Business Issues

GENERAL: Where can I find basic information regarding the University's policies and procedures governing its business activities?

CONTRACTS: I am negotiating a contract on behalf of the University. Should the OGC review it?

SIGNATURE AUTHORITY: Do I have proper signature authority to enter
into a transaction on behalf of the University?

ANTITRUST: Is the University subject to the antitrust laws? If so, what guidance should I keep in mind?

DOCUMENT RETENTION: What is the University's policy on document retention?

GRAMM-LEACH-BLILEY ACT/PRIVACY: What is the Gramm-Leach-Bliley Act and how does it affect the University?

GENERAL: Where can I find basic information regarding the University's policies and procedures governing its business activities?

Please refer to the Administrative Guide for the University's policies and procedures in this area, including (but not limited to) organization, personnel, health & safety, accounting, gifts, procurement, computing and services: http://adminguide.stanford.edu.

CONTRACTS: I am negotiating a contract on behalf of the University. Should the OGC review it?

Goods and Services: The Procurement Department has the sole authority to execute contracts and place orders for all goods and services where the total dollar amount will exceed $1500. For contracts where the total reasonably anticipated exposure might exceed $1500, departments should not negotiate contracts for goods and services on their own. Stanford may not ratify such unauthorized transactions, and in rare cases the supplier may look to the individual placing the order for payment or reimbursement. See Administrative Guide Memo 51 (http://adminguide.stanford.edu/51.pdf). The Procurement Office may be contacted at http://purchasing.Stanford.edu or (650) 725-BUYS.

Intellectual Property: The Office of Technology and Licensing negotiates contracts concerning intellectual property such as patents and software licensing. OTL may be contacted at http://otl.stanford.edu/flash.html or (650) 723-0651.

Research: The Office of Sponsored Research negotiates contracts and grants related to research. The Office of Sponsored Research may be contacted at http://www.stanford.edu/dept/ORA.

All Other Contracts: As a general rule, all other contracts must be reviewed by the Office of the General Counsel. In addition, every individual signing a contract on behalf of the University must have written Signature Authority to do so (see Signature Authority information below). If anyone has a question about the legal significance of contract terms or for more information, please contact the Office of the General Counsel at (650) 723-9611.

SIGNATURE AUTHORITY: Do I have proper signature authority to enter into a transaction on behalf of the University?

Every individual signing a contract on behalf of the University must have written Signature Authority delegated from the President or one of the President's officers to enter into an agreement. Even where an action is within a signature authority delegation, sound business practice dictates that the signature authority be exercised only after consultation and coordination with such other officers, faculty, staff or other persons who may have overlapping responsibilities. Administrative Guide Memo 36 further provides that expenditures must be: (1) reasonable and necessary; (2) consistent with established University policies and practices applicable to the work of the University, including instruction, research, and public service; and (3) consistent with sponsor or donor expenditure restrictions. (http://adminguide.stanford.edu/36.pdf). And, having signature authority does not obviate the need to comply with University policies, e.g., procurement approval and other policies in the Administrative Guide. Questions about signature authority should be directed to Lauren Schoenthaler in the Office of the General Counsel at 723-9611.

ANTITRUST: Is the University subject to the antitrust laws? If so, what guidance should I keep in mind?

Yes, as a general proposition. For more details, please consult our memo regarding Antitrust Guidelines.

DOCUMENT RETENTION: What is the University's policy on document retention?

Please refer to the Administrative Guide at http://adminguide.stanford.edu/34_4.pdf.

GRAMM-LEACH-BLILEY ACT/PRIVACY: What is the Gramm-Leach-Bliley Act and how does it affect the University?

The Gramm-Leach-Bliley Act requires that Stanford University "develop, implement and maintain a comprehensive information security plan" to ensure the safeguarding of confidential financial information. The University has gone beyond the requirements of the Act and has implemented a comprehensive policy to protect confidential financial information received by the University including credit card numbers, bank account information and tax information provided in financial aid applications. For more information, please view the University's Confidential Financial Security Plan.