Federal · Title 41 — Public Contracts

41 U.S.C. § 2105: Penalties and administrative actions

Felony

What this law says, in plain English

Violating section 2102 by exchanging covered information for value or gaining competitive advantage in federal procurement is punishable by fine, imprisonment up to 5 years, or both. Civil penalties and contract remedies also apply.

Read the full statutory text
A person that violates section 2102 of this title to exchange information covered by section 2102 of this title for anything of value or to obtain or give a person a competitive advantage in the award of a Federal agency procurement contract shall be fined under title 18, imprisoned for not more than 5 years, or both. an individual is liable to the Federal Government for a civil penalty of not more than $50,000 for each violation plus twice the amount of compensation that the individual received or offered for the prohibited conduct; and an organization is liable to the Federal Government for a civil penalty of not more than $500,000 for each violation plus twice the amount of compensation that the organization received or offered for the prohibited conduct. Canceling the Federal agency procurement, if a contract has not yet been awarded. the contractor or someone acting for the contractor has been convicted for an offense punishable under subsection (a); or the head of the agency that awarded the contract has determined, based on a preponderance of the evidence, that the contractor or a person acting for the contractor has engaged in conduct constituting the offense. Initiating a suspension or debarment proceeding for the protection of the Federal Government in accordance with procedures in the Federal Acquisition Regulation. Initiating an adverse personnel action, pursuant to the procedures in chapter 75 of title 5 or other applicable law or regulation. When a Federal agency rescinds a contract pursuant to paragraph (1)(B), the Federal Government is entitled to recover, in addition to any penalty prescribed by law, the amount expended under the contract. For purposes of a suspension or debarment proceeding initiated pursuant to paragraph (1)(C), engaging in conduct constituting an offense under section 2102, 2103, or 2104 of this title affects the present responsibility of a Federal Government contractor or subcontractor.

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This page is legal information, not legal advice. Code text is sourced from official publications and may lag amendments — always confirm at the official source linked above. Plain-English summaries and relationship data are AI-derived and reviewed on an ongoing basis; verify with a licensed attorney before acting.