.1. Customs duties, import and export taxes, and similar

charges will be administered in accordance with each

Participant's respective laws and regulations. Insofar as

existing national laws and regulations permit, the Participants

will endeavor to ensure that such readily identifiable duties,

taxes, and similar charges, as well as quantitative or other

restrictions on imports and exports, are not imposed in

connection with work carried out under this Project.

15.2. Each Participant will use its best efforts to ensure that

customs duties, import and export taxes, and similar charges are

administered in a manner favorable to the efficient and

economical conduct of the work. If any such duties, taxes, or

similar charges are levied, the Participant in whose country

they are levied will bear such costs over and above that

Participant's shared costs of the Project.

15.3. If, in order to apply European Union (EU) regulations, it

is necessary to levy duties, then these will be met by the EU

member end recipient. To this end, parts of the components of

the equipment coming from outside the EU will proceed to their

final destination accompanied by the relevant customs document

enabling settlement of duties to take place. The duties will be

levied as a cost over and above that Participant's shared costs

of the Project.

49
SECTION XVI

SETTLEMENT OF DISPUTES

16.1. Disputes among the Participants arising under or relating

to this MOU will be resolved only by consultation among the

Participants and will not be referred to an individual, to a

national court, to an international tribunal, or to any other

person or entity for settlement.

50
SECTION XVII

LANGUAGE

17.1. The working language for the Project will be the English

language.

17.2. All Project Information generated under this MOU and its

implementing Contracts and provided by one Participant to the

other Participants will be furnished in the English language.

51
SECTION XVIII

AMENDMENT, WITHDRAWAL, TERMINATION, ENTRY INTO EFFECT, AND

DURATION

18.1. All activities of the Participants under this MOU will be

carried out in accordance with their national laws and

regulations, including their export control laws and

regulations. The responsibilities of the Participants will be

subject to the availability of funds for such purposes.

18.2. No requirement will be imposed by any Participant for

worksharing or other industrial or commercial compensation in

connection with this MOU that is not in accordance with this

MOU.

18.3. In the event of a conflict between a Section of this MOU

and any Annex to this MOU, the MOU will control.

18.4. This MOU may be amended by the mutual written consent of

the Participants.

18.5. This MOU may be terminated at any time upon the written

consent of the Participants. In the event the Participants

consent to terminate this MOU, the Participants will consult

prior to the date of termination to ensure termination on the

most economical and equitable terms.

18.6. Any Participant may withdraw from this MOU upon ninety

(90) days written notification of its intent to withdraw to the

other Participants. Such notice will be the subject of

immediate consultation by the IOT&E EC to decide upon the

appropriate course of action. In the event of such withdrawal,

the following rules apply:

18.6.1. The withdrawing Participant will continue

participation, financial or otherwise, up to the

effective date of withdrawal.

18.6.2. Except as to Contracts awarded on behalf of the

Participants, each Participant will be

responsible for its own Project-related costs

associated with withdrawal from the Project. For

Contracts awarded on behalf of the Participants,

the withdrawing Participant will pay all Contract

modification or termination costs that would not

52
otherwise have been incurred but for the decision

to withdraw; in no event, however, will a

withdrawing Participant's total financial

contribution, including Contract termination

costs, exceed that Participant's Total Cost

Ceiling for financial contributions as

established in Section V (Financial Provisions).

18.6.3. All Project Information and rights therein

received under the provisions of this MOU prior

to the withdrawal will be retained by the

Participants, subject to the provisions of this

MOU.

18.7. In the event a Participant withdraws from the JSF SDD

Framework MOU, such action will constitute automatic withdrawal

from the JSF IOT&E MOU, effective 90 days after the

Participant's written notification to withdraw from the JSF SDD

Framework MOU. The terms applicable to voluntary withdrawal

from this MOU by one Participant, detailed in paragraph 18.6. of

this Section, will apply to an automatic withdrawal.

18.8. The respective benefits and responsibilities of the

Participants regarding Section VII (Project Equipment and

Jointly Acquired Equipment), Section VIII (Disclosure and Use of

Project Information), Section IX (Controlled Unclassified

Information), Section XI (Security), Section XII (Third Party

Sales and Transfers), Section XIII (Liability and Claims), and

this Section XVIII (Amendment, Withdrawal, Termination, Entry

into Effect, and Duration) will continue to apply

notwithstanding termination of, withdrawal from, or expiration

of this MOU.

18.9. This MOU, which consists of eighteen (18) Sections and an

Annex, will enter into effect upon signature by the U.S. DoD and

the U.K. MOD and will remain in effect for nine (9) years. It

may be extended by written concurrence of the Participants.

53
64.a. wie

Signature

Dr. Charles E. McQuea

ze 4

Date

Pen tar lAkidli . Locati n

Date 

/.?	evi7 koo?

CesNi.4

Location

The foregoing represents the understandings reached between the

Secretary of Defense of the United States of America and the

Secretary of State for Defence of the United Kingdom of Great

Britain and Northern Ireland.

Signed in duplicate, in the English language, by authorized

representatives.

