Faculty Handbook

Contracts with the University

Michigan law requires that the Board of Trustees approve the terms of any contract between the University and one of the following: (1) a University employee, (2) a business or other entity of which a University employee is a partner, member or employee, (3) a private corporation in which a University employee has a specified ownership interest or is a director, officer, or employee, or (4) a trust of which a University employee is a beneficiary or trustee. (See Contracts of Public Servants with Public Entities; MCLA 15.321 et. seq.) Contracts or other agreements falling within the scope of this state law should be provided to the Office of the General Counsel for review and approval by the Board of Trustees.

University employees must take all appropriate steps to assure that the University does not knowingly enter into purchase commitments which would violate Michigan law or result in a conflict of interest. For the purpose of this section, a conflict of interest exists when an employee's financial interests or other opportunities for personal benefit may compromise, or reasonably appear to compromise, the independence of judgment with which the employee performs his/her responsibilities at the University. Employees should refer questionable purchase transactions to the director of University Procurement and Logistics or the purchasing manager.