Sec. 42. General Provisions
854 words·~4 min read·
/statute-compilations/comps-1061/sec-42A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
## Sec. 42 General Provisions **[**2791**]** ###
(a)In carrying out this Act, special emphasis shall be placed on procurement in the United States, but, subject to the provisions of subsection
(b)of this section, consideration shall also be given to coproduction or licensed production outside the United States of defense articles of United States origin when such production best serves the foreign policy, national security, and economy of the United States. In evaluating any sale proposed to be made pursuant to this Act, there shall be taken into consideration (A)19 the extent to which the proposed sale damages or infringes upon licensing arrangements whereby United States entities have granted licenses for the manufacture of the defense articles selected by the purchasing country to entities located in friendly foreign countries, which licenses result in financial returns to the United States, (B)19 the portion of the defense articles so manufactured which is of United States origin, and (C)19 whether, and the extent to which, such sale might contribute to an arms race, aid in the development of weapons of mass destruction, support international terrorism, increase the possibility of outbreak or escalation of conflict, or prejudice the development of bilateral or multilateral arms control or nonproliferation agreements or other arrangements. 19Subparagraphs
(A)through
(C)of section 42(a) probably should be paragraphs
(1)through (3), respectively. See section 1225(a)(3)(C) of P.L. 105–277 (112 Stat. 2681–773). ###
(b)No credit sale shall be extended under section 23, and no guarantee shall be issued under section 24, in any case involving coproduction or licensed, production outside the United States of any defense article of United States origin unless the Secretary of State shall, in advance of any such transaction, advise the appropriate committees of the Congress and furnish the Speaker of the House of Representatives and the President of the Senate with full information regarding the proposed transaction, including, but not limited to, a description of the particular defense article or articles which would be produced under license or coproduced outside the United States, the estimated value of such production or coproduction, and the probable impact of the proposed transaction on employment and production within the United States. ###
(c)Funds made available under this Act may be used for procurement outside the United States only if the President determines that such procurement will not result in adverse effects upon the economy of the United States or the industrial mobilization base, with special reference to any areas of labor surplus or to the net position of the United States in its balance of payments with the rest of the world, which outweigh the economic or other advantages to the United States of less costly procurement outside the United States. ###
(d)####
(1)With respect to sales and guaranties under sections 21, 22, 23, 24, 29, and 30 the Secretary of Defense shall, under the direction of the President, have primary responsibility for— #####
(A)the determination of military end-item requirements; #####
(B)the procurement of military equipment in a manner which permits its integration with service programs; #####
(C)the supervision of the training of foreign military personnel; #####
(D)the movement and delivery of military end-items; and #####
(E)within the Department of Defense, the performance of any other functions with respect to sales and guaranties. ####
(2)The establishment of priorities in the procurement, delivery, and allocation of military equipment shall, under the direction of the President, be determined by the Secretary of Defense. ###
(e)####
(1)Each contract for sale entered into under sections 21, 22, 29, and 30 of this Act, and each contract entered into under section 27(d) of this Act, shall provide that such contract may be canceled in whole or in part, or its execution suspended, by the United States at any time under unusual or compelling circumstances if the national interest so requires. ####
(2)#####
(A)Each export license issued under section 38 of this Act shall provide that such license may be revoked, suspended, or amended by the Secretary of State, without prior notice, whenever the Secretary deems such action to be advisable. #####
(B)Nothing in this paragraph may be construed as limiting the regulatory authority of the President under this Act. ####
(3)There are authorized to be appropriated from time to time such sums as may be necessary
(A)to refund moneys received from purchasers under contracts of sale entered into under sections 21, 22, 29, and 30 of this Act, or under contracts entered into under sec. 27(d) of this Act, that are canceled or suspended under this subsection to the extent such moneys have previously been disbursed to private contractors and United States Government agencies for work in progress, and
(B)to pay such damages and costs that accrue from the corresponding cancellation or suspension of the existing procurement contracts or United States Government agency work orders involved. ###
(f)The President shall, to the maximum extent possible and consistent with the purposes of this Act, use civilian contract personnel in any foreign country to perform defense services sold under this Act.
Connectionstraces to 1
Traces to 1 document
public-private-law
Citation graph
cites case law
Sec. 42
General Provisions
Cites 1Cited by 0 across 0 sources