Contractors are often provided with assistance to facilitate the delivery of goods or services.

There are a number of clauses dealing with assistance provided by the acquiring entity to the contractor. These have a variety of names, including Government assistance and Government Furnished Material (GFM). Assistance provided to the contractor can affect the final price of the contract.

Government assistance includes any equipment, information or data provided to a contractor by the acquiring entity to assist in the performance of the contract. Generally it is better practice to minimise the provision of assistance to contractors. However, in some circumstances it is not possible for a contractor to perform the work required without GFM.

In all cases GFM remains the property of the acquiring entity. The contract should require the contractor to preserve any identification marks on GFM, and to obtain the prior written consent of the acquiring entity before using it for purposes other than the contract, modifying it in any way, transferring possession or control of it, moving it from the original delivery location, or communicating it to any other party.

Government assistance includes any equipment, information or data provided to a contractor by the acquiring entity to assist in the performance of the contract.

Where GFM includes intellectual property rights not owned by the acquiring entity, it is important for the contract manager to ensure that the acquiring entity has sufficient rights to the intellectual property to allow the contractor access to them. This should be considered prior to including intellectual property as part of the GFM in the contract.

Acquiring entities should have their own policies and guidelines for the management of government assistance. Where assistance is provided to a contractor, the contract should specify:

• the GFM to be provided;

• the place and times for delivery of GFM;

• the inspection and testing requirements to be met by the contractor following receipt of GFM;

• the party responsible for loss, damage, defective or deficient GFM; and

• clauses detailing the management requirements for the GFM.

Acquiring entities should have their own policies and guidelines for the management of government assistance