11.503
Contract clauses
FAR 11.503 mandates the use and, when necessary, modification of specific liquidated damages and time extension clauses in federal contracts to address delays and protect government interests.
Overview
FAR 11.503 prescribes the use of specific contract clauses related to liquidated damages in federal contracts. It directs contracting officers to include certain clauses in solicitations and contracts when liquidated damages are deemed appropriate, based on the type of contract and the nature of the work. The section covers fixed-price contracts for supplies, services, research and development, and construction contracts, specifying which clauses to use and when to modify them for contracts with multiple completion dates. It also mandates the inclusion of a time extension clause in certain construction contracts where liquidated damages clauses have been revised for multiple completion dates.
Key Rules
- Liquidated Damages for Supplies, Services, or R&D (52.211-11)
- Must be included in fixed-price contracts for supplies, services, or R&D if liquidated damages are appropriate.
- Liquidated Damages for Construction (52.211-12)
- Required in construction contracts (except cost-plus-fixed-fee) when liquidated damages apply; must be tailored if there are multiple completion dates.
- Time Extensions (52.211-13)
- Must be included in construction contracts using a revised liquidated damages clause for multiple completion dates.
Responsibilities
- Contracting Officers: Determine appropriateness of liquidated damages, include required clauses, and revise clauses for multiple completion dates.
- Contractors: Review and comply with liquidated damages and time extension clauses in their contracts.
- Agencies: Ensure proper clause usage and compliance with FAR requirements.
Practical Implications
- Ensures contracts address potential delays and associated damages.
- Provides clarity on clause selection and modification for different contract types.
- Common pitfalls include failing to include or properly revise required clauses, especially for contracts with multiple completion dates.