FOR THE SECRETARY OF DEFENSE

ON BEHALF OF THE DEPARTMENT OF

DEFENSE OF THE UNITED STATES

OF AMERICA

Name

Director, Operational Test and

Evaluation

Title

FOR THE SECRETARY OF STATE

FOR DEFENCE OF THE UNITED

KINGDOM AND NORTHERN IRELAND

SO- Cee.L. 

Name

.0

Title

54
ANNEX A

COOPERATIVE PROJECT PERSONNEL

1.0. Purpose and Scope

This Annex establishes the provisions that will

govern the conduct of Cooperative Project

Personnel (CPP). Each Parent Participant will

assign military members or civilian employees to

the IOT&E JOTT in accordance with Section IV

(Management (Organization and Responsibility))

and this Annex. CPP must be able to perform all

the responsibilities assigned to them under this

MOU. Commencement of assignments will be subject

to any requirements that may be imposed by the

Host Participant or its Government regarding

acceptance of CPP, such as, but not limited to,

visas and visit request documentation. The IOT&E

EC will determine the length of tour for the

positions at the time of initial assignment.

1.2.	CPP will be assigned to the IOT&E JOTT for

Project work and will report to their designated

IOT&E JOTT supervisor regarding that work. The

CTD will be responsible for the creation of a

document describing the duties of each CPP

position, which will be subject to approval by

the IOT&E EC. CPP will not act as liaison

officers on behalf of the Parent Participant.

CPP may act from time to time on behalf of their

respective IOT&E EC member if the latter so

authorizes in writing.

1.3.	CPP will not be assigned to command or other

positions that would require them to exercise

responsibilities that are reserved by law or

regulation to an officer or employee of the Host

Participant's Government.

2.0. Security

2.1.	The IOT&E EC will establish the maximum level of

security clearance required, if any, to permit

CPP to have access to Classified Information and

facilities in which Classified Information is

used in accordance with the PSI and CG. Access

55
to Classified Information and facilities in which

Classified Information is used will be consistent

with, and limited by, Section II (Objectives) and

Section III (Scope of Work) of this MOU and will

be kept to the minimum required to accomplish the

work assignments.

2.2.	Each Parent Participant will cause security

assurances to be filed, through its embassy, specifying the

security clearances for the JSF CPP being assigned. The

security assurances will be prepared and forwarded through

prescribed channels in compliance with established Host

Participant procedures.

2.3.	The Host Participant and Parent Participants will

use their best efforts to ensure that CPP

assigned to the IOT&E JOTT are aware of, and

comply with, applicable laws and regulations as

well as the requirements of Section IX

(Controlled Unclassified Information), Section X

(Visits to Establishments), Section XI

(Security), and paragraph 18.8. of Section XVIII

(Amendment, Withdrawal, Termination, Entry into

Effect, and Duration) of this MOU and the

provisions of the PSI and CG. Prior to

commencing assigned duties, CPP will, if required

by the Host Participant's Government laws,

regulations, policies, or procedures, sign a

certification concerning the conditions and

responsibilities of CPP.

2.4.	CPP will at all times be required to comply with

the security and export control laws,

regulations, and procedures of the Host

Participant's Government. Any violation of

security procedures by CPP during their

assignment will be reported to the Parent

Participant for appropriate action. CPP

committing significant violations of security and

export control laws, regulations, or procedures

during their assignments will be withdrawn from

the Project with a view toward appropriate

administrative or disciplinary action by their

Parent Participant.

2.5.	All Classified Information made available to CPP

will be considered as Classified Information

furnished to the Parent Participant, and will be

56
subject to all provisions and safeguards provided

for in Section XI (Security), the PSI, and the

CG.

2.6.	CPP will not have personal custody of Classified

Information or Controlled Unclassified

Information unless approved by the Host

Participant and as authorized by the Parent

Participant. They will be granted access to such

Information in accordance with Section IX

(Controlled Unclassified Information), Section XI

(Security), and the PSI during normal duty hours

and when access is necessary to perform Project

work.

2.7.	CPP assigned to the IOT&E JOTT will not serve as

a conduit between the Host Participant and Parent

Participant for requests and/or transmission of

Classified Information or Controlled Unclassified

Information unless specifically authorized by the

PSI.

3.0. Technical and Administrative Matters

3.1.	Consistent with Host Participant's Government

laws and regulations, CPP will be subject to the

same restrictions, conditions, and privileges as

Host Participant personnel of comparable rank and

in comparable assignments. Further, to the

extent authorized by Host Participant's

Government laws and regulations, CPP and their

authorized dependents will be accorded:

3.1.1.

3.1.2.

Exemption from any Host Participant's

government tax upon income received from the

Parent Participant.

Exemption from any Host Participant's

Government customs and import duties or

similar charges levied on items entering the

country for their official or personal use,

including their baggage, household effects,

and private motor vehicles.

3.2.	Upon or shortly after arrival, CPP and their

dependents will be provided briefings arranged by

the Host Participant about applicable laws,

57
orders, regulations, and customs and the need to

comply with them. CPP will also be provided

briefings arranged by the Host Participant

regarding entitlements, privileges, and

obligations such as:

3.2.1.

3.2.2.

