EconDefense
ACQ-52 / Acquisition, transition and contract finance

Indemnify unusually hazardous research/development work

Military-department R&D contracts may promise U.S. indemnification for defined unusually hazardous direct-performance third-party claims and contractor-property loss not otherwise insured/compensated.

Download record

At a glance

Possible toolACQ-52 · Other statutory tools
Legal basis10 U.S.C. §3861

Authority holder: Secretary of the military department concerned approves; Secretary/designated official certifies payment

Other statutory tools

Mechanism tags describe the source text; they do not expand the authority.

Availability and verification

Express statutory pathway; award-specific appropriations, available balances, delegations, implementation and approvals not independently verified.

Requirements and limits

Eligibility & prerequisites

  • Risk defined as unusually hazardous in contract; direct performance connection and uncovered loss.
  • Required notice of claims/suits and U.S. option to control/assist defense.

Limits & exclusions

  • Not blanket indemnity for any contractor business loss or retroactive unstated promise.
  • R&D statutory pathway is distinct from 50 U.S.C. §1431 Presidential emergency relief.

Funding conditions

  • Payments may use obligated contract funds, unobligated R&D funds or appropriations for payments, with Secretary approval.

Read the funding and execution guide

Who contributes what

Need & planning

  • R&D program and contractor

Resources

  • EligibleR&D/contract funds

Approval

  • Military-department Secretary; designated just-and-reasonablepayment certifier

Execution

Partners & review

  • DCMA asappropriate; counsel; risk/insurance specialists

Office links are editorial matches to the original role text, not verified delegations. Composite labels and unmatched actors are preserved.

Coordination pathway

R&D program identifies hazard → insurance/risk counsel review → Secretary approval → explicit contract clause → certified claim payment.

Actor and execution-role sources

What this research establishes

Legal powerSource and conditions recorded
EligibilityProject-specific check needed
Available fundsBalances not verified
DelegationValid signature authority must be checked
ExecutionOffice capacity and approvals must be checked

Confidence: High on express authority and cited conditions; execution assignment is illustrative unless statute expressly names it.

Currentness: GovInfo 2024 Code (includes FY2025 NDAA, P.L. 118-159) read in full for cited provision; targeted FY2026 NDAA P.L. 119-60 amendment/repeal sweep. No claim of complete legislative currency through 2026-10-02; remaining 2026 delta needs counsel validation.

Research target: October 2, 2026. A record-specific last-review date is not supplied. Publication date is not legal-currentness certification.