FAR and DFARS › DFARS Part 222: Application of Labor Laws to Government Acquisitions › Subpart 222.74

DFARS 222.7402 Policy.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section bars DoD from spending certain appropriated funds on contracts over $1 million unless the contractor agrees not to require employees or independent contractors to arbitrate Title VII claims or torts related to sexual assault or harassment. It also requires the contractor to certify that it imposes the same restriction on covered subcontractors. This matters because contractors must accept these limits and flow them down to subcontractors to remain eligible for the funds.

Applies to: Contractors and covered subcontractors on DoD contracts over $1 million funded by FY2010 or later DoD appropriations

What it requires

  • Agree not to enter into agreements requiring employees or independent contractors to arbitrate Title VII claims or torts related to sexual assault or harassment
  • Agree not to enforce existing agreements requiring such arbitration
  • Certify that each covered subcontractor is required to agree not to enter into or enforce such agreements

Key terms: arbitration · title VII of the Civil Rights Act of 1964 · tort · covered subcontractor · bilateral modifications adding new work

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(a) Departments and agencies are prohibited from using funds appropriated or otherwise made available by the Fiscal Year 2010 Defense Appropriations Act (Pub. L. 111-118) or subsequent DoD appropriations acts for any contract (including task or delivery orders and bilateral modifications adding new work) in excess of $1 million, unless the contractor agrees not to—

(1) Enter into any agreement with any of its employees or independent contractors that requires, as a condition of employment, that the employee or independent contractor agree to resolve through arbitration—

(i) Any claim under title VII of the Civil Rights Act of 1964; or

(ii) Any tort related to or arising out of sexual assault or harassment, including assault and battery, intentional infliction of emotional distress, false imprisonment, or negligent hiring, supervision, or retention; or

(2) Take any action to enforce any provision of an existing agreement with an employee or independent contractor that mandates that the employee or independent contractor resolve through arbitration—

(i) Any claim under title VII of the Civil Rights Act of 1964; or

(ii) Any tort related to or arising out of sexual assault or harassment, including assault and battery, intentional infliction of emotional distress, false imprisonment, or negligent hiring, supervision, or retention.

(b) No funds appropriated or otherwise made available by the Fiscal Year 2010 Defense Appropriations Act (Pub. L. 111-118) or subsequent DoD appropriations acts may be expended unless the contractor certifies that it requires each covered subcontractor to agree not to enter into, and not to take any action to enforce, any provision of any agreement, as described in paragraph (a) of this section, with respect to any employee or independent contractor performing work related to such subcontract.

Sections that refer to it

← 222.7401 Definition. · 222.7403 Applicability. →

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 222.7402 Policy · SpendQuery