### Question
How does the law define termination inventory?


### Answer
Under *41 U.S.C. § 103*, **termination inventory** is defined as:

> any materials (including a proper part of any common materials), properly allocable to the terminated portion of a war contract, except any machinery or equipment subject to a separate contract specifically governing the use or disposition thereof

#### Citation:
  - *41 U.S.C. § 103*
  - Heading: **CHAPTER 2-TERMINATION OF WAR CONTRACTS**

