123STA T . 2 457PUBLIC LA W 111 –8 4 —O CT. 28 , 2 0 0 916328 3 ),alsokn o w nas theX–49A a irc ra f t, an d associated co mp o - nents and test e qu ipment, pre v iousl y specified as G overnment- furnished equipment in contract N0 0019–00– C –0284 .T he trans- feree shall provide consideration for the transfer of such military equipment to the transferor of an amount not to e x ceed fair value, as determined, on a non-dele g a b le basis, by the S ecretary. ( d)A P P LICAB L EL A W . — The transfer or use of military equip- ment is sub j ect to all applicable F ederal and State laws and regula- tions, including, but not limited to, the Arms E xport Control Act, the Export Administration Act of 19 7 9, continued under Executive O rder 12924, I nternational Traffic in Arms R egulations (22 C.F.R. 120 et seq.), Export Administration Regulations (1 5 C.F.R. 730 et seq.), Foreign Assets Control Regulations (31 C.F.R. 500 et 13 seq.), and the Espionage Act. (e) C OND I T ION O F E QU IP M ENT TO B ET R AN S FERRED.— (1) AS-IS CONDITION.—The military equipment transferred under subsection (c) shall be transferred in its current ‘ ‘as- is ’ ’ condition. The Secretary is not required to repair or alter the condition of any military equipment before transferring any interest in such equipment under subsection (c). (2) SPARE PARTS OR EQUIPMENT.—The Secretary of the Navy is not required to provide spare parts or equipment as a result of the transfer authori z ed under subsection (c). (f) TRANSFER AT NO COST TO T H E U NITED STATES.—The transfer of military equipment under subsection (c) shall be made at no cost to the United States. Any costs associated with the transfer shall be borne by the transferee. (g) ADDITIONAL TERMS AND CONDITIONS.—The Secretary shall require that the transfer authorized by section (c) be carried out by means of a written agreement and shall require, at a minimum, the following conditions to the transfer
(1) A condition stipulating that the transfer of the X-49A aircraft is for the sole purpose of further development, test, and evaluation of vectored thrust ducted propeller (hereinafter in this section referred to as ‘‘ V T DP ’’) technology. (2) A condition providing the Government the right to procure the VTDP technology demonstrated under this program at a discounted cost based on the value of the X-49A aircraft and associated equipment at the time of transfer, with such valuation and terms determined by the Secretary. (3) A condition that the transferee not transfer any interest in, or transfer possession of, the military equipment transferred under subsection (b) to any other party without the prior writ- ten approval of the Secretary. (4) A condition that if the Secretary determines at any time that the transferee has failed to comply with a condition set forth in paragraphs (1) through (3), all items referred to in subsection (b) shall be transferred back to the Navy, at no cost to the United States. (5) A condition that the transferee acknowledges sole responsibility of the X-49A aircraft and associated equipment and assumes all liability for operation of the X-49A aircraft and associated equipment. (h) NO LIABILIT Y FOR THE UNITED STATES.—Upon the transfer of military equipment under subsection (b), the United States shall not be liable for any death, injury, loss, or damage that results Contrac t s.
