Procedures
FAR 12.502 ensures only the necessary statutory and regulatory clauses are included in contracts and subcontracts for commercial products, services, and COTS items, streamlining compliance for commercial acquisitions.
Overview
FAR 12.502 outlines the procedures for applying statutory and regulatory provisions to contracts and subcontracts for commercial products, commercial services, and commercially available off-the-shelf (COTS) items. It clarifies that the FAR has been updated to ensure that only the appropriate provisions and clauses, as required by law, are included in prime contracts and subcontracts for these types of acquisitions. For subcontracts, only the clauses at 52.212-5 and 52.244-6 are required, and these clauses specifically identify which statutory and executive order requirements apply. The section also addresses the tailored application of laws to COTS items, ensuring that only relevant requirements are imposed, streamlining the contracting process for commercial acquisitions.
Key Rules
- Application of Laws to Prime Contracts
- FAR provisions and clauses have been revised to ensure proper application to prime contracts for commercial products and services.
- Subcontract Clause Requirements
- Only the clauses at 52.212-5 and 52.244-6 are required for subcontracts, and these clauses specify which laws apply to commercial subcontracts.
- COTS Item Contracting
- FAR provisions and clauses have been further tailored for contracts and subcontracts involving COTS items, as listed in 12.505.
Responsibilities
- Contracting Officers: Must ensure only the appropriate, required clauses are included in contracts and subcontracts for commercial products, services, and COTS items.
- Contractors: Must flow down only the specified clauses to their subcontracts for commercial products, services, and COTS items.
- Agencies: Oversee compliance with the streamlined clause requirements and ensure statutory mandates are met.
Practical Implications
- This section exists to reduce unnecessary regulatory burden in commercial and COTS acquisitions.
- It helps contracting professionals avoid over-inclusion of clauses, ensuring compliance while promoting efficiency.
- Common pitfalls include mistakenly including non-required clauses or omitting required ones, which can lead to compliance issues or contract disputes.