Contractor`s Closing Statement

Standard closing periods are in FAR 4,804. (10) A statement that all required contract management measures have been fully and satisfactorily completed. The act of entering into a contract is something undertaken by both parties. Closing is often done with proof of delivery of a satisfactory product or service and proof of final payment. Article 4.804-5 (see below for more details) deals with the key actions (13-15) that must be concluded as part of the conclusion of a contract. In your scenario, all applicable actions have been performed and no other contract management was required for this action. A year later, the contractor apparently found that it had not charged for any storage that does not appear directly in the contract, including the annexes. The contractor apparently purchased storage for the project and paid for it. This is a point of negotiation and amendment if the government is convinced that it goes beyond what was originally negotiated, but within the general framework of the project. Even if this had gone unnoticed during the term of the contract, the contractor has one last opportunity to try to correct things at closing. The contractor`s final declaration and final invoice would have been the time to assert the additional payment due. The contractor did not act on time and should not have been paid. (b) When closing contract documents under paragraph 4.804-1(a)(2), (3) and (4), the Commissioner shall apply the closing procedures referred to in paragraph 4.804-5.

However, these closure measures may be modified to reflect the scope of the management carried out. We believe that the appropriate approach would have been to refuse to assert a claim for payment from the contractor, because when signing a DD250Z or other invoice indicating and confirming the final payment, it was effectively waived. If the Contractor then chooses to pursue the matter, it may do so within 6 years of determining liability under the Dispute Resolution Clause. (b) where the measures referred to in point (a) of this Section have been reviewed, the agent managing the contract shall ensure that a contract clearance declaration containing the following information is drawn up: (13) The contractor`s final declaration has been completed; (9) Invoice number and date, if the final approved invoice has been forwarded to a payment point of another agency or activity and the status of the payment is unknown. (4) There are no pending proposals to change the value engineering; Below you will find the checklist of administrative measures necessary to conclude a contract that has fulfilled all its conditions. A contract is concluded when a contract has fulfilled all the conditions of a contract and all administrative measures have been completed, all disputes have been settled and final payment has been made. This includes administrative acts that are contractually required; that is, ownership, security, patents and royalties. (14) The contractor`s final invoice has been submitted; and (i) final patent reports should be deleted within 60 days of receipt. (8) Voucher number and date, provided that final payment has been made. a) The contract management is responsible for initiating the administrative conclusion (automated or manual) of the contract upon receipt of proof of its physical performance.

At the beginning of this process, the contract management must check the condition of the market funds and inform the contracting authority of any excess funds that the market management could potentially de-release. Once completed, administrative closing procedures must ensure that – Contracting procedures are in Federal Procurement Regulations (FAR) 4.804-5. (1) The disposal of classified material has been completed; (ii) If the final report on the patent is not received, the contract agent shall inform the contractor, in accordance with Article 27.303, of the contractor`s obligations and the rights of the government under the applicable clause of patent law. If the contractor does not respond to this notification, the contract agent may proceed with the conclusion of the contract after consulting the Agency`s legal counsel responsible for patent matters with regard to the contractor`s non-response. . This answer is based on the information provided. If necessary, we recommend that you discuss this with your contracting and finance team, program manager and/or legal department. The FAR deals with FAR 4.804 – Closure of Contract Files. . . .

Uncategorized