(B) shall also include any subsidiary, par-
ent company, or successor entity of a contractor 
formed to act as a successor in interest of a 
contractor for United States Government con-
tracting purposes. 
SEC. 4. IN PERSONAM JURISDICTION FOR CIVIL OR CRIMI-
NAL SUITS BROUGHT BY THE UNITED STATES 
GOVERNMENT 
ALLEGING 
WRONGDOING 
UNDER UNITED STATES GOVERNMENT CON-
TRACTS PERFORMED ABROAD. 
(a) IN GENERAL.—The Director of the Office of 
Management and Budget shall amend the Federal Acqui-
sition Regulation to include in the regulation with respect 
to any contract for work to be performed outside the 
United States that is approved and financed by the United 
States Government, or any executive department, inde-
pendent establishment, or agency thereof, or any subordi-
nate contract under such a contract, the following: 
(1) A requirement that the contractor consent 
to in personam jurisdiction over the contractor by 
the Federal courts of the United States with respect 
to any civil or criminal suit brought by the United 
States Government alleging wrongdoing associated 
with the performance of such a contract. 
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(2) A clause specifying that consent to in per-
sonam jurisdiction under paragraph (1) shall not op-
erate to deprive or terminate in personam jurisdic-
tion as described in that paragraph in any other 
court that otherwise has in personam jurisdiction as 
described in that paragraph under applicable law. 
(3) A requirement that, where a cause of action 
in a suit described in paragraph (1) arises from an 
act or omission occurring outside the United States, 
in personam jurisdiction in a suit covered by para-
graph (1) shall lie in the United States District 
Court for the District of Columbia if it cannot be es-
tablished in another Federal court. 
(4) In the case of a contract covered by this 
section with a value of $5,000,000 or more and 
awarded to a contractor that does not maintain an 
office in the United States, a requirement that the 
contractor designate an agent located in the United 
States for service of process in any suit described in 
paragraph (1). 
(b) EFFECTIVE DATE.—The amendments to the Fed-
eral Acquisition Regulation made pursuant to subsection 
(a) shall take effect on such date as the Director shall 
specify, but not later than 90 days after the date of the 
enactment of this Act. 
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(c) APPLICABILITY.— 
(1) IN
GENERAL.—The amendments to the 
Federal Acquisition Regulation made pursuant to 
subsection (a) shall apply with respect to any con-
tract covered by that subsection that is entered into 
on or after the effective date of such amendments. 
(2) PROSPECTIVE APPLICABILITY UNDER CER-
TAIN CURRENT CONTRACTS.— 
(A) INDEFINITE
DELIVERY, INDEFINITE 
QUANTITY CONTRACTS.—In the case of an in-
definite delivery, indefinite quantity contract in 
effect as of the effective date of the amend-
ments to the Federal Acquisition Regulation 
made pursuant to subsection (a), the amend-
ments to the Federal Acquisition Regulation 
made pursuant to subsection (a) shall apply to 
any task order under such contract, or any sub-
contract of such contract, that is made on or 
after the effective date of such amendments. 
(B) MODIFICATIONS
OF
CURRENT
CON-
TRACTS.—In the case of any contract or sub-
contract in effect as of the effective date of the 
amendments to the Federal Acquisition Regula-
tion made pursuant to subsection (a) that is 
modified after the effective date of such amend-
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ments, the amendments to the Federal Acquisi-
tion Regulation made pursuant to subsection 
(a) shall apply with respect to any modification 
of such contract or subcontract after the effec-
tive date of such amendments. 
(3) CERTAIN OTHER CONTRACTS.—In any civil 
or criminal action commenced during the period be-
ginning on September 11, 2001, and ending on the 
date of the enactment of this Act to which the re-
quirement in subsection (a)(1) would have applied if 
such subsection had been in effect during such pe-
riod, the contractor shall consent to the jurisdiction 
of the Federal courts of the United States in such 
action as a condition of— 
(A) entering into any contract with the 
United States Government on or after the date 
of the enactment of this Act; or 
(B) receiving any payment from the 
United States Government for performing any 
activity under a contract with the United States 
Government on or after the date of the enact-
ment of this Act. 
(4) 
ADDITIONAL
DEFINITION
OF
CON-
TRACTOR.—For purposes of paragraph (3), the term 
‘‘contractor’’— 
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(A) shall have the meaning given that term 
in section 6(1); and 
(B) shall also include any subsidiary, par-
ent company, or successor entity of a contractor 
formed to act as a successor in interest of a 
contractor for United States Government con-
tracting purposes. 
SEC. 5. DEBARMENT OR SUSPENSION OF UNITED STATES 
GOVERNMENT CONTRACTORS FOR EVASION 
OF PROCESS OR FAILURE TO APPEAR IN AC-
TIONS IN CONNECTION WITH GOVERNMENT 
CONTRACTS. 
(a) IN GENERAL.—The Director of the Office of 
Management and Budget shall amend the Federal Acqui-
sition Regulation to provide that a contractor of the 
United States Government, whether a United States com-
pany or a foreign company, may be debarred or suspended 
from contracting with the United States Government 
under circumstances as follows: 
(1) If the contractor evades service of process 
in any suit brought against the contractor by the 
United States Government or a citizen or national of 
the United States in connection with the contractor’s 
performance of a contract with the United States 
Government. 
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(2) If the contractor refuses or fails to appear 
before a Federal court of the United States in a 
matter brought against the contractor by the United 
States Government or a citizen or national of the 
United States in connection with the contractor’s 
performance of a contract with the United States 
Government. 
(b) APPLICABILITY.—The amendment to the Federal 
Acquisition Regulation made pursuant to subsection (a) 
shall apply to any action of a contractor covered by such 
amendment that occurs on or after the effective date of 
such amendment. 
SEC. 6. DEFINITIONS. 
In this Act: 
(1) CONTRACTOR.—The term ‘‘contractor’’, 
with respect to a contract, includes the contractor 
under the contract, any subcontractor under the 
contract, any subordinate contractor under the con-
tract, and any employees thereof performing work 
under or in connection with the contract. 
(2) 
UNITED
STATES.—The 
term 
‘‘United 
States’’, in a geographic sense, means the several 
States and the District of Columbia. The term does 
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not include any military installation or facility lo-
cated outside the United States, as so defined. 
Æ 
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