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Final DoD Rule Seeks to Improve Tracking of Warranties

A final rule issued by the Department of Defense amends the Defense Federal Acquisition Regulation Supplement to implement a policy memorandum of the Undersecretary of Defense for Acquisition, Technology and Logistics dated February 6, 2007, which required definition of the requirements to track warranties for Item Unique Identification-required items in the DoD Item Unique Identification Registry. The final rule in DFARS Case 2009-D018 stresses that the enforcement of warranties is essential to the effectiveness and efficiency of DoD's material readiness. The proposed version of the rule (70,020.275) noted the benefits of warranty tracking include reduced costs, the ability to recognize free benefits, the ability to compare performance against government-specified warranties, an increased level of insurance for purchased goods, sufficient durations of warranties for specific goods, and the ability to identify and enforce warranties.

New Clauses

The rule revises DFARS 211.274-2, Policy for unique item identification, to add "any warranted serialized item" to the list of items for which DoD unique item identification or a DoD recognized unique identification equivalent is required. The rule also amends DFARS 246.710 to prescribe two new clauses: DFARS 252.246-7005, Notice of Warranty Tracking of Serialized Items, and DFARS 252.246-7006, Warranty Tracking of Serialized Items. These clauses require the contractor to report data for warranty tracking and administration, in the format specified at new DFARS 246.710-70, Warranty attachment. Finally, the rule revises the definitional provisions in DFARS 246.701 and DFARS 252.211-7003. The final rule makes technical changes to the proposed rule. The effective date of the final rule is June 8, 2011. For the text of the rule, see 70,016.649.




(The news featured above is a selection from the news covered in the Government Contracts Report Letter, which is published weekly and distributed to subscribers of the Government Contracts Reporter. )


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