Whay Law Firm in Washington D.C., Explains TAA Compliance and Exceptions Regulations

Determining compliance with the Trade Agreement Act (TAA) begins with the manufacturing process and includes the geography of each involved manufacturing plant, the product components and the country of origin of each component. In certain circumstances, this determination goes down to the part level. The Whay Law Firm has assisted many small-to-medium government contractors determine if their products comply with the TAA. To render an opinion regarding product compliance with the TAA, our law firm will reference agency guidelines or communicate with the agency and research applicable case law across many sources.

What Are Exceptions to the TAA?

The TAA applies to procurement for goods and services at or above $204,000, or construction procurements at or above $7,864,000. Exceptions exist; the TAA does not apply to the following:

• Acquisitions set aside for small businesses
• Acquisitions of arms, ammunition, or war materials, or purchases indispensable for national security or for national defense purposes
• Acquisitions of end products for resale
• Acquisitions from Federal Prison Industries, Inc., or Nonprofit Agencies Employing People Who Are Blind or Severely Disabled
• Other acquisitions not using full and open competition
• Certain services listed in FAR 25.401(b)

Note: If the TAA does not apply, then the Buy American Act (BAA) is applicable. The TAA does not share the BAA’s allowance for non-domestic end products based upon price reasonableness. See our website page on BAA guidelines for more information, or contact us at the number listed below to understand more about the TAA and BAA.

Under the TAA, products that are substantially transformed in the United States or designated country can also qualify as compliant, as long as both of the following are true of their transformation:

• It must be transformed into a new and different article of commerce
• It has a name, character or use distinctly different from that of the article or articles from which it was transformed

Before bidding as a prime contractor or a subcontractor for a U.S. Government contract, please make sure you understand the TAA requirements and make the appropriate representations regarding your compliance. Call Whay Law Firm for an expert opinion about your product’s compliance with the Trade Agreements Act.

Speak With Our Government Contract Attorney at Whay Law Firm

As a government contractor, you need an experienced and knowledgeable attorney working to protect your rights and interests. The Whay Law Firm is a full-service government contract law firm dedicated to providing outstanding legal service to businesses throughout the United States. Contact Whay Law Firm at (202) 448-9677 to discuss your government contract legal needs today.