3.2.3.

3.2.4.

Any medical and dental care that may be

provided to CPP and their dependents at Host

Participant medical facilities, subject to

the requirements of applicable laws and

regulations, including reimbursement

requirements.

Purchasing and patronage privileges at

military commissaries, exchanges, theaters,

and clubs for CPP and their dependents,

subject to the requirements of applicable

laws and regulations.

The Host Participant will provide, if

available, housing and messing facilities

for CPP and their dependents on the same

basis and priority as for its own personnel.

CPP will pay messing and housing charges to

the same extent as Host Participant

personnel. At locations where facilities

are not provided by the Host Participant for

its own personnel, the Parent Participant

will make suitable arrangements for its CPP.

Responsibility of CPP and their accompanying

dependents to obtain motor vehicle liability

insurance coverage in accordance with the

laws and regulations applicable in the area

where they are residing. In case of claims

involving the use of private motor vehicles

by CPP, the recourse will be against such

insurance.

3.3.	The CTD, through the IOT&E JOTT, will, in

consultation with the CPP, establish standard

operating procedures for CPP in the following

areas:

3.3.1.	Working hours, including holiday schedules.

58
3.3.2.

3.3.3.

3.3.4.

Leave authorization, consistent to the

extent possible with the military and

civilian personnel regulations and practices

of the Host Participant and Parent

Participant.

Dress regulations, consistent to the extent

possible with the military and civilian

personnel regulations and practices of the

Host Participant and Parent Participant.

Performance evaluations, recognizing that

such evaluations will be rendered in

accordance with the Parent Participant's

military or civilian personnel regulations

and practices.

3.4.	CPP committing an offense under the laws of the

Government of the Host Participant or Parent

Participant may be withdrawn from this Project

with a view toward further'administrative or

disciplinary action by the Parent Participant.

Disciplinary action, however, will not be taken

by the Host Participant against CPP, nor will the

CPP exercise disciplinary powers over the Host

Participant's personnel. In accordance with Host

Participant's Government laws and regulations,

the Host Participant will assist the Parent

Participant in carrying out investigations of

offenses involving CPP.

3.5.	The Participants whose countries are NATO member

countries recognize the following: the military

and civilian employees of a Participant whose

country is a NATO member country, assigned to

duty with its Defense Department or Ministry for

the purpose of working under this MOU, while

present in the territory of another Participant

whose country is a NATO member country, will, to

the extent that they are so qualified, be members

of a "Force" and "civilian component"

respectively within the meaning of Article I of

the NATO Status of Forces Agreement (NATO SOFA),

signed on June 19, 1951. Employees and agents of

Contractors do not constitute a civilian

component, and NATO SOFA will not apply to them.

59
FOR THE SECRETARY OF STATE

FOR DEFENCE OF THE UNITED

KINGDOM OF GREAT BRITAIN

AND NO ERN IRELAND

Signattife.

Cetc.C. /e-ek4X14. 

Name

C-;. C 40 

Title

Date

a.62.19,r.

Location

SIDE LETTER FOR THE UNDERSTANDINGS BETWEEN THE SECRETARY OF

DEFENSE OF THE DEPARTMENT OF DEFENSE OF THE UNITED STATES OF

AMERICA AND THE SECRETARY OF STATE FOR DEFENCE OF THE UNITED

KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND CONCERNING

THE PROVISIONS OF THE COOPERATIVE INITIAL OPERATIONAL TEST AND

EVALUATION OF THE JOINT STRIKE FIGHTER MEMORANDUM OF

UNDERSTANDING

(JSF IOT&E MOU)

The Secretary of Defense of the Department of Defense of the United States of

America (Secretary of Defense) and the Secretary of State for Defence of the United

Kingdom of Great Britain and Northern Ireland (Secretary of State for Defence) acknowledge

the following mutual understandings in regard to the JSF IOT&E MOU:

The Secretary of Defense and the Secretary of State for Defence have decided that the

Agreement Concerning Defense Cooperation Arrangements of May 27, 1993, signed by the'

Government of the United States of America and the Government of the United Kingdom of

Great Britain and Northern Ireland, will apply to the JSF IOT&E MOU and any supplement

thereto between the Secretary of Defense of the United States of America and the Secretary of

State for Defence of the United Kingdom of Great Britain and Northern Ireland. Claims

arising under the MOU will be dealt with under paragraph 1 of the Agreement Concerning

.Defense Cooperation Arrangements. The cost sharing arrangements under paragraph 1(b)(ii)

of the Agreement Concerning Defense Cooperation Arrangements will be shared as detailed

in paragraph 13.1.2. of Section XIII (Liability and Claims) of the JSF IOT&E MOU.

FOR THE SECRETARY OF

DEFENSE ON BEHALF OF THE

DEPARTMENT OF DEFENSE OF

THE UNITED STATES OF

AMERICA

eacIAL 

Signature

(-Larks g. 141.rq

4r-D

Name 010601177•4411.114 t. 4'111144444.

freelpi 17)'°-r-r

Title

I, 444,..14^0 too 

Date

P6,1 44 an, itt/dihi/it4..e. 

Location